Tenant Wins Reduced Rent Due to Property Issues

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. HS/LON/00BK/MDR/2024/0006

Notice of the Tribunal Decision and Register of Rents under Assured Periodic Tenancies (Section 22 Determination)

Housing Act 1988 Section 22

Address of Premises Tribunal members were [ADDRESS], [POSTCODE]

[NAME]

Landlord [RESPONDENT] [NAME] 13 [ADDRESS], [POSTCODE]

Tenant [NAME]

1. The rent is: £ 2,100 Per calendar month (excluding water rates and council tax but including any amounts in paras 3)

2. The date the decision takes effect is: 18 March 2024

3. The amount included for services is not applicable

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4. Date assured tenancy commenced 30 September 2023

5. Length of the term or rental period 2 years fixed term

6. Allocation of liability for repairs Landlord & Tenant Act 1985

7. Furniture provided by landlord or superior landlord None. Blinds and white goods provided.

9. Description of premises The property is a first floor flat with a living room, kitchen, 2 bedrooms (one which could not be used), bathroom and balcony. There is central heating but no double-glazing.

[NAME] of Decision 15 August 2024

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Case Reference

: LON/00BK/MDR/2024/0006

Property : [ADDRESS], [POSTCODE]

Tenant

: [APPELLANT]

Landlord : [APPELLANT] [RESPONDENT] of Application : 18 March 2024

Type of Application : Market Rent section 22 of the Housing Act 1988

Tribunal Member : [NAME] of Summary Reasons

: 15 August 2024

_______________________________________________

DECISION

The Tribunal determines a rent of £2,100 per calendar month with effect from 18 March 2024. ____________________________________

© CROWN COPYRIGHT 2024

FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

2 SUMMARY REASONS Background

1. On 18 March 2024 the Tenant made an application under Section 22(1) of the Housing Act 1988 relating to [ADDRESS], [POSTCODE] and which proposed a new rent of £1,800 per month.

2. The tenancy commenced 30 September 2023 at a rent of £2,800 per month.

3. Neither party requested a hearing or an inspection. This case has been decided on papers.

Evidence

4. The Tribunal were provided with a copy of the tenancy agreement; an assured shorthold tenancy for a fixed term of 2 years with a mutual break clause no earlier than the first 12 months.

The Property

5. The property is a first floor flat with a living room, kitchen, 2 bedrooms, bathroom and balcony. There is central heating but no double-glazing. The tenancy included blinds and white goods.

6. The second bedroom has suffered from the effects of an ongoing water ingress, resulting in mould and fungi growth to the ceiling. The damage was first reported to the Landlord by the Tenant on 3 February 2024 and the Landlord’s agent confirmed in an email of 12 March 2024 that the bedroom should not be used until the issue had been resolved. This does not appear to be in dispute.

The Law

7. The law is found in section 22 of the Housing Act 1988, which is annexed to this decision.

Determination

8. Neither the Tenant nor Landlord provided evidence of rents in the locality and so the Tribunal has relied on their own knowledge and experience. The Tribunal is satisfied that there are a sufficient number of similar properties in the locality let on assured tenancies and, in the Tribunal’s opinion, taking into consideration that the Tenant no longer had the use of the second bedroom, the rent that the Landlord could reasonably expect to achieve is in the region of £2,100 per month, the passing rent being significantly higher.

9. The Tribunal therefore directs a new rent of £2,100 per month to take effect from the date of application, 18 March 2024.

3 Tribunal Member: [NAME]: 15 August 2024

APPEAL PROVISIONS

These summary reasons are provided to give the parties an indication as to how the Tribunal made its decision. If either party wishes to appeal this decision, they should first make a request for full reasons and the details of how to appeal will be set out in the full reasons. Any request for full reasons should be made within a month. Any subsequent application for permission to appeal should be made on Form RP PTA.

ANNEX

Housing Act 1988

22 Reference of excessive rents to appropriate tribunal.

(1) Subject to section 23 and subsection (2) below, the tenant under an assured shorthold tenancy may make an application in the prescribed form to the appropriate tribunal for a determination of the rent which, in the appropriate tribunal’s opinion, the landlord might reasonably be expected to obtain under the assured shorthold tenancy.

(2) No application may be made under this section if—

(a) the rent payable under the tenancy is a rent previously determined under this section;

(aa) the tenancy is one to which section 19A above applies and more than six months have elapsed since the beginning of the tenancy or, in the case of a replacement tenancy, since the beginning of the original tenancy; or

(b) the tenancy is an assured shorthold tenancy falling within subsection (4) of section 20 above (and, accordingly, is one in respect of which notice need not have been served as mentioned in subsection (2) of that section).

(3) Where an application is made to the appropriate tribunal under subsection (1) above with respect to the rent under an assured shorthold tenancy, the appropriate tribunal shall not make such a determination as is referred to in that subsection unless they consider—

(a) that there is a sufficient number of similar dwelling-houses in the locality let on assured tenancies (whether shorthold or not); and

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(b) that the rent payable under the assured shorthold tenancy in question is significantly higher than the rent which the landlord might reasonably be expected to be able to obtain under the tenancy, having regard to the level of rents payable under the tenancies referred to in paragraph (a) above.

(4) Where, on an application under this section, the appropriate tribunal make a determination of a rent for an assured shorthold tenancy—

(a) the determination shall have effect from such date as the appropriate tribunal may direct, not being earlier than the date of the application;

(b) if, at any time on or after the determination takes effect, the rent which, apart from this paragraph, would be payable under the tenancy exceeds the rent so determined, the excess shall be irrecoverable from the tenant; and

(c) no notice may be served under section 13(2) above with respect to a tenancy of the dwelling-house in question until after the first anniversary of the date on which the determination takes effect.

(5) Subsections (4), (5) and (8) of section 14 above apply in relation to a determination of rent under this section as they apply in relation to a determination under that section and, accordingly, where subsection (5) of that section applies, any reference in subsection (4)(b) above to rent is a reference to rent exclusive of the amount attributable to rates.