Tribunal Sets Fair Market Rent for Residential Property

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. HAV/00HY/MNR/2024/0635

Notice of the Tribunal Decision and Register of Rents under Assured Periodic Tenancies (Section 14 Determination)

Housing Act 1988 Section 14

Address of Premises The Tribunal members were 8 Roy’s [ADDRESS] [POSTCODE]

[NAME] [NAME] [NAME] [RESPONDENT] D [RESPONDENT]

Landlord [COMPANY], [ADDRESS], Basingstoke, Hampshire, [POSTCODE]

Tenant Mr [APPELLANT]

1. The rent is: £620.00 Per Calendar Month (To exclude Water Rates and Council Tax, but to include and amounts in paras. 3 and 4)

2. The date the decision takes effect is: 3 December 2024

3. The amount included for services is not applicable n/a Per n/a

4. Date assured tenancy commenced 3 July 2018

5. Length of the term or rental period Monthly

6. Allocation of liability for repairs Landlord & Tenant – section 11 of the Landlord and Tenant Act 1985 applies.

7. Furniture provided by landlord or superior landlord None

8. Description of premises A two-storey building with Retail premises on the ground floor, fronting on to High Street, Ludgershall. 8 [NAME] is a first floor flat, with its own off-street entrance. Accommodation: ground floor entrance lobby, with stairs up to first floor – landing, reception room, double bedroom, single bedroom, kitchen and bathroom/WC. Outside – two storage units, a private parking space and access to communal gardens.

[NAME] [NAME] of Decision 21 February 2025

© CROWN COPYRIGHT 2025

FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : HAV/00HY/MNR/2024/0635 Property : 8 [NAME] Hampshire [POSTCODE] Applicant Tenant : Mr [COUNSEL] :

None

Respondent Landlord : [COMPANY] : Mr [COUNSEL], [COMPANY] of Application :

Determination of a Market Rent - sections 13 & 14 of the Housing Act 1988

Tribunal Members : Mr [NAME] [NAME] Ms [NAME] D [NAME] D [NAME] of Application : 14 November 2024 Date of Decision :

21 February 2025

DECISION

The Tribunal determines a rent of £620 (Six Hundred and Twenty Pounds) Per Calendar Month with effect from 3 December 2024.

HAV/00HY/MNR/2024/0635 2 SUMMARY REASONS

Background 1. On 14 October 2024 the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £624 per month in place of the existing rent of £600 per month to take effect from 3 December 2024.

2. On 14 November 2024 under Section 13(4) of the Housing Act 1988, the Tenant referred the Landlord’s notice proposing a new rent to the Tribunal for determination of a market rent.

3. On 11 February 2025 the Tribunal issued a Preliminary Notice to inform the parties it does not have jurisdiction in the case due to Landlord’s Notice given under section 13(2) of the Housing Act 1988 dated 9 October 2024 being deemed invalid.

4. The invalidity of the Notice being based on the same understood by the Tribunal to have been given on 7 November 2024, notwithstanding it is dated 9 October 2024. In the event the Notice had been given on 7 November 2024, the minimum period specified in the Notice for the new rent to have taken effect was less than the statutory requirement of at least one month.

5. Pursuant to issuing the Preliminary Notice, the Landlord has confirmed in their Email to the Tribunal dated 11 February 2025 and copied to the Tenant, the Notice was given on 14 October 2024 (albeit it is dated 9 October 2024). The Tenant confirmed same day he does not dispute what the Landlord has said.

6.

Accordingly, the Tribunal accepts the Notice is valid, thus gives its Decision. Inspection 7. The Tribunal did not inspect the property but considered this case based on the papers provided by the parties and information freely available on the internet. Evidence

8. The Tribunal has considered the [NAME] provided by the Tenant, Mr [APPELLANT], in his Email to the Tribunal and copied to the Landlord dated 29 December 2024. Mr [RESPONDENT] [NAME] has been given in accordance with the Tribunal’s Directions dated 27 November 2024. Mr [NAME] has provided both a selection of photographs of the property and a copy of its Energy performance certificate (EPC), dated 12 July 2023.

Determination and Valuation 9. Whereas neither party has provided comparable lettings evidence for the Tribunal to consider, in his [NAME], Mr [NAME] assesses the rental value of the property at ‘’£550 pcm. No comparables.’’

HAV/00HY/MNR/2024/0635 3 10. The Tribunal applying its own expert, general knowledge of rental values in the area, determines that the market rent for the property in good tenantable condition would be £800 (Eight Hundred Pounds) Per Calendar Month.

11. Such a tenancy would normally include white goods, curtains/blinds and central heating, all to be provided by the Landlord.

12. In this case the Tenant has informed the Tribunal that the property is difficult to heat. In addition, the Tribunal notes: (1) the property is located on the High Street above Retail premises; (2) the EPC rating is E-42; and (3) the Tenant is responsible for internal decorations (fair wear and tear excepted).

Accordingly, some adjustments to the market rent are necessary.

13. The Tribunal’s valuation is shown below: Market rent in good condition (£ PCM)

£800 Less deductions (£ PCM) for: Energy performance certificate

£25 Position on High Street/above Retail premises £25 No central heating – electric storage heaters

£50 Tenant responsible for internal decorations £50 Neither white goods, nor curtains

£30 £180 Market rent (per calendar month)

£620

14. The Tribunal therefore decided that the rent at which the property might reasonably be expected to be let in the open market by a willing Landlord under the terms of this assured tenancy was £620 (Six Hundred and Twenty Pounds) Per Calendar Month.

15. The Tenant has made no representation that the starting date for the new rent specified in the Landlord’s notice would cause him undue hardship.

16.

Accordingly, the Tribunal directs that the new rent of £620 Per Calendar Month should take effect from 3 December 2024. This being the date specified in the Landlord’s Notice proposing a new rent.

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.