Tribunal Sets New Market Rent for Assured Periodic Tenancy

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. HAV/00HQ/MNR/2025/0697

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: Flat 1, [NAME] 2 [ADDRESS] [POSTCODE]

[NAME] Mr [RESPONDENT]

Landlord Ms [RESPONDENT] 3 [ADDRESS], [POSTCODE]

Tenant Ms [APPELLANT]

1. The rent is: £930.00 Per Calendar Month (To exclude [NAME] and Council Tax but to include any amounts in paragraphs 3 and 4.)

2. The date the decision takes effect is: 1 July 2025

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

4. Date assured tenancy commenced 1 September 2006

5. Length of the term or rental period Monthly

6. Allocation of liability for repairs Section 11, Landlord and Tenant Act 1985 applies. The tenant is required to yield up the property in the same clean state and condition as it was in the beginning of the tenancy (reasonable wear and damage by fire excepted).

7. Furniture provided by landlord or superior landlord Yes, which includes: one sofa, two beds, three chests of drawers, two wardrobes and kitchen stools/chairs.

8. Description of premises [NAME] is a circa 1930’s detached house on ground and two upper floors on a corner plot, which has been extended and converted into seven flats. Flat 1 is on the ground floor within that part of the building which fronts on to [ADDRESS]. The accommodation comprises: entrance lobby, reception room with open plan kitchen, two bedrooms and two bathrooms/WCs (one en suite). Outside there is one off-street, car-parking space and at the rear there is a secondary access to the flat via the communal passage off [ADDRESS].

[NAME] of Decision 27 August 2025

© CROWN COPYRIGHT 2025

FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : HAV/00HQ/MNR/2025/0697 Property : Flat 1, [NAME] 2 [ADDRESS] [POSTCODE] Applicant Tenant : Ms [COUNSEL] :

None

Respondent Landlord : [NAME] : Ms [RESPONDENT] [ADDRESS]’s Ford Hampshire [POSTCODE] Type of Application :

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

Tribunal Members : Mr [NAME] [NAME] of Application : 14 May 2025 Date of Decision :

27 August 2025

DECISION

On 27 August 2025 the Tribunal determined a market rent of £930 (Nine Hundred and Thirty Pounds) per Calendar Month to take effect from 1 July 2025.

HAV/00HQ/MNR/2025/0697 2

REASONS

Background 1. By way of an application given to the Tribunal dated 18 May 2025 (albeit received on 20 May 2025), the Applicant (‘’the tenant’’) of Flat 1, [NAME], 2 [ADDRESS], [POSTCODE] (hereinafter referred to as ‘’the property’’) referred a Notice of Increase in Rent (‘’the Notice’’) by the Respondent (‘’the landlord’’) of the property under Section 13(2) of the Housing Act 1988 (‘’the Act’’) to the Tribunal.

2. The Notice, dated 14 May 2025, proposed a new rent of £850 per calendar month in lieu of a passing rent of £650 per calendar month, to take effect from 1 July 2025.

3. Ms [NAME] tenancy agreement is dated 26 September 2006 and is for a term of six months from 1 September 2006 at a rent of £600 per calendar month. The Tribunal understands the tenancy passed to Ms [NAME] following Ms [NAME] death in 2020.

4. The Tribunal issued Directions dated 13 June 2025 advising the parties that it considered the matter suitable for determination on the papers unless either party objected, in writing, within seven days. The parties were also advised that, whereas no inspection would be undertaken, the Tribunal would seek to view the property on the internet. (Paragraphs 5 and 6 of the Directions respectively.)

5. The [NAME] includes for provision of photographs to assist the Tribunal to understand the case and to help the party to present the issues.

6. The Directions required the landlord and the tenant to submit their completed Rent Appeal Statements (‘’[NAME]’’) to the Tribunal by 27 June 2025 and 11 July 2025 respectively, with copies to be sent to the other party. The landlord was requested to provide a copy of the tenancy agreement upon which she relies (paragraph 9 of the Directions).

7. Whereas Ms [NAME] has submitted a [NAME], neither Ms [COUNSEL] nor her representative have done so.

8. Ms [COUNSEL] [NAME] includes a selection of photographs of the property to assist to present her case.

9. Neither party objected to the matter being determined without an oral hearing. Whereas the Directions say the Tribunal will not inspect the property, on review of the papers the Tribunal considered it necessary and did so on 27 August 2025. Thereafter the Tribunal determined the case on 27 August 2025 (the same day) based on the tenant’s application under section 13(4) of the Housing Act 1988, the tenant’s [NAME], its inspection and of its own expert, general knowledge of rental values in the area.

10. The Tribunal has read the papers and Ms [NAME] submissions in full. In this decision the Tribunal does not discuss each point given but limits it to those

HAV/00HQ/MNR/2025/0697 3 relevant to the determination of the market rent in accordance with the legislation. The Property 11. [NAME] is a circa 1930’s detached house on ground and two upper floors, situated on a corner plot at the junctions of [ADDRESS] and [ADDRESS]. [ADDRESS] is just to the north of Fisherman’s Walk Beach in Southbourne. Pokesdown is the nearest railway station.

12. The building is of traditional construction with a pitched tiled roof.

13. Flat 1 is on the ground floor at the eastern end of the building. The accommodation comprises, ground floor - entrance lobby, reception room with open plan kitchen, two bedrooms and two bathrooms/WCs (one en suite). There is one allocated off- street, car parking space. The flat has a secondary access to the rear via a communal passage off [ADDRESS]. The Tenancy Agreement

14. The Tribunal has been provided with the tenancy agreement in part. From the cover sheet the tenant is Mrs [APPELLANT] and the landlord Mrs [APPELLANT]. It is for a term of six months from 1 September 2006, at a rent of £600 per calendar month, payable monthly in advance.

15. From the second page provided of the agreement, the tenant will, inter alia, pay for all utilities, [NAME] etc, not make any alteration, preserve the fixtures, furniture and effects, yield up the property at the end of the tenancy in the same clean state and condition as it was in the beginning of the tenancy and make good pay for the repair of or replace all such items of the fixtures furniture and effects as shall be broken lost damaged or destroyed during the tenancy (reasonable wear and damage by fire excepted).

16. At the expiration of the fixed term, the tenancy has continued as a statutory periodic tenancy in accordance with the Housing Act 1988 (as amended). The tenancy has now passed to Ms [NAME]. Submissions 17. Ms [NAME] [NAME] was submitted on 24 June 2025 and was copied to the landlord on 20 June 2025.

18. Ms [RESPONDENT] describes the flat as being on the ground floor with the accommodation to comprise, lounge/open plan living kitchen, two bedrooms and two bathrooms. Ms [NAME] has provided various photographs to assist to present her case.

19. Under ‘Features’, Ms [NAME] says Central Heating, Double Glazing in part, Carpets and the Cooker with Hob have been provided by the landlord. Ms [RESPONDENT] goes on to say there is parking, just outside the flat. From the Tribunal’s inspection, there is an allocated off-street, car parking space.

HAV/00HQ/MNR/2025/0697 4 20. Under ‘Improvements’, Ms [NAME] says a new boiler was installed in November 2024 and the double glazing was cleared and the windows realigned in July 2024. The Tribunal notes these works are not improvements but are works of repair and maintenance to be carried out by the landlord to meet their repairing obligation.

21. Under ‘Condition of the property…Disrepairs/Defects…’, Ms [NAME] refers to the photographs that have been taken and are within the [NAME]. The photographs show various items of disrepair. The Tribunal notes at this juncture that various items of disrepair are listed on separate sheets appended to the Application.

22. Under ‘Any Other Comments’, Ms [NAME] is silent and under ‘Your assessment of the rental value of the property’, Ms [NAME] has not provided the Tribunal with any comparable evidence to refer to. The Law Section 14, Housing Act 1988 - Determination of Rent by First-tier Tribunal (1) Where, under subsection (4)(a) of section 13 above, a tenant refers to a First- tier Tribunal a notice under subsection (2) of that section, the Tribunal shall determine the rent at which, subject to subsections (2) and (4) below, the Tribunal consider that the dwelling-house concerned might reasonably be expected to be let in the open market by a willing landlord under an assured tenancy-

(a) which is a periodic tenancy having the same periods as those of the tenancy to which the notice relates; (b) which begins at the beginning of the new period specified in the notice; (c) the terms of which (other than relating to the amount of the rent) are the same as those of the tenancy to which the notice relates; and (d) in respect of which the same notices, if any, have been given under any of Grounds 1 to 5 of Schedule 2 to this Act, as have been given (or have effect as if given) in relation to the tenancy to which the notice relates. (2) In making a determination under this section, there shall be disregarded-

(a) any effect on the rent attributable to the granting of a tenancy to a sitting tenant; (b) any increase in the value of the dwelling-house attributable to a relevant improvement carried out by a person who at the time it was carried out was the tenant, if the improvement- (i) was carried out otherwise than in pursuance of an obligation to his immediate landlord, or (ii) was carried out pursuant to an obligation to his immediate landlord being an obligation which did not relate to the specific improvement concerned but arose by reference to consent given to the carrying out of that improvement; and (c) any reduction in the value of the dwelling-house attributable to a failure by the tenant to comply with any terms of the tenancy.

HAV/00HQ/MNR/2025/0697 5

(3) For the purposes of subsection (2)(b) above, in relation to a notice which is referred by a tenant as mentioned in subsection (1) above, an improvement is a relevant improvement if either it was carried out during the tenancy to which the notice relates or the following conditions are satisfied, namely-

(a) that it was carried out not more than twenty-one years before the date of service of the notice; and (b) that, at all times during the period beginning when the improvement was carried out and ending on the date of service of the notice, the dwelling- house has been let under an assured tenancy; and (c) that, on the coming to an end of an assured tenancy at any time during that period, the tenant (or, in the case of joint tenants, at least one of them) did not quit. (4) In this section "rent" does not include any service charge, within the meaning of section 18 of the Landlord and Tenant Act 1985, but, subject to that, includes any sums payable by the tenant to the landlord on account of the use of furniture, in respect of council tax or for any of the matters referred to in subsection (1)(a) of that section, whether or not those sums are separate from the sums payable for the occupation of the dwelling-house concerned or are payable under separate agreements.

23. In accordance with the terms of section 14 of the Act, the Tribunal is required to determine the rent at which it considers the subject property might reasonably be expected to let on the open market, by a willing landlord, under an assured tenancy, on the same terms as the tenancy. In so doing, and in accordance with the Act, the Tribunal ignores any increase in value attributable to tenant’s improvements and any decrease in value due to the tenant’s failure to comply with any terms of the tenancy.

Considerations and Valuation 24. The Tribunal first considered whether it felt able to determine this case reasonably and fairly based on the papers submitted only, with no oral hearing. Having read and considered the papers the Tribunal decided it could do so, having carried its inspection of the property.

25. The Tribunal is required to determine the rent at which the property might reasonably be expected to be let in the open market by a willing landlord under an assured tenancy. The personal circumstances of the tenant(s) are not relevant to the issue.

26. Only Ms [APPELLANT] has given a [NAME], which does not include any comparable for the Tribunal to refer to. Based on its own expert, general knowledge of rental values in the area, the Tribunal determined that the market rent for the property in good tenantable condition would be £1,050 (One Thousand and Fifty Pounds) per Calendar Month.

HAV/00HQ/MNR/2025/0697 6 27. From its analysis of Ms [NAME] submissions, its analysis of the papers and its inspection, the Tribunal has determined adjustments are required to its determination of the market rent of the property.

28. Whereas the landlord has provided the cooker and hob, the tenant has replaced both the washing machine and the refrigerator.

29. The Tribunal’s market rent of the property at paragraph 26 above is on an ‘unfurnished’ basis. The tenancy is on a furnished basis, for which Ms [NAME] has provided outline details and the items of which were shown to the Tribunal at their inspection. The tenancy commenced in 2006. With the passage of time, such is the general wear and tear of the furniture, the Tribunal has determined that no additional value is to be attributed to its provision.

30. Items of disrepair – Ms [NAME] has provided several photographs in her [NAME] to show various items of disrepair. In addition, Ms [NAME] provided further outline information in appended sheets to her application.

31. The following is not an exhaustive list, but is an outline of the types of general disrepair at the property: (1) Central Heating – a number of the radiator controls are defective, (2) Double Glazing - whereas works have been undertaken by the landlord, Ms [RESPONDENT] has been required to fit various draft excluders to increase its efficiency, (3) Carpets and Curtains – the carpets are dated and show signs of moth invasion, whereas curtains have not been provided, blinds have, which are dated and in disrepair, (4) there are various instances of damp penetration and mould. The Tribunal has made an adjustment in aggregate for ‘general disrepair’ at the property.

32. Following the above, the Tribunal’s valuation is shown below: Market rent for the property (£ PCM) - £1,050 Less deductions (£ PCM) for: White Goods – washing machine & refrigerator £20 General disrepair £100 Total deductions £120 Market rent (per Calendar Month) £930 33. In neither her application, nor her subsequent [NAME] has Ms [NAME] given any submission to the Tribunal that the starting date for the new rent specified in the Notice would cause her undue hardship.

34.

Accordingly, the Tribunal directs that the new rent of £930 per Calendar Month should take effect from 1 July 2025. This being the date specified in the Notice proposing a new rent.

HAV/00HQ/MNR/2025/0697 7 RIGHTS OF APPEAL

1. A person wishing to appeal this decision to the Upper Tribunal (Lands Chamber) must seek permission to do so by making written application by email to [EMAIL] to the First-tier Tribunal at the Regional office which has been dealing with the case.

2. The application must arrive at the Tribunal within 28 days after the Tribunal sends to the person making the application written reasons for the decision.

3. If the person wishing to appeal does not comply with the 28 days’ time limit, the person shall include with the application for permission to appeal a request for an extension of time and the reason for not complying with the 28 days’ time limit; the Tribunal will then decide whether to extend time or not to allow the application for permission to appeal to proceed.

4. The application for permission to appeal must identify the decision of the Tribunal to which it relates, state the grounds of appeal, and state the result the party making the application is seeking.