Landlord advice

Bobh2011

Just a quick question.
I let on a long term basis and have a great tenant occupying the property at present for just over a year now and had the usual yearly contract which has expired.
The tenant due to work circumstances doesn't want to do another year contract just do month by month.
As the tenant is now doing a month by month I was considering increasing the rent by €15pm.
Does this seem unreasonable?

RootX

If you both go by the book, he is supposed to give you a 6-week notice before he leaves

http://www.citizensinformation.ie/en/housing/renting_a_home/types_of_tenancy.html

Now, if he prefers not to do that and only give a month's(or less) notice instead, a small increase doesn't seem unreasonable, to my eyes at least - it's something I'd accept as a tenant.

D3PO

You are entitled to an annual rent review, and if rent prices have risen in the locality then no its not unreasonable.

BUT equally if your looking to increase the rent just because he isnt in a position to sign a new lease then yes its unreasonable and greedy.

What would you prefer he sign a new lease knowing he might not be able to stick to the terms and just ignore it like so many other idiot tennants ?

if hes a good tennant why are you even contemplating rocking the boat ?

Is the lure of €15 a month worth possibly losing him/her and having a vacant occupancy period.

the_syco

Bobh2011 wrote: »

I let on a long term basis and have a great tenant occupying the property at present for just over a year now and had the usual yearly contract which has expired.

If you raise the rent, I'm sure they could get somewhere cheaper elsewhere. As said; if they are a good tenant, why do you want to rock the boat?

djimi

What do you hope to gain from this? If you try something daft like raising the rent in an effort to force his hand and he genuinely cannot and will not sign a new fixed term lease then he will just turn around and leave, and you will lose a good tenant.

In short, yes it seems unreasonable and ridiculously unnecessary. Ive no idea what you hope to gain here; good tenants are not always easy to find and youre prepared to lose one for the sake of €15 a month to prove a point.

odds_on

Bobh2011 wrote: »

Just a quick question.
I let on a long term basis and have a great tenant occupying the property at present for just over a year now and had the usual yearly contract which has expired.
The tenant due to work circumstances doesn't want to do another year contract just do month by month.
As the tenant is now doing a month by month I was considering increasing the rent by €15pm.
Does this seem unreasonable?

You have a choice of types of lease -
1. A fixed term for a short period say 3 months.
2. A Part 4 tenancy which the tenant already has as he hasn't signed a new lease however, as the tenant has been in occupation for more than 1 year but less than 2 years, he is required to give you 42 days notice.
3. A periodic monthly lease which allows either tenant or landlord to terminate the tenancy with one month's notice, by either side.

As has been said, if you have a good tenant who pays on time why rock the boat for €15pm? Is it in part to cover the household charge. Remember, that id he leaves you may be out of pocket for well more than a month's rent.

With an initial short term lease one would expect to pay slightly higher rent to cover registration with the PRTB more than once a year.

the_syco

odds_on wrote: »

2. A Part 4 tenancy which the tenant already has as he hasn't signed a new lease however, as the tenant has been in occupation for more than 1 year but less than 2 years, he is required to give you 42 days notice.

I hope the tenant does this.

OP: do you always punish your good tenants by raising the rent after the first year?

cookie1977

the_syco wrote: »

I hope the tenant does this.

OP: do you always punish your good tenants by raising the rent after the first year?

The tenant would still have to request a part 4 tenancy:

Claiming a Part 4 tenancy at the end of a lease
If you have a fixed-term contract or lease (for example of 1 year) and you wish to remain in the property under the rights acquired under Part 4, you must notify your landlord of your intention to stay in the property between 3 months and 1 month before the expiry of your fixed–term tenancy or lease agreement. You can use this sample letter of notification to remain in the property under Part 4.

If you do not notify your landlord you cannot be refused coverage under Part 4 but you may have to compensate the landlord for any financial loss she/he has incurred because you did not notify him/her of your intention to remain in the tenancy.

http://www.citizensinformation.ie/en/housing/renting_a_home/types_of_tenancy.html

Plus rent increases:

Under Section 19 of the Residential Tenancies Act 2004 (pdf) landlords cannot charge more than the open market rate for the apartment or house.

Your landlord cannot review the rent more than once a year unless the accommodation has changed substantially.

http://www.citizensinformation.ie/en/housing/renting_a_home/rent_increases.html#l1f4da

murphaph

Bobh2011 wrote: »

Just a quick question.
I let on a long term basis and have a great tenant occupying the property at present for just over a year now and had the usual yearly contract which has expired.
The tenant due to work circumstances doesn't want to do another year contract just do month by month.
As the tenant is now doing a month by month I was considering increasing the rent by €15pm.
Does this seem unreasonable?

It seems daft to alienate a good tenant for such a measly sum tbh. When you get your first really bad tenant you'll know what I mean :pac:

StillWaters

I don't think I'd raise the rent either OP. From a LL perspective all tenancies are really month to month, I don't know of anyone who has a pursued a tenant for rent for the rest of the lease period.

Every month he stays there, is a month free of the headache of reletting.

Bobh2011

Thanks all for the replies and have taken all into consideration.

I did know the tenant would have to give a months notice before they leave but didn't know about the 42 days.

I do admit I can not complain about the tenant and have had some bad ones in the past so will greatly consider the situation and do think "whats the point for X amount". Yes I am also taking into thought more costs being implemented by government. Think I will just leave it as it is.

Thanks again.