What is the legal position about raising rents and entering into a new Part 4 tenancy

Dermot

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I have a renewal of a 4 year tenancy coming up in the next few months. I last raised the rent by a relatively small amount in July of last year. I did not raise the rent to full market rate as 1) the tenants were quite good and 2) I did tell them at the time that I would be raising it incrementally (if they were staying) to market rate over the following 2 years. This part was done verbally. (So not enforceable but at that time you could raise it every year if it was required)
The tenants will probably want to stay on and enter into a new Part 4 tenancy.
What are my options about raising the rent in the above scenario.
I fear that I am trumped by the new legislation.
I would like to know for my own and other Landlords knowledge were I to give the appropriate notice in the first 6 months of the new Part 4 tenancy that I could ask them to vacate the property and let it at full market rate to new tenants. I do not want to do it in this case but I would like to see it debated.
Over to the experts and look forward to the debate.
Thank you
 
i would also be interested in a debate on this. Also if my tenants leave after a one year lease and I am re advertising for new tenants am I retricted to keeping the rent the same as the previous years. example rent out house in January 2015 for 1000 euro. tenants leave January 2016. Re advertise January 2016 . Must i keep the rent advertised in 2015. Thoughts please.
 
Also if my tenants leave after a one year lease and I am re advertising for new tenants am I retricted to keeping the rent the same as the previous years. example rent out house in January 2015 for 1000 euro. tenants leave January 2016. Re advertise January 2016 . Must i keep the rent advertised in 2015. Thoughts please
If the market rate has increased from Jan 2015 to Jan 2016 you can apply the current rate. You are not bound by the last lease or "Kellys 2 years" in this situation.
 
I would like to know for my own and other Landlords knowledge were I to give the appropriate notice in the first 6 months of the new Part 4 tenancy that I could ask them to vacate the property and let it at full market rate to new tenants. I do not want to do it in this case but I would like to see it debated.

I don't see any debate. Old rents and tenancies have nothing to do with a new rental. You can charge whatever you like, market rent or lower. As for this 'market rent' being a fixed amount, it's whatever a tenant is willing to pay despite what the PRTB might think. If you've a new tenancy tomorrow, you then have to wait two years before increasing the rent.
 
I have a renewal of a 4 year tenancy coming up in the next few months. I last raised the rent by a relatively small amount in July of last year. I did not raise the rent to full market rate as 1) the tenants were quite good and 2) I did tell them at the time that I would be raising it incrementally (if they were staying) to market rate over the following 2 years. This part was done verbally. (So not enforceable but at that time you could raise it every year if it was required)
The tenants will probably want to stay on and enter into a new Part 4 tenancy.
What are my options about raising the rent in the above scenario.
I fear that I am trumped by the new legislation.

I fear that I may have confused everyone in my original post by the additional paragraph which is not included in the quote above
Briefly the situation is
Last Increase in rent. July 2015.
Further Part 4 commences in March 2016.
Tenants will want to stay on.
I feel that I will not be able to increase the rent until July 2017 if I allow the present tenants to renew the lease. (2 year will apply)
If I got them to leave (appropriate notice etc) I could raise the rent to the appropriate market level (subject to Kelly's law etc etc).
It is tempting but the soft side of me will probably allow them to stay.
Have I this right?
 
Further Part 4 tenancies
42.—(1) Not later than 6 months from its commencement, the
landlord may serve a notice of termination in respect of a further
Part 4 tenancy.
(2) The period of notice given by that notice of termination shall
not be less than (x112 daysx) - Now 140 days notice required.

So, yes, you may evict your tenant and without giving a reason.
 
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Thanks facetious. I was aware of that. The situation is that my tenants will want to stay on and I do not particularly want to get rid of them as they have been reasonably good. I raised the rent by a relatively small amount last July as in discussions with them they were not well placed to pay the full market rate at the time. It was verbally agreed (no value) that it would be raised on a yearly basis over the next 2 years to the market rent then prevailing.
The current rent is well below the current prevailing rent. I think I cannot raise the rent for the house with the current tenants (under Kelly's law) but if I remove them in accordance with the law I can obtain the current prevailing rent from new tenants which I would have no problem in getting. Am I correct in what I am thinking.
 
Am I correct in what I am thinking.

Yes, you are correct. However, perhaps a bird in the hand is worth 2 in the bush, so to speak.
 
Thanks for replying facetious. I am sure there will be some who will avail of this opening/gap in the law.
 
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