The question is, does your tenant want a new fixed term lease or does he want a Part 4 lease? It is the tenant who chooses what he wants, not the landlord deciding he wants a Fixed term lease.Hi!
Just did a search there on my question, and found this post ...
Anyway, my question: as a landlord, how do I renew a lease?
I got a Lease agreement template last year, filled in the details and dates and we both signed.
To renew, should I just get another template, and fill in the same details with new dates?
Is there a shorter way, like photocopying the pages that don't change, and then just signing with new dates.
Or an even shorter way, like writing a letter to say the Lease is extended by another 12 months?
Thanks,
/M.
Or an even shorter way, like writing a letter to say the Lease is extended by another 12 months?
Thanks for the reply. I'm curious about this bit above ... is that because the tenant has been in place for more than 6 months and now has more rights, as opposed to when I drew up the initial Lease Agreement? I would have thought that at the end of the fixed term lease period everything was up for negotiation again? Anyway, it's not an issue. The only reason I wanted to have the Lease Agreement in the first place was to have a bit of security for both parties.The question is, does your tenant want a new fixed term lease or does he want a Part 4 lease? It is the tenant who chooses what he wants, not the landlord deciding he wants a Fixed term lease.
I would have thought that at the end of the fixed term lease period everything was up for negotiation again? Anyway, it's not an issue. The only reason I wanted to have the Lease Agreement in the first place was to have a bit of security for both parties.
Páid, I think your link to Wikipedia was really about tenancies in the USA. In Ireland, at the end of a fixed term lease, if no further lease is signed, the tenancy automatically becomes a Part 4 tenancy.At the end of the fixed term lease you have what is known as a periodic tenancy i.e. the terms of the initial agreement will apply with the exception of the fixed term. Part 4 still applies and the tenant does not have to sign a lease if they don't want to.
Yes, everything is up for negotiation apart from the type of lease the tenant wants. The tenant chooses whether he wants the more secure fixed term agreement as the landlord may only evict a tenant if the latter is in breach of his obligations. However, a tenant also has the option, if he decides to leave mid term, of an assignment. The landlord has no way out except for example a buy-out of the lease which could be costly.Thanks for the reply. I'm curious about this bit above ... is that because the tenant has been in place for more than 6 months and now has more rights, as opposed to when I drew up the initial Lease Agreement? I would have thought that at the end of the fixed term lease period everything was up for negotiation again? Anyway, it's not an issue. The only reason I wanted to have the Lease Agreement in the first place was to have a bit of security for both parties.
And the main reason I would like to renew the Lease 12 months at a time is that I would like to be in a position to consider putting the house up for sale at the end of any 12 month period, giving the required notice of course.
Even in a Part 4 Lease arrangement, I would still be entitled to end the tenancy at x months notice, if my reason was to put the house up for sale, right? It's a while since I looked into this stuff, not sure what x is ....
Thanks again.
Páid, I think your link to Wikipedia was really about tenancies in the USA. In Ireland, at the end of a fixed term lease, if no further lease is signed, the tenancy automatically becomes 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.
Correct, but the tenant does not have to claim his/her Part 4 rights whether or not they have been acquired. The landlord cannot force a Part 4 tenancy on the tenant.Páid, I beg to differ. Even if a tenant does not advise a landlord between 3 months and 1 month prior to the end of a fixed term tenancy that he wishes to stay, it does not negate his right to a Part 4 tenancy rights; these have been acquired at the six month point. However, the tenant may be liable for any expenses the landlord may have had in anticipation of the tenant vacating. This could include having advertized the property and/or engaged an agent to handle finding a new tenant.
In that scenario the tenant simply has to claim a part 4 tenancy as they cannot be refused coverage under Part 4. But the tenant could not claim Part 4 rights, making it a periodic tenancy. This is beneficial to the tenant as if they had a fixed term lease for 1 year paying rent monthly, then stayed for another 6 months before deciding to move out, they could give the landlord a months notice instead of the 42 days required by the RTA 2004.In your scenario of the tenant not advising the landlord, the landlord could serve a NoT giving 28 days notice which is incorrect as the tenant has been in the property for more than 1 year.
That section relates to a tenancy being assigned to another person with the consent of the landlord and is not relevant to the OP's question.Extract fro the RTA 2004
38.—(1) If a Part 4 tenancy is assigned by the tenant with the consent of the landlord then if the assignment is—
(a) to a person, other than a sub-tenant of the dwelling concerned, the assignment shall operate to convert the Part 4 tenancy of the dwelling into a periodic tenancy of the dwelling and the protection provided by section 28 for the assignor shall accordingly cease....
Thus, the landlord may evict the new tenant during the first 6 months of the tenancy by giving 28 days notice without a reason. It must be observed that the new tenant is not already a sub-tenant because a sub-tenant may have already been in the property for more than six months.
This is beneficial to the tenant as if they had a fixed term lease for 1 year paying rent monthly, then stayed for another 6 months before deciding to move out, they could give the landlord a months notice instead of the 42 days required by the RTA 2004.
A tenant does not have to claim Part 4 rights, s/he automatically acquires these rights once s/he has been in the property for 6 months. This usually occurs during a fixed term lease. At the expiry of the fixed term, the tenant has the option of signing a new fixed term lease.In the absence of the tenant claiming Part 4 rights at the end of a fixed term lease what does the tenancy become?
It makes me feel a bit happier to hear you say that you found a least one part of the RTA confusing. All of it confuses me. It is very poorly written in my honest opinion. It could and should have been written in a more understandable manner.It took me quite a while to understand exactly how a Part 4 tenancy worked. I found it confusing that a Part 4 tenancy could exist at the same time as, and run along side, a Fixed term tenancy.
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