Threat to end lease if we don't agree rent increase

J

JPSaltee

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hi all,

We have been tenants in a flat since August 2013. We have been excellent tenants ( in our opinion!) fixing odds & sods, keeping flat in good condition & paying rent on time & in full. We believe landlord is happy with us as tenants, they just want us to pay more.
We agreed rent at start of tenancy in 2013 & it remained at that level until August 2015. Landlord requested rent increase in August 2015 to which we agreed & we increased payments. Now 12 months later they have requested a further increase. Our understanding is that following changes in legislation in 2015 that the rent should remain as is until 2017- is this correct?

Recent communication (all by text) has been as follows: landlord asked if we wanted to "renew lease". We said yes we would like to continue lease. They then reverted to say that market rents in area are approx 600e more than we are paying and what would we feel would be appropriate rent allowing for a suitable discount. We reverted to say we weren't expecting an increase until next year due to legislation changes. We can't afford a significant increase.
They have now said that they understand increase is significant so happy to agree something in between. However, they also stated "regrettably, if we cannot agree a figure, I may not be able to renew your tenancy in August 2016."

Having looked on the PRTB website etc a landlord can end a tenancy for several reasons, none of which we believe apply but can they suddenly decide they need a family member to live in flat or some other excuse just to get us out?

We love the area & really want to stay! Thanks for any advice!
 
Hello,

If your lease comes to an end in August 2016, they are rightfully allowed to increase the rent subject to the right notice; however based on recent legislation, next agreed rent will be valid for 2 years. They seem open to negotiation so would suggest you assess pricing in the area as a benchmark and start the conversation.
 
They are not allowed to increase the rent as they they must wait 24 months from the last increase (last August). See the advice from threshold.ie. Also, note that communicating by text is not valid in terms of constituting any request to increase rent so you can ignore these if you wish - you are not obliged to respond to them.
On the other question, the landlord is entitled to end the tenancy for certain reasons as the OP states - see citizensinformation.ie. However given you are in the flat almost 3 years you are entitled to at least 8 weeks notice.
 
Ceist Beag said:
They are not allowed to increase the rent as they they must wait 24 months from the last increase (last August). See the advice from threshold.ie. Also, note that communicating by text is not valid in terms of constituting any request to increase rent so you can ignore these if you wish - you are not obliged to respond to them.
On the other question, the landlord is entitled to end the tenancy for certain reasons as the OP states - see citizensinformation.ie. However given you are in the flat almost 3 years you are entitled to at least 8 weeks notice.
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I think you are correct.

Changes commenced 4TH DECEMBER 2015

The new changes regarding rent certainty:

1. The duration between rent reviews has been extended from 12 months to 24 months. This measure will have effect for a period of 4 years from enactment of the relevant provisions, after which the duration between rent reviews will revert back to 12 months. This measure has been introduced upon commencement of the new legislation on the 4th December 2015.

Change: A Landlord (or Receiver) can only seek a review of the rent once in any 24 month period and cannot increase within 24 months of the commencement of the tenancy. For example, if a landlord issues a Notice of Rent Review on or after the 4 December 2015, a further Notice of Rent Review may not be served until 24 months have passed from the date of the prior rent review notice. The amendments also have a form of retrospective effect. Therefore, if a rent review occurred during 2015, the next review may not occur until 2017.

2. The period of notice of a new rent has been extended from 28 days to 90 days.

Change: If a landlord is seeking to review the rent, they must serve notice on the tenant, in writing, providing 90 days notice before the increase is due to take effect. The new period applies to any notice to increase rent served on or after the 4 December 2015. Any notice served prior to this date will be subject to the previous 28 day period.

Some examples:

1. A landlord reviews the rent of a dwelling on 1 January 2016 by serving a 90 day notice of rent review indicating that the change will take effect from the 1 April 2016. A subsequent Notice of Rent Review can not issue until 1 January 2018 and must also provide 90 days notice prior to the change taking effect.

2. A landlord has reviewed the rent of a dwelling on 3 December 2015 (prior to the commencement of the new legislative changes), and served a 28 day notice that the rent was to increase on 1 January 2016. The next rent review notice can not issue until 3 December 2017 and would additionally have to provide 90 days notice prior to the change taking effect, which would be 4 March 2018.
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More specifically this example applies;
A landlord has reviewed the rent of a dwelling on 3 December 2015 (prior to the commencement of the new legislative changes), and served a 28 day notice that the rent was to increase on 1 January 2016. The next rent review notice can not issue until 3 December 2017 and would additionally have to provide 90 days notice prior to the change taking effect, which would be 4 March 2018.
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From [broken link removed]
 
I understand their lease was signed prior the legislation came into force ( Aug 2015) hence the new rule shall apply to any new lease signed from December 2015; Surely the landlord has checked eligibility to do so before issuing his notice for an increase. JPSaltee for avoidance of doubt, double check with PRTB to avoid any inconvenience.
 
I could be wrong but my understanding is that this new legislation applies regardless of when a lease was signed (or even if no lease exists) and applies from the start of 2015. In other words if you increased the rent at all in 2015 then you must wait 24 months before it can be increased again.
Do not expect that a landlord has checked eligibility, especially if the landlord is communicating in the manner outlined by the OP.
 
For full text, check http://www.citizensinformation.ie/en/housing/renting_a_home/rent_increases.html

Rent reviews
A rent review can result in an increase or reduction of the rent. With effect from 4 December 2015, your landlord has the right to review the rent once every 2 years (increased from 1 year). Unless the accommodation has changed substantially, it cannot be reviewed more often than this.

Under the Residential Tenancies (Amendment) Act 2015, the following rules apply from 4 December 2015;
 
I think you're reading that the wrong way around Chantilly. I believe the legislation is written such that a rent increase cannot take place within 24 months of the last rent increase. It does not mean (as I understand it) that from 4 December 2015 the clock starts ticking. It is the other way around - from 4 December 2015 any rent increase must be at least 24 months after the last rent increase. I'm open to correction but that's how I understand it and a couple of blogs on myhome.ie appear to back that up here and here.
 
JPSaltee said:
hi all,

Having looked on the PRTB website etc a landlord can end a tenancy for several reasons, none of which we believe apply but can they suddenly decide they need a family member to live in flat or some other excuse just to get us out?

We love the area & really want to stay! Thanks for any advice!
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Yes, they can suddenly decide that the property is required for a family member but, as far as my memory goes, and I stand to be corrected, the family member must reside in the property for a minimum of 6 months before the property can be rented on the open market again. If the property is rented out in less than 6 months then the previous tenant (you) may make a claim with the RTB for illegal eviction and damages for the landlord's breach.

As an aside note for all posters, the PRTB has been renamed just the RTB standing for the same wording.
 
Have you rang the landlord or agent and discussed your concerns ? Seems to me that the landlord is just getting in touch to see how you feel. Why not just tell him ? Bear in mind that even if you are correct in getting no increase this year he may well decide not to negotitate next year and raise the rent quite sharply (within reason). I know many people who have been asked for a rise in rent over the last ten years and it nearly all cases came to an agreement which suited all which included no rise in rent in some cases.
 
If the last increase was in August 2015 then the next review can only take place in August 2017. 90 days notice prior to the change taking effect must be given which means that it's November 2017 before the increase would actually come into effect.
 
Paid I would assume it is possible to give 90 days notice prior to August 2017 indicating increase will take place in August 2017.
 
Ok, thanks all for taking the time to reply. I see it's not just me who is confused about the 24 months! I'm going to ring the PRTB tomorrow & see what they say & I'll post back here.
 
Meath Lady said:
Paid I would assume it is possible to give 90 days notice prior to August 2017 indicating increase will take place in August 2017.
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Not according to the RTB example.

A landlord has reviewed the rent of a dwelling on 3 December 2015 (prior to the commencement of the new legislative changes), and served a 28 day notice that the rent was to increase on 1 January 2016. The next rent review notice can not issue until 3 December 2017 and would additionally have to provide 90 days notice prior to the change taking effect, which would be 4 March 2018.
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Ok, spoke to a guy in the PRTB, told him last rent review was August 15 & when could landlord apply another - response was August 2017, subject to correct form of notice, in writting etc, correct no of days in advance etc.
I mentioned that the landlord had intimated that they would cancel the tenancy if we didnt agree to rent review now - response was - they cant do that.

I then mentioned my concern that the landlord would suddenly want to carry out work on the premises or house a family member or themselves there - again they said cant do this unless comply with various conditions, one of which is have a declaration completed & signed by notary/commissioner of oaths.

So have written back to landlord advising of changes in law & that we believe that rent remains as is & tenancy can only be terminated in August 17. I've been v polite & said that as new legislation changes they may not have been aware of them & recommended they check with PRTB themselves and noted that to now we have had a good relationship & that we dont want this affected by a change in law that happens to have fallen in our favour in this instance.

Fingers crossed! Whilst we understand that landlords arent a charity we believe that this landlord is not in any financial difficulty or struggling to pay mortage. Whereas I havent had a pay rise in 6 years and every bit of an increase in rent hurts. We are expecting that assuming we stay at current rent to Aug 17 that the rent will then be put up to the max it can be & that we will no longer be able to afford the flat :-( but at least we will have time to plan for that change.
 
That's pretty much as I understood it alright JP. Well done on being so polite and professional in your dealings with the landlord, hope it all works out for you.
 
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