I’ve had tenants for nearly 5 years who I’ve been happy with. They are quite reliable and I’ve also been happy to accommodate changes in payment dates whenever they’ve had cash flow issues especially during Covid lock downs.
After 5 years of no rent reviews, I have now given notice that the rent will be going up by a bit. It is still a fair bit below the market rate as I thought it unfair to put it up all at once to market rate.
The tenant has replied that they are okay but have suddenly given me a shopping list of things they want changed - including changing the carpets, which they say needs changing after 5 years with their kids. They are pushing for this to be changed ASAP.
I am wondering what my responsibility as a landlord is here and how others determine how much damage should come out of the deposit. I would like to keep my tenants happy but also don’t want to be a mug if I am being pushed to change a carpet that has been trashed by them.
I also know that I can get much more rent if I set up a new rental with other tenants.
This is an interesting one.
Kids will invariably cause more wear and tear. But there’s obviously a difference between wear and tear and damage. I think maybe a pragmatic view is called for and consider splitting 50/50.
Remind them of the below market value still and maybe even give multiple examples to prove this, and that they have benefitted for 5 years with no rent hike.
The penny should hopefully drop with them. You want to keep them “on-side”.
If you think the other things are unreasonable do not accommodate. You are boss the end of the day.
Having said this, I will often just get things done like a carpet swap without debate as it’s just leads for an easier life. I take the whole picture into account, a tenant with a good attitude gets the diamond service!
I recently discussed a price hike with a tenant in view of the fact of mortgage rate rise next year and that a review was overdue. I explained the situation in detail, the market value of property should it be let on open market etc so she knew all of the facts.
I offered a rent increase of about 10% that was still quite a bit below market and amazingly it was her who said no, and to charge her the full market value!
A carpets life is 7 years (according to DPS), so if you have proof you laid the carpet 5 yrs ago, brand new, and it cost £600, the DPS would award you 2/7th because you have had 5 yrs of wear and tear and lost 2 yrs, so you would be awarded £171.32. However, if the carpet was already there and you have no evidence of when it was laid or how much, you would receive no award.
However, they are not leaving so slightly different. I would replace the carpet, pay in full, keep the receipt for when they leave. They have been with you 5 yrs.
I’d also make a point to do more regular rent reviews, i do them bi-annually.
Thanks for all the great advice. Yes, I should probably look to carry out more regular rent reviews in future. I think this would have happened sooner had it not been for Covid.
I will also be sure to keep the receipt for the new carpet. (The old one had not been bought by me but had been in pristine condition)
This is helpful although I’m not in that situation. I’m picking up about doing rent reviews though. I’ve had a regular tenant for over a couple of years, and they are great. So what’s the best to go about procuring a rent review and would you need one and is there value in them if you only one or two properties.
If I were you I would schedule an inspection asap to look at all the things on their shopping list. If they’re damaged then you may need to replace them, although you might then want to discuss a larger rent increase with them.
I’ve decided to pay for it but I did let the tenant know that I have held off rent reviews for a while and that it is currently quite below the rental price on the market. They are good tenants so I am happy to keep them on side.