Q. I have an applicant to rent my property who only wants to stay for three months. I am OK with this, but can we grant an assured shorthold tenancy for such a short period?
A . Yes. When assured shorthold tenancies (ASTs) first came in, in 1989, they had to be for a term of six months or more. However, this rule was done away with when the Landlord and Tenant Act 1996 came in, and since then ASTs have been the default tenancy type, and the six-month rule was done away with.
So now you can give a fixed term for whatever period of time you want – even a week! However, it is important to realise that this is enforceable only by the tenant.
Because if, at the end of your three-month fixed term, the tenant decides to stay, there is not a lot you can do about it. You cannot serve a section 21 notice during the first four months of the tenancy, and then once the notice period ends, if the tenant is still there, you will need to obtain a court order through the courts. Which could take you up to a year or more.
So, if you require the property for something else after the three-month period, you need to think very carefully about letting tenants in as it could be up to a year or more before you can get them out again.
Q. I have been told that I can only increase my tenant’s rent once every 12 months. Is this correct?