06 January 2009: 05:39 UK Time
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Assured Shorthold Tenancy Agreements (ASTs)

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Assured Shorthold Tenancy Agreements and other legal documents

The Assured Shorthold Tenancy (AST) was originally introduced in 1988 and later amended in 1996. Along with the buy to let mortgage, it was a major factor in initiating the buy to let boom.

The Assured Shorthold Tenancy Agreement effectively re-empowered landlords, so as to make it easier to evict unwanted tenants – an ability that had been removed by Labour's Rent Acts of the 1970s.

The Assured Shorthold Tenancy Agreement

With increasing numbers of people becoming tenants it is even more importatnt than ever to be as sure as you can about your tenants' financial status.

In fact, if you are taking out some form of Rent Guarantee and Legal Expenses Insurance you will find that the insurers will insist that all tenants covered by the scheme must be properly referenced first.

A bonus to all this is that when prospective tenants know that they will be fully credit checked it does tend to discourage any dodgy ones!

?ASTs are normally signed for either 12 months with or without a 6 month break clause, or 6 months.As far as the tenant is concerned, the granting of an AST guarantees them six months’ security of tenure except in exceptional cases where a judge may order that their behaviour has nullified the agreement.

You can download a free form of AST here*. Please note the disclaimer clause to the right.

Always ensure that both yourself and the tenant(s) sign the Tenancy Agreement and that the signatures are witnessed. It's a good idea for both you and the tenant to initial each page of the agreement. Give the tenant a copy of the agreement and retain a copy for yourself.

It's vital that any AST specifies that the tenant is responsible of paying the Council Tax, water rates and gas and electricity bills.

Remember that where there is more than one tenant that ALL officially named tenants must sign the agreement and that they understand that they are joint and severally liable for the rent. This means that if there are say two tenants and one of them disappears the other is responsible for all of the rent.

Other important legal documents

Section 21 Notice
Besides the AST, you should ensure that a Section 21 Notice is handed personally to the tenant and receipted. The Section 21 Notice is simply a legal document stating that you require the property back at a specified date at the end of the tenancy. It is a formality that once served allows a landlord to immediately serve notice on a tenant with whom they have grounds to evict without waiting – basically it speeds up any eviction notice should it prove necessary.

Inventory
This is a comprehensive list of all the contents of the property and their condition at the commencement of the tenancy, including wall surfaces, floor coverings, drapes etc. Once agreed, both the landlord and the tenant should sign it and copies should be retained by both parties. It is vital in order to help settle any disputes over the return of the security deposit at the end of the tenancy.

 

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FREE Assured Shorthold Tenancy Agreement
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*Please note that Landlordsandletting cannot be held responsible for any errors or ommissions in this free download. You are advised to check the document carefully to assure yourself that it contains all the safeguards/restrictions to tenure etc that you require.
By downloading this document you agree to this disclaimer.

 

 
Landlordsandletting.co.uk is an information site. Seek independent legal advice before proceeding with any transaction. LandlordsandLetting is owned by Sureweb Ltd and acts as an introducer only. Rentguard policy conditions are always subject to Terms & Conditions of the relevant Rentguard Policy Document wording.