Residential Tenancy Agreement Template (UK)
If you are a Landlord letting residential property in the UK you will need to put in place an assured shorthold tenancy which takes a standard form and runs for an initial term of 6 months.
A written tenancy agreement protects the rights of Landlord and Tenant and sets out when rent is to be paid, how much and what for. The absence of a written agreement or a poorly drawn up agreement can lead to heartache and headache later on down the line as either party finds it hard to defend their rights and as a Landlord this could mean lost rent or, in the worst case, finding it hard to get possession of your property back.
You will find free tenancy agreement templates online but you can not be sure that these conform with Landlord and Tenant Law and it is a false economy as you can get a professionally drafted tenancy agreement template for very little which will protect your interests for the duration of the tenancy.
Assured Shorthold Tenancies initially run for 6 months and the agreement will specify how much notice must be given by either party to either terminate the lease or extend it – generally if neither party serves notice the tenancy agreement will run from month to month at the end of the inital 6 months on the same terms.
If you do not feel confident using a Tenancy Agreement Template to create your own agreement, you should seek the help of an experience lettings agent -preferably a member of the national body ARLA (Association of Residential Lettings Agents) – and someone who comes recommended.
If you want help finding tenants and getting them credit checked but are happy to manage the ongoing relationship yourself, many lettings agents will do this for a set fee. If you opt to have a letting agent manage the property for you, generally the cost of setting up the agreement will fall within your monthly mangement fee which is nornally charged as a percentage of rental income.
You may also be interested in getting a Buy to Let Insurance Quote from a reputable insurance broker, so that in the event that something does go worng, you are covered. If your property is owned on a buy-to-let mortgage your lender will demand that you have this insurance in place – it can also be handy for insuring against loss of income if you have a ‘void period’ with no tenants.
External Resources: Types of Tenancies – private renting