• Friday, April 26, 2024
businessday logo

BusinessDay

The importance of tenancy agreements

businessday-icon

Over the holiday period, I received at least five calls from desperate tenants who had moved into properties without signing Tenancy Agreements, and now having problems with the landlord. I cannot overemphasize how important this document is, and will prevent a lot of problems between both parties. I also know of cases where the tenant refuses to vacate the property at the end of the Tenancy period. An agreement would have protected either party in these cases. Agreements must be requested for before moving into any property, residential or commercial.

A tenancy agreement is a contract between a landlord and a tenant specifying the terms and conditions of their rental agreement. Tenancy agreements are usually put in place before letting out property. All tenancy agreements should state the parties involved, the rental price, any deposit retained by the landlord, the property address, the start and end date of the tenancy, and the obligations of the tenant and the landlord. It is important that both parties are fully aware of what is included in the agreement. Standard information that should be in all residential tenancy agreements includes:

• All parties involved (this includes the guarantor if there is one).

• Address of the property being rented.

• Start and end date of the tenancy.

• Name and address of landlord.

• Name and address of any letting agent.

• Amount of rent to be paid and the date it should be paid.

• Method of payment.

• Any additional charges.

• Whether a deposit must be paid, what it covers and the amount paid.

• Whether the tenancy can be ended early by the landlord or tenant and if so how much notice must be given.

• Who is responsible for minor repairs.

• Whether a tenant is allowed to sublet.

• Whether a tenant can have lodgers.

• Whether the tenancy may be passed on to anyone else.

• Rules regarding pets, smoking etc.

A tenancy agreement is read and signed by both the landlord and tenant, and the tenant is entitled to receive a copy of the agreement. Landlords should provide the tenant with sufficient time to read the agreement and raise any questions they have before signing and agreeing to the terms. The landlord/letting agent  is also required to provide the tenant with their full name and address.

All tenancy agreements must comply with statutory law. This is law that is enforceable by the judicial system and is therefore legally binding regardless of what is stated in the tenancy agreement. With all tenancy agreements there are rights by law for both landlord and tenant; even though these may not have been discussed between both parties in advance, they apply to all tenancy agreements. Tenants should ensure they read in detail what is contained in their agreement, before signing. The following are the basic rights that a tenant will have in any Tenancy Agreement:

• The right to live in the accommodation undisturbed

• The right to live in a property in already good repair

• The right to information about the tenancy

• Protection from unlawful eviction

Very often tenants accept properties that have not been fully completed or still have outstanding repairs, which they are promised will be completed once they move in. More often than not, this never happen, and the tenant is left to complete the repairs themselves with their own money, or continue to live with the outstanding repairs

Any breaches in the Tenancy agreement, must be brought to the attention of both the landlord/agent and tenant  and given the opportunity to rectify before any action is taken. It is best that there is some dialogue before ill feelings develop. If there are breaches then the Landlord or the tenant can be taken to court. Breaches in Tenancy Agreements can also be with the tenant not keeping to the terms of the Agreement.

Caroline A. Akinlotan