Rented Property Focus – October 2016

The student rental market is once again in full swing. In this month’s column we explain why a tenancy agreement should be the first set text of the year…

It’s that time again. Students are either starting or returning to university and in many cases, agreeing to rent a property with friends for the duration of the academic term.

This is the honeymoon period – everyone is on their best behaviour and there’s been no skirmishes about baked beans on the carpet or whose turn it is the clean the bathroom yet.

Student tenancies will often contain the phrase “jointly and severally liable” but all too often, those signing up to the agreement do not understand the obligations this imposes.

Basically, in a contract with two or more people, it commits all parties to jointly do something, i.e. pay the rent or care for the property and makes individuals responsible for the same thing.

For example, if four tenants jointly and severally agree to rent of £1,000 per calendar month, to be split equally and one fails to pay their £250 share, the remaining three will be held accountable for the shortfall. Suddenly spilled baked beans are the least of their worries!

To avoid misunderstandings, it is important students are aware from the outset that if one or more of their housemates fails to comply with their obligations, the remaining occupants will be liable.

From a landlord’s point of view, it is advisable especially in student lettings, to ensure you include the jointly and severally liable phrase to protect your investment. Should you need to recover rent arrears, you can do so against the individual tenant in default or, more commonly, against all parties under the terms of your agreement.

The moral of the story for students is to read your tenancy carefully, make sure you know who you are living with and understand that if one person reneges on their obligations, your landlord can take action against the collective.

For more information, telephone (0114) 218 4000, visit www.tayloremmet.co.uk or follow the firm on Twitter @te_propertylaw.