Residential tenancies

If you are renting out your residential property, you must consider the different letting documents available so that the appropriate rights are given to the tenant whilst still keeping control of the property.

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Letting documents

It is important to use the correct document so that the tenant does not obtain rights in the property and so that you can easily remove the tenant if they do not pay the rent or breach any obligations in the agreement. If the wrong type of document is used, a tenant may obtain rights to remain at the property.  As a tenant, you want to make sure you have the security of tenure you need and the landlord has obligations to maintain the property and not disturb you.

Choosing the right tenancy agreement is also important when seeking for mortgage, as mortgage contracts often contain a term that requires the homeowner to get the lender’s permission before renting out all or part of the property.

Assured shorthold tenancy

An assured shorthold tenancy (AST) is a tenancy that gives the tenant the exclusive right to use and occupy a house or flat and is the most popular kind of residential tenancy in use in England and Wales.

Under an AST the owner will not live at the property and the tenant is given the use of the property for a set time - usually 12 months.

The owner can get possession of the property after the first six months by following the set procedure. Rocket lawyer’s Tenancy agreement for a flat and Tenancy agreement for a house are ASTs.

Lodger agreement

A lodger agreement gives a lodger the right to use a spare room in a property.

Under a lodger agreement the owner will live at the property and the lodger is given use of a bedroom and has the right with the owner to use other areas in the property such as a bathroom, kitchen and garden. 

The owner can end the lodger agreement if the lodger is late in paying the rent or breaches any obligations in the agreement by following the set procedure. Create your Lodger agreement.

As a landlord, you might not be able to enter into a lodger agreement if you are seeking a  mortgage, as many lenders only accept shorthold tenancy agreements to grant a mortgage.  

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Holiday letting agreement

Under a holiday letting agreement, the owner will not live at the property and the holidaymaker is given full use of the property for a set (short) period of time, usually between 1-3 weeks.

The holidaymaker does not get any right to stay in the property after the set period and the owner can obtain possession of the property by following the set procedure. Create your Holiday letting agreement.

Room Rental Agreement 

A room rental agreement is a type of AST and allows the occupier to have full use of a room in a property with other people occupying other rooms.

Under a room rental agreement the owner will not live at the property and the occupier has the right to use a bedroom at the property and the right to use other rooms along with other occupiers.

A separate agreement is granted to an occupier for their room at the property and there can be up to a maximum of three unrelated occupiers at the property in total.

The owner can get possession of the property after the first six months by following the set procedure. Create your Room rental agreement.

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Create your Tenancy agreement

Answer a few questions. We'll take care of the rest