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Residential Tenancy Act

Introduction -  as a result of the Housing Act (residential tenancy act), the Assured Shorthold Tenancy  agreement (AST) has become the most common form of residential letting contract in the UK. This is what most residential landlords use to have a contractual relationship with their tenants. The Assured Short Hold Tenancy Agreement applies to English properties and the Short Assured Tenancy applies to Scottish properties.  This agreement allows the tenant to rent a property from you in exchange for a market rent. These can be made for a specific period of time, for instance, one academic year, but in England they will not usually be made for a period of less than 6 months and in Scotland they can not be made for a period less than 6 months.

Shorthold vs. Tenancy - assured shorthold can be identified from assured tenancies by having an additional ground for possession option to the landlord; there does not have to be any specific reason stated, and the landlord simply has to give two months notice. In addition, landlords can use the Accelerated Possession Procedure, (which is a a more speedier method compared to a county court hearing), in a situation where the tenant refuses to leave.  The Assured Shorthold Tenancy Agreement usually has a shorter tenancy period than the Assured Tenancy. 

AST Exclusions - the following are not covered by the Assured Shorthold Tenancy Agreement; business tenancies, Company Lets, Holiday Lettings or a property where the annual rental value exceeds �25,000.  

Signing Process - You should get your tenant to sign the AST agreement before they take possession of your property.   Two copies should be prepared (the original and counterpart), which should both be signed by your tenant. You keep the original copy and give your tenant the counterpart. It is always prudent to ask for a witness to sign in the presence of the tenant signing, in the unlikely event of any future legal disputes.

Joint versus Separate Tenancy Agreements - the choice is up to you;  If you let to students sharing, you might insist they sign a joint tenancy (where all are jointly responsible for the groups debts as a result of damage).  Alternatively, in a separate agreement with each student, each is responsible for any damage they might have individually caused.  

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