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November 2018

3 Top Tips For Landlords and Tenants

As the year comes to a close, your thoughts might be turning towards new and exciting opportunities for 2019. Whether you are a Tenant or a Landlord, you may have thought about expanding to a new location, adding a new property to your property portfolio, or you may have a lease, which is due for renewal.

It is common for Tenants and Landlords to assume that only the cost of the lease is payable monthly, or quarterly as rent. However, thought should be given to other regular costs, which will be claimed in addition to the baseline rent. Building insurance, service charge and utilities can all come at an extra cost.

The term stated in the lease doesn't necessarily mean that the Tenant will have possession of the premises from one date to another. The Landlord and Tenant Act 1954 provides security of occupancy for Tenants, meaning they are automatically entitled to a new Lease at the end of the lease term. Landlords can include a clause in the lease, which prevents that law from applying to the lease (known as ‘contracting out’), however, this can be both helpful and harmful and it is essential to give it serious thought.

Break clauses allow one or either of the parties to end the lease part way through the term, should they wish to. They can mean that there is an added flexibility, which could be desirable to a future Tenant, but with flexibility can come uncertainty. It's essential to be advised properly about what a break clause could mean to you and your business before the lease is signed.

If you need any help with your home, please contact us where one of our personable property lawyers would be delighted to assist you throughout the process.
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