Our Landlords' Guide To Resolving a Tenancy Dispute

How To Resolve A Tenancy Dispute?

According to the latest statistics from the Office for National Statistics (ONS), there are 2.82 million buy to let landlords in the UK, more than a quarter of whom (26%) make a living from their property portfolio. However, it is not always plain sailing as in 2024 to date, there have been 42,542 tenancy disputes this is a 0.9% increase compared to the previous period. Many of whom seek legal advice from tenancy solicitors at firms such as Eatons Solicitors to find the most suitable resolution for both parties. In our guide we will look at the most common causes of tenant dispute and will then look at how to resolve them as well as how to avoid them.

The Most Common Causes of Tenancy Disputes

Most tenants behave in an appropriate way and will respect their landlords, however, even the best tenants aren’t averse to conflict and will on occasion disagree with their landlord. This might not always result in the landlord seeking legal action, but it can.

The most common causes of tenancy disputes include deposit deductions, rent issues such as arrear or rent increases, repairs and maintenance, as well as eviction and notice periods.

Steps to Resolve a Tenancy Dispute

Steps towards the resolution of conflict between tenants and landlords are usually outlined in the tenancy agreement which acts as the contract between the tenant and their landlord. This means each tenancy dispute is resolved in a different way but there are some general rules that can be followed.

Step 1: Communicate Directly

Before deciding to reach out for the tenancy agreement, it is important to communicate with the tenant by informing them of changes to the tenancy or responding to any grievance promptly. This is because direct, open, and respectful communication with the tenant often avoids any misunderstandings. Clear communication will lead to a quicker resolution of the dispute. Moreover, keeping records of conversations will give both parties undeniable evidence of the resolution of the dispute.

Step 2: Review the Tenancy Agreement

The Tenancy Agreement is an essential part of resolving conflicts with tenants. Therefore, it is important both parties involved have a clear understanding of it. However, it is important to stress that as with every contract there is room for discussion and negotiation; particularly when it comes to clauses relating to deposits, maintenance, and termination.

At Eatons, we advise landlords take advice from a tenancy solicitor when drafting a new tenancy agreement as it will minimise the possibility of a dispute arising in the future.

Step 3: Use a Deposit Protection Scheme

In the UK, since April 2007, landlords must place the deposit they charge into a Tenancy Deposit Protection Scheme. These are government-backed schemes that ensure the tenant gets their deposit back if they met the terms of their tenancy agreement, not damaged the property, and paid rent and bills due. Whilst these schemes guarantee the tenant get their deposit within 10 days of leaving the property, it also insures the deposit is protected until any issues between the landlord and their tenant are resolved.

Step 4: Seek Mediation Services

If none of the previous steps have been effective in resolving a dispute between the landlord and their tenant, they can call upon a mediation service such as the Housing Ombudsman or the local council mediation services. These services help with issues such as rent payment, property standards, repairs, and breach of tenancy terms.

Mediation is usually a more time-effective and cheaper alternative to going to court. The session usually takes place over the phone and lead to constructive discussion between the landlord and their tenant.

Step 5: Take Legal Action (as a Last Resort)

As with any contractual dispute, taking legal action is usually the last resort. Conditions for legal action should be outlined in the tenancy agreement. These include the tenant staying in the property past their notice period and trying to recover rent arrears. The court will usually approve a section 8 eviction notice if the tenant owes at least 2 months rent (8 weeks if they are charged weekly).

It is important to note that claims under £10,000 will be handled by a small claims court and getting advice from a tenancy solicitor might be necessary. Therefore, the costs of taking a tenant to court is usually quite high.

Tips to Avoid Tenancy Disputes

As resolving tenancy disputes is usually costly and time consuming, there are steps the landlord and tenant can take to avoid conflict. This includes conducting a thorough inventory of the property with photos and relevant documentation as the start and end of the tenancy, regular communication between both parties, documenting all agreements in writing, and keeping up to date with tenancy law.

Another valuable tool that will help avoid conflict is having a clearly laid out tenancy agreement that puts in place the necessary framework should a dispute arise.

Taking these steps opens clear communication channels that allow the landlord and their tenant to discuss any issues relating to the property or tenancy agreement. The landlord can always seek advice from a tenancy solicitor should they need help drafting up a tenancy agreement.