Renting explained
How it all works
1. The different tenancy options
A tenancy is the contract between you and the Landlord. There are two types of options available through My Future Living in England and Wales.
Assured ‘lifetime’ Tenancies
These are our usual tenancy type. Key features are:
- This is a long-term tenancy which offers increased protection from eviction, provided tenants keep to the terms of the tenancy agreement.
- After an initial fixed term, the tenancy automatically continues on a ‘periodic assured tenancy’ basis whereby the tenant stays for as long as they wish and yet may give the required notice to leave at any time.
- The landlord can only regain possession by obtaining an order from the court if there has been a breach of contract by the tenant.
Assured Shorthold Tenancies
These are the more common tenancies on the open market and many of our properties can be rented in this way, if preferred. Key features are:
- This is a fixed term tenancy, where our landlords usually offer tenancies of between two and five years.
- Once this fixed term is up, either a new tenancy will be negotiated and offered to the tenant or the landlord may wish to regain possession.
Private Residential Tenancy (PRT)
Scottish properties only. Since 2017, all new tenancies in Scotland must be a private residential tenancy. Key features are:
- This is a no fixed term tenancy.
- The tenancy is brought to an end by the tenant giving notice or, the landlord obtaining an eviction order from the First-Tier Tribunal using one or more of the grounds set out in Schedule 3 of the Private Housing (Tenancies) (Scotland) Act 2016.
It’s important to note that all our tenancies are subject to an annual rent increase that is linked to the Retail Price Index.
2. Managing your finances
One of the many benefits of renting is that it can be easier to budget your money every month. When you rent the landlord covers the ongoing costs of maintenance, building service charges and buildings insurance, so there are no surprises. For older people with limited incomes this can be really reassuring.
To help you plan your finances below are the bills you will be responsible for:
- Monthly rent
- Council tax
- Utility bills – electricity, gas, water (please note in many cases water rates are included in the rent)
- Other personal bills – telephone, internet, home contents insurance, TV license and any TV subscriptions
These are the costs you will pay prior to moving into your rental home:
- Holding deposit – equal to one week’s rent. This reserves the property and is paid towards the first month’s rent. Holding deposits do not apply in Scotland.
- Security deposit – equal to one month’s rent. This covers damages and defaults on the part of the tenant during the tenancy. The deposit is reimbursed at the end of the tenancy, subject to the details of your agreement and the findings of the inventory check-out report.
- Advance rent 4-6 weeks rent depending on your start date.
3. Security deposit
Everyone that rents a property will be asked to pay a security deposit prior to moving in, which is normally one month’s rent. This is held for the duration of the tenancy and the landlord can claim against any damages or unpaid rent at the end of the tenancy.
We are members of the Tenancy Deposit Scheme (TDS) which means we hold deposits in a secure managed account and any properties rented on assured shorthold tenancy will be registered with the scheme as required by law.
The release of funds at the end of the tenancy requires both parties to agree on any deductions, often following an inspection to ensure the property is left in good order. If there is a requirement for repairs and/or cleaning the landlord can request the amount be withheld from the deposit.
My Future Living holds deposits as a stakeholder which means in any dispute funds cannot be released unless agreed by both parties (tenant and landlord). Disputes will be passed to the independent case examiner at the TDS to arbitrate and resolve.
4. Our fees
We keep our fees simple and transparent, with no hidden fees. This enables our future tenants to understand all the charges they will be liable for, which helps them make the decision of renting is for them or not. Here are our fees:
Holding Deposit
One week’s rent.
This reserves the property and is held towards the first month’s rent.
Please note: The holding deposit will be withheld if the applicant(s) or any relevant person (including any guarantor(s)) withdraws from the tenancy, fails a Right-to-Rent check, provides materially significant false or misleading information, or fails to sign their tenancy agreement (and / or Deed of Guarantee) within 30 days (or other deadline as mutually agreed in writing).
Early Termination (Tenant’s Request)
Should the tenant wish to leave their contract early, they shall be liable for the landlord’s costs in re-letting the property as well as all rent due under the tenancy until the start date of the replacement tenancy. These costs will be no more than the maximum amount of rent outstanding on the tenancy. Early termination is subject to the landlord’s agreement.
Unpaid rent
Interest will be 3% above the Bank of England Base Rate from Rent Due Date until paid to pursue non-payment of rent. Please Note: This will not be levied until the rent is more than 14 days in arrears.
Variation of Contract (Tenant’s Request)
£50 (inc. VAT) per agreed variation – to cover the costs associated with taking landlord’s instructions as well as the preparation and execution of new legal documents.
Change of Sharer (Tenant’s Request)
£50 (inc. VAT) per replacement tenant or any reasonable costs incurred if higher. This will cover the costs associated with taking landlord’s instructions, new tenant referencing and Right-to-Rent checks, deposit registration as well as the preparation and execution of new legal documents.
WALES
Holding Deposit
One week’s rent.
This reserves the property and is held towards the first month’s rent.
Please note: The holding deposit will be withheld if the applicant(s) or any relevant person (including any guarantor(s)) withdraws from the tenancy, fails a Right-to-Rent check, provides materially significant false or misleading information, or fails to sign their tenancy agreement (and / or Deed of Guarantee) within 30 days (or other deadline as mutually agreed in writing).
Early Termination (Tenant’s Request)
Should the tenant wish to leave their contract early, they shall be liable for the landlord’s costs in re-letting the property as well as all rent due under the tenancy until the start date of the replacement tenancy. These costs will be no more than the maximum amount of rent outstanding on the tenancy. Early termination is subject to the landlord’s agreement.
Unpaid rent
Interest will be 3% above the Bank of England Base Rate from Rent Due Date until paid to pursue non-payment of rent. Please Note: This will not be levied until the rent is more than 14 days in arrears.
*Please note the above fees do not apply in Scotland.