‘Rent in advance’ is not an accurate expression?

Not much point in arguing with an organisation which has already made up its mind to persecute landlords. Go with the flow, foreign students who cannot get accommodation are not the landlords’ problem, the government will lose out on that invisible export. Just wait; for the present take only gold-plated solid platinum tenants, laugh inwardly at those with the slightest financial or behavioural blemish as you reject them, none of these are your problem that privilege belongs to the lawmakers.

The day of the landlord will come, be ready to take full advantage.

Reply to the comment left by Jason at 03/02/2025 – 13:10
I’m afraid Shelter I’ve got it wrong on this occasion, which I find rather surprising. What Graham Bowcock has said is absolutely correct and supported by decided case law.

I do not think that it has yet been pointed out that at Common Law rent is payable in arrears and it is only due in advance by agreement. The proposed legislation will prohibit any such agreement except on tightly controlled terms.

Reply to the comment left by Seething Landlord at 03/02/2025 – 23:16
I intended to say that Shelter “have” got it wrong…

Reply to the comment left by Graham Bowcock at 03/02/2025 – 11:27It’s perfectly legal to take whatever advance rent you want as long as it’s clearly stated as such, but only 5 (or 6) weeks’ deposit is allowed.
It’s a bit mad that the banks require 25% of the value of a BTL as security, I.e. £50K on a modest £200K house, but the maximum deposit that landlords are allowed to take might be as little as 0.5%. At the same time, the risks for a landlord are far greater than the risks for a bank, which is no doubt why a lot of landlords are demanding multiple months upfront.
Like Jason, I noticed from very early on that tenants almost always ask to use the deposit to pay the last month’s rent as they very rarely know the rules, so I switched to taking a month advance as well as the rent at the beginning of each period instead of a deposit. It’s clearly stated on the agreement.
I once had a malicious tenant who persuaded a young upstart solicitor to try to sue me on the basis that it was actually a deposit. He took it on a no win no fee basis as he thought it would be an easy bit of money. After causing me a lot of stress, he eventually conceded that it was not a deposit and quietly dropped the case.

Reply to the comment left by Jo Westlake at 03/02/2025 – 11:32
Oh, the joys of unintended consequences! But landlords should not be worried about losing a few potential clients when there seems to be unprecedented demand for accommodation.

In a way, this should be a golden age for the “greedy landlord”, especially any that are unencumbered, when lack of supply makes it easy for them to charge higher rents than ever to only the most profitable tenants, instead of whoever they can get in after the last one left.

Reply to the comment left by Peter Merrick at 04/02/2025 – 08:18
I agree Peter. As an unencumbered and incorporated Landlord, I can dictate terms. I only take the crème de la crème of tenants and can (but don’t) charge what I like. Every tenant now gets an annual increase whereas before the special military operation against landlords I never increased rents during a tenancy even in one case going 20 years without a rent review. Tighter legislation has led to higher rents for all.

Reply to the comment left by TheMaluka at 04/02/2025 – 08:45
Absolutely. Unfortunately, annual rent reviews will gradually become the norm just like in social housing, whilst LHA will become the de facto minimum rent which will therefore be pushed up as most rents will then be above that level. And landlords’ primary concern will become that of making whatever they can, to protect their future viability.

That’s “professionalising” the industry for you! And a self-fulfilling prophecy from those who have unfairly stereotyped landlords as “greedy”.

Reply to the comment left by Peter Merrick at 04/02/2025 – 09:11
annual rent reviews? Don’t all social providers just put the rent up each year regardless bearing in mind their tight margins. Wasn’t last year a 7% cap??

Just to play devil’s advocate, there are lots of things I pay for after use – gas/electricity, tradesmen etc