What to charge tenants for bills e AST

[missel]

Hi

I am living in my 4 bed property with four tenants, whom I have given a six months licensee contract , and we are now at the 5th month.
I will be moving out into my new property next month, therefore will have to change the contracts from licensee to AST's making them sign for another six months or not. is that okay ?

The house was advertised as : "all bills paid" , but when i move i will have to charge for the electrics, gas, and water.. I will pay the council tax
£ 170pm, because they are lovely people .

My questions is : When it is said "all bills paid/inclusive", is it intended to be for the council tax too ?
the AST doesn't seem to specify it.

- How to charge the tenants in the right way ?
Bills on their name ? ...
or bills on my name and show them the bill when it is due for payment, there4 collecting their money ?
Don't want to put up the rent to include them..

Have also heard about those gas, and electric rechargeable magnetic Cards, but that idea sounds a bit rough.... as the tenants would prefer to may be pay more, rather than being penalised for forgetting to recharge their card..

Please, would you have any idea of what to do ? or perhaps you could tell me how do you organize yourself with your tenants bills..


Thanx

[Paul_f]

At the moment any agreements (that's all they are) you have with your lodgers (they are not licencees or whatever you want to call them, and they are not tenants as you are currently a resident landlord).

As soon as you move out they become your tenants and you MUST draw up an AST making all 4 jointly and severally liable. You should also formally reference them all first (top of this page tells you how!).

The utility acocunts should all be transferred into the tenants names. On no account include any of these within the rent, and that goes for council tax too.

If any of the 4 leaves, then you cannot "replace" them on the AST but must draw up a new one each time this happens. Make sure you give them terms and costs of doing this in advance. Every new agreement you should charge them for your time. Retain at least the equivalent of one-and-a-half month's rent as a dilapidations deposit.

If by now you are more confused than ever, it's because you are probably not knowledgeable enough to create a watertight lease, so get somebody to do it who does. You might have to pay for this but in the long run it will be worth it.

[missel]

Hi Paul

Just to know your opinion on this matter.
Are you not concerned at all about competition ?
In the area where i live there are such a dodgy landlords who rent out rooms to anybody, but the state of the house is really low.
Because they don't spend any money on the house they can keep the rent low..therefore they say : "bills inclusive"

Regarding the people that are living here, in my place ...

- When you say they are not my tenants, do you mean they have got the right not to pay rent if they want to ?

- Can they claim something and take me to court ?

- Isn't the licensee agreement the right document that you'd use when the landlord is living in..? . i am moving anyway.

- What would you do to be all legal if you 'd rent out a couple of rooms to people while you're living in the property ??

- Regarding the references, i have already done that and i know all about them, even the name of the person they meet, passport/bank statements/previous bills/work references/ and have also asked for a guarantor...it was a hard job but the place is worthy !! they said ..

- All 4 jointly .and liable ?.((i mean five because i move and another will take my room.))... do you mean i should put each bill for each person ...or all bills on one persons name ?
Who would want to do that ? and what if the other don't want to pay ? Please tell me more

If you 'd like to e-mail me you could do so, by e-mailing : daril4wt@yahoo.co.uk and leave your tel nr. to have a better chat over the phone.. ?
I 'd understand if you dont want any hassle..

Please, do whatever you feel to help .

Regards

[missel]

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