Rental Contract

Before you are able to move into rented accommodation, you will be required to sign a contract to prove that you understand and accept the rental terms and conditions. This contract will vary slightly depending on the particular property and the landlord and/or letting agency renting out the property. The contract will always include:

• details of the property in question (e.g. 5 Station Way, Birmingham)
• names and addresses of renter and tenant
• details of the rental period (e.g. 1st July 2009 - 31st July 2010)
• the rental price (e.g. £640 a month)
• details of the date by which the rent has to be paid each week or month (e.g. rent must be paid by fifteenth of each month)
• details of any penalties that will be charged for late payment (e.g. rent payments made after the fifteenth of the month will be subject to a penalty charge of £5 for each day late)
• details of running costs that are and are not included in rental price
• information as to acceptable damage during the rental period (e.g. reasonable wear and tear to fixtures and fittings is acceptable)
• details of anything that it is forbidden to have or do in the property (e.g. Pets are not allowed. Posters should not be hung with tacks, which leave holes in the wall.)
• the notice period that you and/or the renter must give if they wish to cancel the contract
• signatures of renter and tenant
  

If you sign the contract and agree to its terms and conditions, you should be prepared to adhere to the agreement. If you sign a rental contract that forbids pets and then keep a dog in the property, you must accept that in all likelihood you will lose your deposit and may be liable for further costs if the landlord sees fit. If you sign a contract and your circumstances change, for example you lose your job or your mother is ill and you agree to care for her cat, you should inform the landlord and/or letting agency as soon as possible. They may be willing to negotiate on the terms of the contract and you will avoid expensive penalties later on.
Always read the contract thoroughly, and try to read all the small print. On a typical example of an assured 'short hold tenancy' agreement, there is an important section towards the end that reads:

“IT IS MUTUALLY AGREED AS FOLLOWS BETWEEN THE LANDLORD AND TENANT;”

This section outlines any clauses that exclude certain aspects, what ever they may be, and whatever the landlord expects from the tenant other than what has been expressed fully in the general sections of the contracts. If there is anything in this section you don't agree with, then make sure to discuss it with the landlord before signing. Other aspects of the tenancy agreement that are worth knowing about mainly focus around 'unfair terms'. Unfair terms are usually outlined as being one sided, involving law jargon that cannot be understood by the average tenant, and terms that give the landlord an unfair advantage over the tenant. If you believe the contract has unfair terms in it, then it is vital to clear the debate up before signing it. An example of an unfair term would be 'the tenant must make sure the flat/ room is in better condition than how it was initially let out'. This is an example of how a term may enable the landlord to benefit from the tenant, and once it is signed, the landlord may try and enforce it if it is not picked up on. See also, Tenancy Law.