Renting can be an unfamiliar choice to many especially those who have always owned their own property. For those new to renting, the types of tenancy on offer can be confusing. It’s also the one thing that can put people off renting, if it’s something they haven’t had to deal with before.
What is a Tenancy?
A tenancy is the contract between a tenant and the landlord, outlining the legal right of a tenant to occupy a property for an agreed period of time. The tenancy will either be an Assured Shorthold or an Assured tenancy.
Typically when renting a private property you will be offered an Assured Shorthold tenancy. This will be for a fixed term, so you are guaranteed to live in your home for that set amount of time. This can range from 6 months to 5 years+, but most commonly high street agents will offer a 12 month tenancy which will then renew at the end or the landlord can ask you to leave at this point.
Often a hidden gem in renting, a less common option sometimes available is an Assured Tenancy. This will leave you feeling very reASSURED! – also referred too as a ‘lifetime tenancy’, these are long term tenancies that allow you to stay in your home for as long as you wish (providing you keep to the tenancy terms).
Assured Shorthold Tenancies
The most commonly used tenancy on the open market is an Assured Shorthold Tenancy. A fixed, short term agreement, this can be perfect for people looking for a more temporary commitment for whatever reason.
Characteristics of an Assured Shorthold tenancy include:
- A fixed term tenancy. Normally offered for periods of between two and five-year tenancies and sometimes even shorter.
- At the end of the fixed term, either a new tenancy will be negotiated and offered to you or the landlord may wish to regain possession.
Assured Tenancies
When we own our own home we feel secure, reassured and settled. An Assured Tenancy offers these same benefits with you knowing you can stay in your home as long as you want, without the fear that the landlord will or can ask you to leave.
In a nutshell, an Assured Tenancy is:
- A long term tenancy with the increased protection from eviction provided you keep to the terms of the tenancy agreement.
- An initial fixed term, the tenancy then 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.
- Generally the landlord cannot serve notice and can only regain possession by obtaining an order from the Court if there is a breach of the contract by the tenant.
The worry that renting is a temporary option can be a huge barrier for people when it comes to choosing to rent in later life, those who have been home owners for most of their lives, crave security. An Assured Tenancy puts the ball in your court allowing you to remain in a property for as long as you wish while offering you the independence and choice to leave should you wish too, with only one month’s notice after an initial 12 month tenancy term.
Making the Choice…Taking the Next Step
Whichever tenancy people choose depends on their own circumstances and preferences. However, for people who want to downsize, release equity and rent on the open market, it can be difficult to find assured tenancies.
This is where Girlings come in. We are proud to be able to offer our tenants the peace of mind and security in later life that doesn’t come with an Assured Shorthold tenancy. In fact at Girlings, Assured Tenancies are our most common tenure offered, proving very popular with our residents. Girlings also offer Assured Shorthold tenancies giving you the freedom to try out independent retirement living your way.
Give it a Try!
Here at Girlings, some of our residents who are new to renting chose to start off with an Assured Shorthold tenancy to see how they get on. This is ideal in situations such as first moving to a new area to see if they like it. Then if they decide to stay and renting is working for them, they may move onto an Assured Tenancy, if it’s available, or move to a different property in the area. The freedom to move around is absolutely in your hands as the tenant.
Although there are many benefits, Assured Tenancies are of course not for everyone. Depending on the area you may pay a little more to know you have the security of being able to stay as long as YOU want to.
More and more retired people are opting to move into age exclusive retirement developments, so they can reap all the benefits of renting.
If you would like to find out more details and discuss how renting could benefit you personally, or you are thinking of downsizing or moving closer to family, we’d love to hear from you.
