Bedsits are generally rented by young people living independently for the first time, which is why it is important that the bedsit tenancy agreement is fair and easy-to-understand.
An assured shorthold tenancy agreement (also known as an AST) allows a landlord to let a property to a tenant. The term of an assured shorthold tenancy agreement is usually 6 or 12 months and will usually convert to a rolling periodic tenancy at the end of the initial term.
A bedsit is a form of accommodation made up of a single unit in a property with shared facilities. A bedsit can be part of a HMO if the property has 3 or more tenants who make up more than one household. The landlord will have additional responsibilities including making sure the rooms are a certain size if the property is classed as a HMO. In this case, depending on where the property is located the landlord might need a licence from the local council.
Landlords might seek a longer tenancy term to provide rental income certainty. A 12 month term can achieve this while providing enough time for the tenant to settle in whilst giving them an option to release themselves from the tenancy should their personal or professional situation change.
A bedsit in a property which is not classed as a HMO might require a lodger licence agreement if the landlord is living in the same property and it is their main home. In this case, the occupier of the bedsit will classified as a lodger and will not have exclusive possession of their bedsit. The notice requirements will also be different.
Under a 12 month bedsit assured shorthold tenancy, the landlord and tenant will have obligations, liabilities and consents which need to be clearly spelled out in the contract. For example, a tenant must not use the property for illegal, immoral or antisocial purposes. The landlord must not interrupt the tenant's right to quiet enjoyment. The tenancy agreement should also specify details about the property and common parts, how the tenancy can be terminated within or after the initial term, as well as the rent, payment frequency and payment dates.