HMO Assured Shorthold Tenancy Agreement with break clause

Find out more about assured shorthold tenancy agreements

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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 house in multiple occupation (HMO) is a property rented out by 3 or more people forming more than one household. Depending on the location of the property, a landlord might need a HMO licence. A HMO tenancy agreement is an agreement between the landlord and a tenant and will grant exclusive possession to a room in the shared house as well as access to shared facilities such as a kitchen, communal areas and a bathroom. Landlords who rent out a HMO have additonal responsibilities which need to be clearly spelled out in the assured shorthold tenancy agreement.

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A break clause gives the option to the landlord, the tenant or both parties to end the tenancy agreement sooner than the end date if the conditions of the break clause are met.

A landlord of a HMO property has additional responsibilities including maintaining the cleanliness and repair of the communal areas and facilities, ensuring the property is not overcrowded, and displaying their or their agent's contact information to the tenant. A HMO licence also imposes a minimum room floor area requirements based on the age and number of people living in the room.

Legislate's assured shorthold tenancy offers the option to include a break clause during the initial term.

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