Wednesday, November 27, 2024

What Are the Reasons for Possession?

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If you’re a landlord seeking to end an assured shorthold tenancy (AST) legally, there are two avenues you can pursue. In many cases, issuing a Section 21 notice — often called a “no-fault eviction notice” — is the more straightforward route. With Section 21, you don’t have to give a reason to evict the tenant(s). In most circumstances, you only have to give your renters two months’ warning by correctly serving a Section 21 notice, and they will be obliged to vacate. If they don’t, you can issue a possession claim and obtain a court order.

So far, so good. However, you can’t use Section 21 to terminate a tenancy before a fixed term is complete or with less than two months’ notice. There are also some circumstances where it isn’t possible or appropriate to serve a Section 21 notice, for example, if you haven’t registered a deposit correctly or there is another issue or problem. There is also considerable social and political debate regarding whether Section 21 Notices and ‘no-fault’ evictions should remain as available options. There is currently significant political pressure to scrap ‘no fault evictions’. It appears likely that the current Section 21 no fault eviction process may change. Section 21 remains good law at present but cannot be relied on moving forward.

A Section 8 Notice can provide a useful alternative option. The most common reason to use a Section 8 notice is to evict renters in serious arrears or who engage in activities you find objectionable, such as causing nuisance or anti-social behaviour. It is worth noting that many landlords currently use the no fault eviction route via Section 21 notice even where there is tenant fault, simply because it is a quicker and cheaper process. The notice period for a Section 8 eviction is often as short as two weeks. No notice is required in specific circumstances, although this is rarely an appropriate approach.

If you’re a landlord seeking to reclaim possession of your property before an Assured Shorthold Tenancy (AST) agreement ends, issuing a Section 8 Notice warns your renter(s) that you intend to evict them for cause if they don’t vacate. Under the Housing Act 1988, a Section 8 notice can be the first step in terminating an AST tenancy on legal grounds — but there are many requirements and exceptions.

One advantage of a Section 8 over a Section 21 notice is that landlords can typically use it regardless of whether the tenancy agreement’s fixed term has expired. However, you must give legal grounds for possession — and prove them before the Court if challenged. It’s also essential to follow the correct procedures. Serious rent arrears and anti-social behaviour are the most commonly used grounds of possession for a Section 8 eviction. But Schedule 2 of the Housing Act 1988 provides 17 grounds (plus amendments) that you can use for a Section 8 eviction.

Mandatory Grounds for Possession
Here is a summary of the eight mandatory grounds for possession set out in Schedule 2 of the Housing Act 1988 and subsequent addendums. If you can prove a mandatory ground of possession before the Court, your tenant will be forced to vacate. It is usually sensible to ensure that at least one mandatory ground is applicable. In this way, the court has no discretion and must order possession in your favour if a claim is later needed.

Ground 1 — Owner Occupancy
There are two circumstances where Ground 1 applies:
You or a joint landlord (often a spouse) once occupied the property as your primary home and wish to move back in.
You or your spouse/civil partner wishes to occupy the property as your principal (or only) home.
Successors in title can also use Ground 1 if they did not purchase the dwelling.
Minimum Notice Period
Two months

Ground 2 – Repossession by Mortgage Lender
If you have a mortgage predating the assured tenancy and your lender repossesses the property, the lender may use Ground 2 to terminate the tenancy if it requires vacant possession to exercise a power of sale.
Minimum Notice Period
Two months

Ground 3 — Holiday Let
If you’ve rented your property out as a holiday let within the last 12 months and your tenant has a fixed-term tenancy of 8 months or less, you can end the tenancy in time for summer.
You must give the renters notice in writing before the tenancy commences that your property will resume holiday let status as of a specific date.
Minimum Notice Period
Two weeks

Ground 4 – Student Rental
The tenancy is for a fixed term of a year or less in student accommodation owned by an eligible educational institution or housing provider.
The tenant must pursue — or plan to pursue — part or full-time study. Minimum Notice Period Two weeks

Ground 5 – Property Owned By a Religious Organization
Ground 5 is relevant only if the property belongs to a religious organisation and they require it to house a minister.
Additionally, the organisation must have informed the tenant in writing before the lease began that Ground 5 may be used in an order for possession at a later date.
Ground 5 cannot be used to end a fixed-term tenancy before its agreed end date.
Minimum Notice Period
Two months

Ground 6 – Property Redevelopment
If your property is scheduled for redevelopment or demolition, Ground 6 could allow you to recover possession if the works are sufficiently substantial that it’s unreasonable for the tenant to remain in residence.
You may be required to prove that it’s not practical for the tenant to occupy the property while works are underway, that your renter refuses to grant necessary access, or that they don’t agree to live in a reduced part of the property until work is complete. If the tenants already lived in the property when you purchased it, you cannot use Ground 6. Additionally, Ground 6 cannot be used to end a fixed-term tenancy prematurely.
Minimum Notice Period
Two Months

Ground 7 – Death of Tenant
If your tenant passes away, you can use Ground 7 to claim possession as long as you start proceedings within one year of the tenant’s death. However, Ground 7 cannot be used to evict a surviving joint tenant, such as a civil partner or spouse. Find out more about who — and who cannot — be evicted under Ground 7 here.
Minimum Notice Period
Two months

Ground 7A – Anti-Social Behaviour
Ground 7A can be used in “cases where serious anti-social behaviour has already been established in other court proceedings.” Examples of tenant anti-social behaviour covered by Ground 7A include:
Conviction for a serious criminal offence
Breach of a criminal behaviour order
Breach of a civil injunction prohibiting anti-social behaviour
For government guidance on what falls under Ground 7A vs Ground 14, click here.
Minimum Notice Period
Fixed term tenancy: 1 month*
Periodic tenancy: 4 weeks
* Only if stipulated in the tenancy agreement.

Ground 7B – No Legal ‘Right to Rent’
As a landlord, you’re legally obligated to check the immigration documents of adults renting your property before granting an AST agreement. British and Irish citizens have an unlimited right to rent but don’t make the mistake of assuming a person’s nationality without doing a thorough document check. Discriminating against anyone based on where they’re from is illegal. You’re required to ensure that anyone over 18 residing on your property has a legal right to rent, whether their name is on the letting agreement or not. Here’s how to do a check.

As a landlord, you can’t invoke Ground 7B to evict a tenant yourself. Instead, the Home Office must notify you that one or more (but not all) of your tenants or occupants have no legal right to rent. If none of the tenants have the right to rent, a different procedure applies. If you fail to verify tenants’ right to rent, you could face serious consequences, including substantial fines or up…

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