27th May 2021
Question:
I have a 1-year fixed term tenancy in place – coming towards the end of the fixed term shortly. Do I have to renew the tenancy contract/agreement for another fixed term, or can the existing the tenancy agreement just roll over?
Response:
You may or may not choose to renew the contract/agreement. Essentially it really is up to you and to an extent the tenant. In short, if both parties would prefer a new fixed term, they can go ahead with this option. If everyone is happy with it continuing periodically, then that is fine also.
However, it is important that you understand that under the Residential Tenancies Act the tenant will continue to have a tenancy whether you renew the contract/agreement or not.
As the tenant has been in property for more than 6 months, they have assumed Part 4 Rights, assuming that they have been in situ for a year they are entitled to a further 5-year occupation under their Part 4 Rights.
Therefore, their tenancy does not come to an end with the expiry of the fixed term – If neither party wants to end the tenancy, it will just continue.
- If you decide not to renew the contract/agreement, this means you will simply let it roll over and it becomes a periodic tenancy and continues as was, in most respects.
- If you decide to renew the contract/agreement for a new fixed term, it is important to understand that this new agreement/contract does not detract from the tenant’s existing rights. A new contract will mean that there will indeed be more paperwork to do also.
Depending on how long since the last property inspection, it may be a good idea to do an inspection at the end of the fixed term.
If You Would Like Further Information, Contact Us At IPOA
01/8276000 / info@ipoa.ie
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