Theresa had been renting out her second property for a number of years under a verbal agreement. Theresa and her tenant were both happy with the arrangement. However, she was considering selling the property in the future and wanted to ensure she was abiding by her legal responsibilities.
It’s important for both landlord and tenant to know what type of tenancy is in place. Not everyone who pays rent to a landlord is a tenant. Tenants, licensees and subtenants all have different rights. Theresa was having trouble distinguishing between a tenancy agreement and a licensee agreement.
Our adviser explained in detail the distinguishing factors between a tenancy and a license agreement.
Tenants typically:
- pay rent to their landlord at regular times
- have a contract saying how long the tenancy will last
- are entitled to notice from their landlord to enter the tenant’s home (or room)
- are entitled to written notice to quit from their landlord
Licensees typically:
- rent a room in their landlord’s home
- get extra services from their landlord such as cleaning, cooking or laundry
- are not entitled to notice from their landlord to enter the tenant’s home (or room)
- do not get a written notice to quit from their landlord
- cannot make changes to their space
After discussing the differences between a tenant and licensee, it was concluded that Theresa’s property was a private tenancy, and the tenant had full rental rights.
Our adviser then outlined to Thereas the legal requirements that she would need to follow if she did decide to sell the property and therefore end the tenancy.
At the end of the call, Theresa felt her responsibilities were a lot clearer to her, and she was more confident as a landlord.
Help and support for landlords
Landlord Advice is a free, confidential service for private landlords and letting agents in Northern Ireland.
Landlord Advice provides information and advice to:
- residential landlords
- estate and letting agents
- people thinking of becoming a landlord
Our advisers are available from 9:30am to 2:30pm Monday to Friday.