Updating post from Reddit.

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TENANT
Posted by justme1486 2 days ago
Start of tenancy Rent in advance

Hello. Could I get an advice about my new tenancy agreement? I will sign a new tenancy agreement which it will be for 1 year but I need to pay rent in advance.the agency stated my rent in advance as a first month payment and after for 12 month the rent will be less. The landlord has a breake clause after 6 months.The additional clause is: any rent paid upfront if asked leave before one year end of tenancy will be refunded back to tenants. Is it ok to sign it ?if the landlord uses break clause I will get my remaining advance back? Thanks

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Posted by acrmnsm 2 days ago

This is unclear, are you paying 12 months in advance? Have you seen the property? Is it a legitimate agent? We all worry about people being scammed in this sub, so give us a bit more info?

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Posted by justme1486 2 days ago

It is 12 months in advance but not full rent.. Its an amount which is spread over 12 months and the rent will be less then. Is a legitimate agent.i saw the property. Because of the low income they asked for advance. I m worried because they have this break clause after 6 months and they added the advance and first month rent as first payment.in appendix the rent it will be less with 30% for 11 months.

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Posted by acrmnsm 2 days ago

Still unclear, can you answer these?

Deposit:?

Monthly rent:?

Rent in advance:?

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Posted by justme1486 2 days ago

£2000 deposit £1750 initial rent £1225 after for 11 months £5500 advance

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Posted by acrmnsm 2 days ago

So the actual rent is £1225 a month? Or is it £1750 a month, but you pay £5500 to reduce it to £1225? (which doesn't add up) So I think you mean

Deposit £2000

Rent £1750

Rent in advance £5500

They then take 500 a month from this 5500 to reduce your monthly payment from £1750 to £1250?

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Posted by justme1486 2 days ago

Yes..that s right

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Posted by acrmnsm 2 days ago

So not actual discount, you still pay the same amount in total?

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Posted by justme1486 2 days ago

So my concern is i will get the remaining advance if LL uses the break clause after 6 months?

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Posted by acrmnsm 2 days ago

LL has to give 2 months notice for break clause and it has to be before rent day.. (that is the law, indisputable)

M1 you pay 1750 (5500 remains)

M2 you pay 1250 they take 500 (5000 remains)

M3 you pay 1250 they take 500 (4500 remains)

M4 you pay 1250 they take 500 (4000 remains)

If they give you notice now at 2 months before 6 month, then obviously you do not need to pay any more rent as you have paid rent in advance, take the rest of the rent (1750x2=3500) from the 4000 remaining, please refund my £500 asap.

They have zero reason to dispute this, and no legal basis either, you have paid the rent.

So your biggest risk is £500.

M5 you pay nothing they take 1750 (2250 remains)

M6 you pay nothing they take 1750 (500 remains)

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Posted by justme1486 2 days ago

So if he gives me notice i don t pay rent for the notice period and he will use the advance payment? Can i do that?if my rent is 1250 a month ? My question is : its ok how they do it? With first payment and The additional clause : any rent paid upfront if asked leave before one year end of tenancy will be refunded back to tenants ? I m covered?

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Posted by acrmnsm 1 day ago

If they give you the correct notice at 4 months to quit on the break clause at 6 months, then of course you can. Just don't pay them any more money and ask for the 500 back. You have already paid the rent, you will owe nothing. There really is nothing they can do other than this unless you are foolish enough to give them more money when you you have already given them all rent in advance.

Your rent is not 1250, its 1750. You are just paying them some in advance.

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Posted by Minimum_Definition75 1 day ago

So basically you don’t meet the affordability criteria so they are taking the shortfall as rent in advance. What happens at the end of 12 months if you want to stay on. By then the RRB will be in force and up front payments will be banned, even if you could afford it.

It’s a strange strategy from an agent at the moment. If you can’t pay the monthly amount they will have to wait for the arrears to build up to evict you.

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Posted by justme1486 1 day ago

Why they will want to evict me at end of tenancy if i m a good tenant? im leaving my previous rented house which i payed £1700 because the landlord is selling after i stayed 6 years .i didn t meet the affordability criteria because is a stupid thing to ask for tax return 23-24 .we are in 2025 ,of course my earnings are higher.

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Posted by Minimum_Definition75 1 day ago

My comment was about the agents decision making process, I just find it odd.

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Posted by justme1486 1 day ago

This i m trying to figure it out..if it s ok the contract.if it wasn t that break clause ..i wouldn t have a doubt. Why is odd? The agent said she wants to help me so i can take it..but this was the only way bcs of the low income.

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Posted by Jakes_Snake_ 2 days ago

You would get a refund of advance rent if you leave early subject to the landlords agreement.

That would be subject to the landlords agreement as you have signed a fixed term for one year.

Break clauses are difficult and sometimes a mutual arrangement. So if the landlord wants you to leave you may not want to leave and it can’t be enforced.

Therefore, likewise you could not leave at six months by the break clause unless the landlord also agreed.

If the landlord did agree for you to end the tenancy early, then the advanced rent may not be paid to you in timescales that suits you. it would be typical that all matters regarding the tenancy would be completed before such payments would be made so therefore looking for further advance spending on the rental first and then once you’ve moved in you’d get your refund.

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Posted by justme1486 2 days ago

I can t use the break clause..its for the LL. That is why i m asking will I get my remaining of the advance payment back if the LL uses the break clause? Do i need other specifications in the contract ? I will be covered ? If he didn t add this clause wouldn't have this doubt. He wanted to have and insurance so he asked for deposit ,but also i need insurance that if he uses the break clause i will receive the remaining advance back.

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Posted by Jakes_Snake_ 1 day ago

Yes you can use the break clause, in the same manner as the landlord.

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