Can I create a tenancy without a written tenancy agreement?

Can I create a tenancy without a written agreement? 

It is perfectly possible to create a tenancy agreement without having a written agreement in place.  This is because of the provisions of the 1925 Law of Property Act has a provision in s54(2) which states that certain interests in land can be created without a deed.  These qualifying provisions are as follows:

• that the tenancy takes effect on the day it is granted
• the tenancy is for a term not exceeding 3 years, and
• it is at the best rent (market rent) which can reasonably be obtained without a premium being taken (one off capital payment for the beneficial interest of the lease)

The problems with a tenancy without a written tenancy agreement

There are many downsides for a landlord of not having a written tenancy agreement in place prior to your tenant moving in.  Several of the big disadvantages are as follows:

• Rent is payable in arrears - that is because this is the default method of payment without a specific agreement that specifies otherwise.
• Proving that your tenant is not paying the full amount is difficult - without an agreement specifying the rent it can be difficult to prove that your tenant is short changing you.
• Dealing with tenancy deposit is impossible without the details being written down in the terms of the tenancy.

 For this reason we would never suggest that you proceed without a properly worded tenancy agreement in place

Download your Free tenancy agreement here