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FOR THE USE OF MORTGAGE INTERMEDIARIES & OTHER PROFESSIONALS ONLY

FOR THE USE OF MORTGAGE INTERMEDIARIES & OTHER PROFESSIONALS ONLY

Tenancy requirements

A maximum of 4 unrelated occupiers/ tenants in England & Wales, 3 in Scotland.

  • In England, an AST (Assured Shorthold Tenancy) is required under the Housing Act 1988.
  • In Scotland, a PRT (Private Residential Tenancy) is required under Private Housing (Tenancies) (Scotland) Act 2016.
  • In Wales, an Occupation Contract is required under the Renting Homes (Wales) Act 2016.

Each tenancy agreement must be in writing and, for cases in England and Wales, for a fixed term up to a maximum of 36 months. Where possible, for cases in England, the tenancy should be in the form of the Government’s model agreement of September 2014 (as amended).

The following types of tenancies are not acceptable:

  • Multiple tenancies where each tenant signs a separate agreement and/or has separate facilities.
  • Rent Act protected tenants or an agent of these.
  • A tenant or anyone else who lives at the property who has diplomatic immunity.
  • Intended letting to housing association or local authority.
  • Asylum seekers.