Landlord's Guide

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When to use an Assured Shorthold Tenancy (AST)?

There are a few requirements for an Assured Shorthold Tenancy, primarily that

  • the tenant is an individual or group of individuals and not a company
  • the self-contained property is let under a single agreement
  • the property is the tenant's main home

There are also a number of other exclusions

  • lettings at no rent, or low rent (less than £250 per year - pro-rata for just part of the year)
  • lettings at high rent (over £25,000 per year - pro-rate for just part of the year)
  • holiday lettings
  • lettings where the landlord will be living at the same property
  • property let with more than 2 acres of agricultural land
  • for tenants that are currently on a protected tenancy

Tenancies in the excluded categories will usually be 'contractual' tenancies or the tenant will be granted a 'license to occupy'.