The Deadline for Agreement is a concept that was introduced by the Tenant Fees Act 2019. It is the expected time frame for setting up a new tenancy and applies to any new tenancy in England or Wales.
How is the deadline for agreement calculated?
The Tenant Fees Act says that the default deadline for agreement is 15 days after the tenant pays the holding deposit. This means that the law expects that the landlord will be able to accept the tenant's holding deposit, carry out any required referencing, and have the contract signed by everyone within two weeks.
Example: If a tenant pays a holding deposit on 3 July then the deadline for agreement would be 18 July.
At OpenRent, the average time to complete a tenancy set up is about 10 days so the deadline should be manageable for the majority of tenancies.
Can the deadline for agreement be changed?
Yes, the deadline can be made either longer or shorter. We've got a guide to changing the deadline for agreement here.
What happens if the deadline for agreement passes?
The impact of the deadline for agreement passing depends on what happens to the tenancy application.
If the tenancy ends up going ahead then it is unlikely that the deadline passing will have any real impact. However, if the tenancy falls through, for any reason, then the rules around what can happen to the holding deposit will change if the deadline has passed.
To read more about what happens to a holding deposit after the deadline for agreement has passed, click here.
Information on this site is by way of general guidance only and may not apply in your particular circumstances. You should not act or refrain from acting upon information on this site without seeking independent legal advice.