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Welcome to Just Answer, I am a practicing solicitor in England and Wales and I will be dealing with your case today.
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Till the time tenant has the keys to the property, tenant is deemed to be in constructive possession of the rented accommodation.
If the tenant was asked to hand over the keys by dropping them off in the office at a earlier date and they have not , then it would be deemed as if they are still in the property.
Remember if the tenant does not move out by the expiry date, the tenancy rolls into periodic monthly tenancy.
Yes, unfortunately the information given by the agent is correct.
However , you can argue that it was a bonafide mistake on the part of tenant , as they forgot to hand over the keys earlier , and dispute any deductions from their deposit, by getting in touch directly with the administrator of the deposit scheme
My pleasure, many thanks.