Rent
& arrears
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Tenant
has fled
My tenant has fled owing me £2,000 in rent, we had no
formal agreement signed, but my tenant had been paying me
by standing order. What would you advise as to my possible
courses of action?
As the property was
split into three rooms I don't think she registered for council
tax and I fear I may also have that bill to pay as well.
Not quite sure what
you mean about the property being split into three rooms.
If it was a house in multiple occupation, with your tenant
only having exclusive possession of one room, the council
tax is your responsibility. If, however, it was a unit of
accommodation with three rooms, the tenant should have registered
for council tax.
I
presume you do not have a forwarding address? Did you get
next of kin, employer details when she moved in? The first
difficulty is knowing her address to take small claims court
action. Without addresses, that is very difficult. You could
approach a specialist debt recovery agency – they are
listed in the yellow pages. The second difficulty, however,
is the fact that without a tenancy agreement that shows what
the rent is, when it was payable etc., it is difficult to
prove.
For future reference,
always issue a tenancy agreement, provide a clear rent account
and always serve a section 8, ground 8 notice as soon as the
tenant is eight weeks in arrears.
When
to take action
Unfortunately my tenants are now three weeks late in paying
their rent. They are three students who have a 12 month assured
shorthold tenancy agreement which commenced 30 May 2008. They
have been late with rental payments every month but this month’s
payment is significantly late. The tenants provided parental
guarantors that were given to the credit referencing agency
and I gather that they are responsible for the unpaid rent.
I also have a deposit of just over one month’s rent
held in a deposit scheme.
I have spoken to the
tenants personally and they have promised to pay and to set
up a standing order for next month, but I have doubts that
this will materialise. I have subsequently put a letter in
writing to them to request the rental payment. What steps
would you recommend taking next. Should I be proceeding to
court action and at what point?
For rent payments
only three weeks late, I doubt that a court would feel it
was reasonable for you to want possession. The rent arrears
grounds you could use would be 10 and 11, which are discretionary
grounds. As soon as they owe eight weeks rent, serve a section
8, ground 8 notice, and include grounds 10 and 11 which must
always apply if ground 8 does. Ground 8 is the mandatory rent
arrears ground.
I would send short,
sharp letters saying this is unacceptable and that their tenancy
is at risk. Also, that if you have not received the outstanding
rent and sight of the standing order mandate, you will have
no alternative but to write to their guarantors, explaining
the difficulties you are experiencing. Hopefully, this will
prompt them to do what they should. However, do remember that
the Guarantors and the deposit you asked for would not generally
“pay-out” until the end of the tenancy or eviction.
Lodger threatens court action
I have taken in a lodger and now find
that he owes loads of debt and getting threats of county court
judgment. I have asked him about this but to him it is nothing
as he has nothing and everything in the flat is mine including
in his room. What should I do? What is the impact on me and
my address.
The main
impact may be on black-listing of the address for credit.
Should this happen, you may have some difficulty in having
the address removed. I know this may seem harsh, but I would
evict as soon as possible and you can then return anything
that comes to your address as “not known”. Should
you have difficulties in future in getting credit, discuss
with Trading Standards who should know what steps you can
take.
Returning
rent?
My
tenant, who is shortly leaving, has only been with me for
about eight weeks after answering my Ad and taking a room
on the understanding that the minimum let would be four months.
He will be leaving mid-week.
I will be returning
the deposit which I have no problem with. But should I also
return rent paid in advance for the part of the week after
he has left?
He started to pay
me weekly about four weeks ago when he said he would be leaving
but could not tell me when. In the meantime I have lost two
would-be tenants who could not wait to find out if the room
was available?
I presume the
deposit has been protected by one of the tenancy deposit protection
schemes. I do not think it is unreasonable to keep the rent
for the remainder of the week, if you have not found a new
tenant to pay from the day he leaves. I think you should be
advising the tenancy deposit protection scheme that is protecting
the deposit that you will be withholding the cost of a re-advertisement
and an amount to cover the lost rental income until you get
a new tenant.
Should
he stay or should he go?
I have let a property to a friend of a friend using an assured
shorthold tenancy agreement from a commercial provider. I
also have a reference from this man’s employment agency,
saying he was in permanent full time employment.
He paid the rent in
cash from May to November last year but has not paid anything
since. He now owes four month’s rent (£2,300).
Every time I call him he comes up with excuses and promises
to pay. Two weeks ago he said he had a new job and would pay
£200 each week until he has paid the debt back, no money
was forthcoming. Last week he said he quit his job and is
now avoiding my calls. He has offered to leave but I am concerned
that he will disappear if he does.
It is in my interests to keep him in the property or to evict
him? What is my next step legally? Unfortunately all the chasing
was done by phone, not letter. If the case was to go to court,
would it hold up without written evidence?
I am afraid my
view is that you need him out. He may be perfectly genuine,
but this is a mounting debt. Do you have his next of kin?
If he moved out, where will he go? You say he has offered
to go, but you cannot rely on this, so serve him a s.8. With
any luck, he will move before you have to go to court. I understand
what you mean about him disappearing, but to be honest, I
would rather have an invisible debtor, than one who is sitting
there, very visible, and stopping you getting the rent you
have a right to expect. You may need to bite the bullet, and
accept that you may not get your money, but if you can get
an address, go to the small claims court and get a CCJ. It
may not get your money back, but may stop him doing the same
to someone else. Just a point – your rent seems quite
high, so why was he paying cash? Could he not pay through
the bank because of debt issues?
Calculating
weekly rate
We have some tenants who only want to rent for 10 weeks -
which we are fine with. The rent is agreed at £800 per
month - we took this to mean they would pay two full months
plus half a month.
However the tenants are disputing this, saying they want the
rent worked out on a daily basis (which works out cheaper).
It works out cheaper
because you have assumed two months plus half – but
for example, May has 31 days, June has 30 which equals 61
days, only two days off 9 weeks. If you multiply your monthly
rate by 12 and divide by 52, you get a weekly rate of £184.
It is a weekly tenancy, so their calculation of a daily rate
does not apply – it is the weekly rate that should be
used.
Taking
benefit but not paying rent
My tenant owes me £1,227 pounds and left giving me post
dated cheques of £50 each and a signed agreement to
pay £50 every week until the outstanding debts is cleared.
But now every cheque is coming back unpaid and I don’t
know what to do or what are my rights.
This tenant was on
housing benefits. The DHSS wanted to pay rent directly to
me but stupidly I asked them to give the money to the tenant
because they were not paying the full rent.
But the tenant did
not use this money for his rent. Please tell me what I can
do in this situation.
I have his forwarding
address. Is there is any company out there that can take this
case and deal with it.
Check your local
telephone directory/Thompson’s local – there are
debt recovery agencies that it may be worth contacting. I
am very surprised the housing benefit section wanted to pay
you direct – I wonder whether there was a history there
which obviously, they could not discuss with you. I would
also be inclined to say go to the small claims court, but
there is no guarantee that you would the money from the tenant,
whereas debt recovery will pursue it.
Method
of payment
Do we have to accept rent by cheque? We have tenants who have
started to pay us by cheque but as the husband has an IVA
against him, we don't trust their credit rating. We want them
to pay in cash but they refuse. Can we refuse and insist on
payment in cash. We have contacted Citizens’ Advice
which said the tenants must pay us in the way we wish but
the tenants will not accept this.
We can't find anything
on the Internet as proof of what CAB has said. Can you help?
(We have no legal tenancy agreement - big mistake I know,
but we were doing them a favour at the time - another big
mistake!)
Most landlords
would feel quite happy with a cheque, in that it is traceable
and provides proof of what has been paid. CAB are right, the
tenant should honour what you want – but your tenant
does not want to and you cannot force the issue with them.
Normally, I would say that when you have awkward tenants,
you don’t need the hassle, so be prepared to get them
out at the end of the tenancy. However, without a tenancy
agreement, you cannot use the accelerated possession procedure,
so I think you will have to wait and see whether your fears
are justified and evict as soon as they are eight weeks in
arrears.
Bailiffs have been calling
I
have recently found out that one of the properties I have been
letting out has had bailiffs entering the property due to tenant’s
unpaid bills. Is there anything I can do about this situation
as he has now fallen behind substantially with his rent as well?
Substantially
in arrears – if he owes a full 8 weeks rent, serve him
a section 8, ground 8 notice. You should also include grounds
10 and 11. If he sorts the rent out, fine. If not, go to court
the day after the notice expires. Remember your experiences,
if you are asked for a reference for this guy.
Agent gone out of business
The tenants of my rental property are
withholding their final rent payment as they are unlikely to
get their deposit back. This is because the agency that was
managing the property has gone into liquidation and the deposit
is unlikely to be recovered. I'm not sure what to do here. I
would have thought that they should be paying the final rent
and then dealing with the letting agent to get their deposit
back? The issue is between the tenant and the agent so I shouldn't
be out of pocket.
You are right,
but your tenant is highly unlikely to see it that way. The
problem is that the deposit should have been protected in
one of the deposit protection schemes. If it was not, you
will have difficulty enforcing your rights. If the deposit
was protected – the tenant should have been informed
of which scheme was used – there should be no difficulty
in getting the deposit back even though the agent has gone
into liquidation.
Rent increase
I am approaching the renewal of my tenant’s
assured shorthold tenancy agreement, and in doing so have taken
the opportunity to increase the rent. The existing AST is for
12 months so the rent hasn't increased during that time. As
I am not increasing the rent during the period of the existing
agreement, do I have to give the tenants a minimum period of
notice of the increase, or can I just increase it as part of
the new tenancy agreement?
I think
as a matter of courtesy to tenants who presumably have been
very good, you should give them notice that when the new tenancy
agreement is issued, it will show an increased rent. Make
sure it says in the agreement that the rent will increase
yearly.
Non-existent guarantor
In October 2006 I let an apartment through an agent. The tenant
was a Polish woman who gave a guarantor who was supposed to
be a director of a company. The tenant was supposed to be employed
by this person’s company. The
guarantor's signatures were witnessed by a supposed associate.
The tenancy was for six months with the rent was paid through
a bank standing order. After four months the tenant wished
to renew the tenancy agreement for another six months. As
there was no problem with the payments I agreed and a new
tenancy agreement was signed the same way as before. However
after the fifth month's payment the standing order stopped.
For the next four months the guarantor’s associate sent
cheques which always bounced. However I still managed to get
the rent for these four months.
For the next three
months I did not receive any rent. The only phone contact
with the associate was a mobile number which stopped functioning.
The agent sent an S21 notice. I asked a debt collection agency
to recover the rent. The tenant vacated the property on time
without leaving any forwarding address. The debt collector
eventually told me that all the letters and court letters
addressed to the associate were returned marked 'not at this
address'. When I checked through the companies register I
found that my guarantor was not listed as a director although
his associate was a director and secretary of the company.
He also lived at the company' address.
When I looked at the signed guarantor's document provided
by my agent I discovered that the guarantor’s signature
bore a marked similarity to that of his associate. To me they
appeared to be signed by the same person.
My questions are:
How should I recover the rent? Is forging the signatures a
criminal offence? And should I contact the police?
I think if the
debt recovery agency could not trace her, she has probably
gone to ground somewhere and it will be difficult to get anything
off her. I think I would try the small claims court for the
guarantor, though it sounds this is someone else who has gone
to ground. Forgery is a criminal offence, but it may be difficult
to prove and, if you cannot provide an address for the person
committing the offence, it is unlikely they could help. Unfortunately,
sometimes, landlords have to accept that the they have lost
money and will not recover the outstanding rent – though
I hope you do. If anyone reading this has any good suggestions,
I would be delighted to hear them.
Pursuing
the guarantor
Our tenant is behind with his rent. As his mother acted a
guarantor, we asked her to pay what is owed. She refused,
so we have now issued a notice to quit on ground 8. If the
tenant doesn't pay the outstanding rent can I take his mother,
the guarantor, to the small claims court to recover unpaid
rent?
Yes. I presume
you ensured that mother was able to cover any debt? Ie home
owner, in full time employment etc.? I suppose I am old and
old-fashioned to boot, but I cannot understand how anyone
could act so dishonourably. If you sign to be a guarantor,
you should be prepared to pay up and/or put pressure on your
child to clear the debt.
Lodger
left owing rent
I have a lodger who agreed to move in for six months. He agreed
to sign a tenancy agreement which outlined this information.
Just the other day he turned up with three members of his
family and moved most of his things out of my property. I
explained to him that he still had two months left on his
contract.
Further to this, he
agreed on a date to pay me one month’s rent and agreed
that I would keep the deposit for the second month’s
rent. The deposit only makes up half of the month’s
rent but we both agreed on this in order to call a truce.
He has not turned up to pay me on the agreed date and instead
put his keys through my letter box. What action can I take
in order to get the money that I am owed. Are the small claims
courts expensive? Not only would I like to get my money back
but to make a point.
The small claims
court was set-up to provide a simple and cheap means of recovering
debt. I am afraid I have no current figures for costs, but
it is not expensive. If you have clear paperwork, showing
that he owes rent, you should have no difficulty in recovering
and the cost anyway will be added to his debt. You need an
address for him and you must also understand that if he makes
a good case that he cannot afford much etc., the court may
order him to pay only a very small sum each week to clear
the debt – but you will have made a point and perhaps
affect his ability to do the same to someone else as his credit
rating will be altered.
No
tenancy agreement
As a gesture of goodwill I allowed my friend and his girlfriend
to rent my house. I had just bought a new one and they had
nowhere to live. I figured they could live there while he
finished his studies, then I could sell.
They were paying me
some rent to cover the bills and mortgage, but have decided
to not pay me for six weeks. I have no tenancy agreement with
them and I'm sure his girlfriend isn't registered as living
there with the council tax office (he's a student and would
be exempt from paying if he occupied the premises solely)
Having been the victim
of a bad tenant before, I do not wish to go the way of evicting,
it's a time consuming joke. I make no profit from them living
there, and I haven't asked for a bond. They have never paid
by standing order, always cheques cash or both.
Can I just change the locks and move their things out and
move back in myself (most of my things are still in the house
as I am letting them use these). Must have sucker written
on my forehead.
No, you have kind
and generous stamped on you – but change the locks and
that will change to sucker. With friends like this, who needs
enemies? As they have behaved in this unscrupulous and totally
unfair fashion, I would not be surprised if they then tried
to pursue you for illegal eviction.
Without a tenancy
agreement, you cannot go for accelerated possession. Most
people finish their studies in June – was that the plan,
that they would stay until then? It may be worth discussing
with them and seeing what their feelings are – do they
intend to start paying again? Once they owe eight weeks, you
could try a section 8, ground 8 notice – but you will
need a clear rent account for the court if you do this.
Arrears
building up
A
tenant moved into my rented flat approximately 18 months ago.
As he is a self employed builder and couldn't confirm regular
income but paid six month’s rent in advance through
an agency. I subsequently ended my agreement with the agency
as I didn't feel I was getting value for money and my tenant
asked if we could renegotiate the rent as he wanted to stay
for two years and he knew I now didn't have agency fees to
pay. I agreed to lower the rent slightly as a gesture of goodwill
as long as he signed another agreement for at least six months.
He made various excuses and no new agreement was forthcoming.
He then wrote to me giving two month’s notice to quit.
I began looking for a new tenant.
Then my tenant asked
if I could evict him as he wanted the local housing authority
to re-house him as his son had moved in with him and it was
cramped in a one bed flat. I took advice and was told that
I couldn't evict him without reason and that the authorities
would check up on the situation anyway. I told him there was
nothing I could do and I carried on looking for a new tenant.
Next, I was advised
that he'd had an accident at work, had hurt his back severely,
was no longer able to work, and was now receiving housing
benefit – that this was insufficient to cover the whole
rent. I wrote back advising him that it was his duty under
the original agreement to pay the shortfall which for that
month he did. During this time I realised that due to increased
interest and other costs I was only just breaking even with
the current rent and attempted to put it up. I gave him appropriate
notice and contacted the housing benefit people to ascertain
the rent assessment on my property – although they said
they couldn't give me any information due to data protection
rules.
Now the tenant has
sent me a copy of a letter from the housing benefit people
to say they're stopping his claim whilst they investigate
further. So he's advised me he's not going to pay any more
rent. At the moment he's not a full month in arrears but his
next rent is due this week and I have no idea how much, if
anything he's going to send me.
Please can you advise
what I can do from here?
Whoever told you
you could not evict your tenant without reason was wrong –
this is the whole point of an assured shorthold tenancy and
the accelerated possession procedure. This allows you to evict,
giving no reason at all, provided you give two month’s
notice, which should not expire before the fixed term has
ended. As the tenant did not sign the new agreement, the tenancy
automatically converted to a statutory periodic tenancy –
so only two month’s notice is required.
The Homeless Welfare
section may contact you and ask why you are evicting, which
in this case, you can truthfully say that you need a tenant
who can pay an increased rent.
Stopping the benefit
pending investigation is the standard procedure, though I
cannot understand why they would do that, given that they
have told you they cannot give the assessment.
Keep the lines
of communication open. I think it is unlikely the tenant will
honour the notice he has given you, so you need to serve him
notice to make sure he goes. Speak to him pleasantly but advise
that he must get his housing benefit sorted out. As soon as
he is two months/8 weeks in arrears (depending on what the
tenancy agreement says), you will also serve a ground 8,section
8 notice on rent arrears, which requires only two week’s
notice.
Remember, if your
tenancy agreement said rent was payable monthly in advance,
as soon as the tenant owes five weeks, he is in fact two months/8
weeks in arrears. In addition, serve a section 21, accelerated
possession procedure notice, which may be all he wants to
present to the council. Obviously, point out that any reference
you may be asked for will reflect how he has conducted the
tenancy, and this includes how he paid the rent.
What
to claim
I have a claim for possession going through the local county
court. I am also about to issue a claim for rent arrears of
two months – another month’s rent is now due (due
date falling after service of notice). Can I also claim this
in advance or must I issue another claim for the monthly rent
owed in arrears?
I would
leave the claim until it is correct to ask for three months
rent arrears – I am not aware that issuing in advance
is legal. If the tenancy agreement states that rent is payable
monthly in advance, as soon as the date it is due has passed,
he is in a further months arrears.
Changed
locks
My tenant is two months in arrears and I have issued
him with a notice to quit and raised a County Court judgment
against him.
I believe that he has changed
the locks to the property - is it legal for him to do so without
asking/advising me and/or issuing me with a new set of keys?
It is not actually
illegal to do so, though it would be good manners to discuss
with the landlord and good practice to let you have a spare
set of keys. Have you issued a Notice Seeking Possession,
section 8? This is a two week notice and you can then go to
court to get a notice of possession. I think you are worried
that this tenant will stay where he is, hence the concern
about the lock change. If he stays beyond the date the court
gives, you will need to get a bailiff to attend. You would
be as well taking a locksmith along who can take off your
tenant’s locks and replace with new ones, just for the
security of the building anyway.
Last two month’s rent
Our tenants have told us that they have
cancelled their standing order for their last two rental payments
(the tenancy is due to expire at the end of July). They say
they have done this because they have spent £900 on alarm
servicing and gas servicing (both tenant responsibilities as
clearly explained in the agreement) and they do not think they
will get this or their deposit returned when they leave.
They have cancelled
the telephone connection to the house, moved all their furniture
out, apart from a television, kitchen table and chairs and
one bed. In other words they have vacated the property but
not put it in writing. They want us to keep the deposit, and
have written us a cheque for £1,500 totalling two months
rent minus the £900 they think we should pay.
Where do we stand as landlords?
We obviously cannot touch the deposit money until the inventory
is done at the end of the lease and have not banked the cheque.
I
wonder, have your tenant’s had any legal advice, because
although the tenancy agreement states it is their responsibility
to have the alarm and gas serviced, this is unusual and the
tenant cannot sign away responsibilities that are yours in
law.
I know this situation
where the tenants don’t pay the last month or two months
is very frustrating, but these tenants appear to have been
quite reasonable, in that they have sent a cheque. I think
I’d get it cashed, hopefully without it bouncing. You
could try the small claims court, but I think you are unlikely
to win, given that they have paid what they feel is reasonable
and could throw in that you had included what could be seen
as an unfair contract term. Sorry!
Tenants have fled
My tenants have fled owing a month's
rent (even after taking the deposit into account) and leaving
the place in a terrible state. I do not have forwarding addresses
for them but do know where they work. The tenancy was in both
their names and they work in different places. Can I do anything?
You could discuss
with the Small Claims Court whether you could use work addresses,
but I would be very dubious about something that could be
seen as harassment. Do you have any guarantors/next of kin
addresses? If you decide to write to them at their workplaces,
make sure it is marked ‘Private and Confidential’,
but this may not be allowed by their employers which could
raise questions anyway. Maddening as it is, I think you may
have to let this go.
Housing benefit shortfall
I have a tenant who has been in my property
since October 2004, originally through an agent. She is receiving
housing benefit and my agent arranged the payment to come to
me directly.
Last
October 2006 I received a statement from housing benefit stating
that my tenant’s entitlement has been reviewed and that
due to a change of circumstances had been paid too much. They
have taken the over-payment back from me by deduction from monthly
payments.
When I spoke to my tenant she explained she had started work
and assured me she would pay the difference to make up the monthly
amount. This she did for the first two months but after this
she made various excuses. As I knew she was having a hard time
and Christmas was approaching, I accepted her excuses.
Later she told me she was not going to pay the difference until
a leak in the roof was fixed – something I promised to
look into by asking more than one builder to see if there was
a problem and if so provide a quote.
Finally I was told there was a problem with the partition wall
and this was rectified. After this I wrote to my tenant asking
for the overdue amount as I was concerned that this was mounting
up.
She replied saying she would be leaving and she would not be
paying any arrears as I had caused her son to have to sleep
on the sofa, which gave him back problems.
She also told me that I had put her life at risk because I had
been a bad landlady.
What can I do? All I want is for her to leave and get my money
back. A
bad landlady for nearly three years? I don’t think so.
I think this is the usual case of someone being unpleasant
to justify non-payment of what you are entitled to ask for.
Check her rent account carefully. Exactly how much does she
owe? She needs to owe at least two full months rent if it
is a monthly tenancy or eight weeks if it a weekly tenancy.
If she does owe this much, issue a section 8, ground 8 notice,
available from this website.
Add grounds 10
and 11, which do not specify an amount but apply if she owes
eight weeks. This is a two week notice. After it has expired,
go to court and get a possession date.
If she does
not owe the eight weeks, then issue a section 21, two month
notice, to end when the tenancy ends, if you gave a new tenancy
agreement at the expiry of the last tenancy period. If you
did not re-issue the agreement, it became a statutory periodic
tenancy and you can therefore issue two month’s notice
to end at any time. BUT – please make sure you follow
the tenancy dates on the notice – the two week notice
should end at the end of the tenancy period, the two month’s
notice should start at the beginning of a tenancy period.
So if tenancy began on 1 of the month, so should the notice.
Section 8, two week notice, would end on 30 or 31.
No agreement I
rented out my spare room to a lodger as I am rarely at home
and was looking for a bit of house sitting really. I have
no written tenancy agreement and she is not named on any bills
or have anything to say she ever lived in my house. She has
now disappeared whilst I have been away and owes me two months
rent. She is not answering my phone calls and I only have
her parents’ address. Where do I stand legally? Do I
have any way of getting my rent?
The small claims
court would be the answer for the rent, but you would have
to use the parents’ address and they may say they don’t
know where she is. Even if it got to court, I think someone
who could live in your house and leave owing two months rent,
is a) unlikely to pay b) dispute that she lived there as a
lodger. She could say she was house-sitting, so no payment
was due from her. I think this might have to be a lesson learned
as I don’t think you will get anything from her. For
future reference, always prepare a lodging agreement –
you can write it yourself, make sure it is dated and include
the rent, notice arrangements, how the bills are to be divided,
use of kitchen and the like. Sorry.
Selling a debt
My tenants have moved
out having paid nothing for six months. I have found out where
they have gone and I did have a solicitor working for me but
have run out of money to pay him for further work. Meanwhile
I have started small claims court action.
But I was wondering if it is possible to sell this debt, and
if so, who to. My solicitor said he has done this in the past
in the case of business debts.
The tenants who owe me money own a 4 by 4 Range Rover although
I think this is in a relative’s name.
Is there any way I can warn other landlords about these people
as I think they are likely to leave other with similar debts
not to mention damage to their properties.
Perhaps
the best way of seeing whether this is possible is to check
your local Yellow Pages – under ‘Debt Collection’
– I put the circumstances to one such firm which said
it could help.
You have to be
very careful about warning other landlords. If asked for a
reference, always be honest. Is there a local landlords association?
It would probably be extremely helpful to you if something
like this occurs again and you may be able to gain from the
experience of others.
No
formal agreement
One of my friends introduced me to one
of his friends who wanted to rent a room in my flat –
in fact it belongs to my sister and I live there for free.
He moved in, we agreed the rent, but we did not draw up a
legal contract.
Now he is not paying his rent regularly owes my £2,000.
I have drawn up agreement which acknowledges this debt, which
he has signed – although he has not paid this month’s
rent either.
How can I get what I am owed. Can I lock the door and not
let him come in and only give him back his belongings after
he has settled? Or is there any point in drawing up another
agreement?
This
guy is taking the Mick! What is the point in a second agreement
that he will also ignore? Write him a polite, short letter
asking him to accept this as one week’s notice, stating
that if he does not leave at the expiry of the notice you
will be taking court action to remove him from the premises.
The notice should be headed ‘Notice to Quit’ and
can be written by yourself – he has no tenancy, he was
a lodger and you only need give him reasonable notice.
At the expiry
of the notice, go to court and get an order. Only after you
have a court order can you change the locks. You cannot keep
his goods, but as there is a very large debt, you can ask
the Bailiffs to remove his goods to recover the debt –
though I would be surprised if he has goods that would raise
£2000, simply because second-hand goods raise very little,
unless valuable antiques. Speak to Court
Protected
Agricultural occupancy
We have been living in tied accommodation since 1987.
When I was recently made redundant the owners of the property
arranged for a rent officer to register the rent. On the form
the landlord requested that the rent should be £700,
and this was the amount at which the registered rent was set.
Some time ago we were told that we would only ever have to
pay half of the rentable value of the property. We have contacted
the rent service whose officials said the amount of £700
was reached after taking into account the poor condition of
the property.
What we would like to know is, do we pay the £700 or
should we push for paying half of this.
Operative word
here is ‘told’ – did you get anything in
writing confirming this? In what context was it said? For
example, ‘because of the state of the cottage, you’d
only ever have to pay half’. I think you need to discuss
this very openly and see what feeling you get back from the
landlord. If the rent has been set at £700, that clearly
is not an unreasonable rent level. Are you concerned that
if you get another job, you will not be able to afford it?
Raise these concerns, but be aware, if this is not an unreasonable
rent, if you had to find somewhere else, what will you have
to pay then? Discussion it may clarify matters for you and
remind the landlord of what was said.
Unlikely
promises
I have a lady lodger
living in my house and since she moved in (in September 2005)
she has been very erratic with her rent. I allowed her to
default on the rent date by approximately a fortnight every
time as she said she was unable to pay when due as it didn't
coincide with her fortnightly pay date.
I did not take a deposit off her when she moved in and just
recently she has been making excuses about her pay date changing
therefore said she could only pay me on a date three weeks
in arrears.
I said to her that this was not acceptable and that I would
only allow her the two week’s grace and no more.
She was due to pay me four weeks rent (in advance) on the
20 of last month. As usual I allowed her another two weeks
but when I pressed her for payment she said she had changed
jobs and that the pay date had changed again and that she
could not pay me until 19 of the month – by which time
she will be a whole month behind. She also told me she would
be moving our one month after this.
I suspect she will tell me on the 19 that she is unable to
pay. I know that she owes other people money. And I am worried
that she will leave owing me over two months rent.
What should I do? Can I change the front door lock if payment
is not forthcoming on 19?
Most definitely
not! This would be construed as illegal eviction, which even
though she is only a lodger would be treated seriously. Serve
her what she is entitled to in law – reasonable notice.
Probably one week is enough, though more is always preferable,
to give her time to find somewhere else. She has few rights
and would have to go. I would be inclined not to make too
big an issue of the rent – just tell her you feel you
need your own space at present.
Reporting
bad tenants
My tenant has absconded owing me over £1,250 and also
taking the keys. After serving a Section 21 he avoided me
at all costs and asked for all contact to be via correspondence.
I wanted him out after he had been such a bad tenant and had
even sworn at me on occasions.
Now I am left in debt and the flat has been damaged. I called
the police but they said they were powerless and that this
is a civil matter. Surely the theft of keys and my money must
count. Why are we so powerless as landlords when we own the
property?
I’m advised to go to my solicitor but I fail to see
how my money is going to be recovered. Is there a forum where
you can report bad tenants?
Not that I am
aware of, though your local landlords association may be interested.
I am afraid that rent arrears and keeping keys are not viewed
in the same way as stealing money. I usually advise landlords
visit their properties every month to check they are being
looked after. Issue tenancies that say rent is payable monthly
in advance. As soon as the tenant is eight weeks in arrears,
issue a ground 8 notice – and if you do what is suggested,
issuing tenancies payable in advance, means rent need only
be missed for five weeks before you can take action.
A solicitor will only really be able to help if you know where
the tenants are; if you do, then go to the small claims court
– a solicitor would be expensive.
Giving
proper notice of increases
I have been renting
my current flat since April 1996, originally on an assured
shorthold tenancy. Originally the property was managed by
the letting company, to whom I paid my monthly rent.
In October 1998, I was advised that the tenancy would change
to a statutory periodic tenancy, and that the terms would
remain the same as the previous AST, except that it would
be for an unspecified period.
In March 2000 I received notification that the landlord had
sold the property, and that nothing would change other than
that the new landlord would manage the property himself and
that I should now pay my rent direct to him.
In July 2002 the landlord wrote to me to advise that as from
September he was were putting the rent up so that it was in
line with other properties in the area. At the time I didn¹t
know that the landlord was supposed to do this in a particular
way, and being unable to find the additional £100 demanded,
I offered to pay an increase of £50 pounds from September,
with an additional £50 from April (after my next salary
review).
The landlord said he would accept the £50 from September,
but wanted the full increase from January. By this time I
knew the landlord should be following the correct procedure,
so I did not agree to this, although I paid the extra from
April as I had offered.
During the discussions around this, the landlord agreed (in
writing) that the flat was in need of redecoration. Most of
the work discussed still remains incomplete, (and I had to
threaten to return to the original rent until they did something
before any work was undertaken).
I find getting any repairs done quite a challenge (having
to suggest I will get them done myself before anything is
done). I do not currently hold a gas safety certificate, or
a recent electrical or fire
safety certificate.
In December last year, the landlord wrote to advise me that
the rent would be going up by a further £100 from February
and that I must also pay the arrears of £150 for the
claimed increase from January to April – to which I
had not agreed. I have just written to say that I am not able
to raise an additional £100 at one month’s notice,
but that I would be willing to negotiate a more reasonable
increase after my salary review in April, and that as far
as I am concerned, there are no arrears as I paid from the
date I agreed to pay.
I am after some confirmation that I am within my rights to
say what I have said, and that I do not have to pay any additional
rent until the landlord makes a proposal giving me correct
notice and using the correct procedures and allowing me right
of appeal.
I agree that the rent would be about average for the area,
however, I feel that the landlord does not take his responsibilities
seriously, and I am not happy to pay any additional rent until
he does all the things that we previously discussed, and which
I believe he is obliged to do by law. Am I within my rights
to do this?
Well, yes you
are, but remember you are on a statutory periodic tenancy
– the landlord need only give you two month’s
notice. If I were the landlord, asking for what is average
for the area, I may be inclined to evict and start again with
a new tenant. Try and keep things pleasant. There is a legal
procedure for raising the rent and if he has not gone through
that, you have every right to say that there are no arrears.
Using deposit to make good arrears
I have a tenant who has not paid his rent for July. He is
now three weeks late. His telephone is switched off and he
does not reply to my emails. I have heard that he no longer
has a job so it is unlikely he will be able to pay me. Can
I take his deposit as payment of unpaid rent and serve an
eviction notice up to the date the deposit will cover the
rent to?
I cannot answer
this one without knowing fully the tenancy dates. Your tenant
may no longer be working, but he may have made a claim for
housing benefit in which case, you may get some rent at some
time.
He needs to be a full
eight weeks in arrears for you to be able to use the usual
rent arrears ground. If the tenancy period is coming to an
end, then you could serve a section 21, giving two2 month’s
notice. You should not, at this stage, touch the deposit,
though obviously, if the tenant leaves, you will retain it
to cover any rent arrears.
I know you have e-mailed, but perhaps you should write to
him, asking him to contact you to discuss the situation. If
you do it in a pleasant manner, he may respond. Otherwise,
issue the ground 8, two week rent arrears notice, as soon
as he is eight weeks in arrears.
Notice
of increase
I wrote to my tenant to inform him of
a rent increase. When the rent was due his payment by standing
order remained the same as the previous month. Since then I
have written twice at one week intervals asking him to amend
the payment. There has been no reply.
Is there a prescribed number of times I must write to him before
I take further action eg give him notice to quit.
Your tenant is
obviously not agreeing to an increase of rent. I presume this
is a statutory periodic tenancy, as if it was a new tenancy,
you would just have increased the rent. If I am correct in
this, then you must use the formal procedure for proposing
a rent increase. You should use the Landlord’s notice
proposing a new rent under an Assured Periodic Tenancy of
premises situation in England (same form but with Wales at
the end, if the property is in Wales). You would give a month’s
notice, but if the tenant still does not agree, he would have
to apply to the Rent Assessment Committee which would set
the rent.
I am not aware of a
prescribed number of times for writing, but you could not
issue a notice of possession proceedings until he was eight
full weeks in arrears.
Gone
home for summer
My tenant signed a new six month contract in April and has
been paying his rent by direct debit each month. He informed
me in the middle of June that he was going home for three
months but would be back. July’s rent has not been received
(it looks like he's cancelled the direct debit) but the bank
can't say for sure). The house is still full of all his belongings.
I've tried to contact him to no avail - do I wait to get the
money from him when he returns or serve notice? Can I change
the locks? I'm worried that he may come back and move his
things without paying arrears?
Did you get next
of kin details? When he said ‘home’, where did
he mean? Did you get an address? If so, a pleasant telephone
call to him might elicit some information. I don’t think
there is much you can do, I am afraid. If it was my house,
I would not want it to be left vacant for three months –
there are security issues, in which case this should have
been fully discussed when he told you what he was doing. You
could serve a notice to quit, on the basis that you believe
he has abandoned, but I think he is justified in saying that
he advised you he had not abandoned and that he has every
intention of returning, at which point he will pay the outstanding
rent.
For future reference, put it in the tenancy agreement that
the property should not be left untenanted for long periods,
unless by prior arrangement and, in that case, prior payment
in advance of at least part of the rent. In student accommodation,
students generally pay an honorarium of half the rent during
holidays when they are not going to be there.
Lodger
bother
I have two lodgers who live with me. One has lived in my house
for over two years but for the last two months has been late
with his rent. When he moved in he signed a contract agreeing
to pay his rent on the first of every month. I assume that
this makes him in breach of contract? I was told in the past
that as I live at the same address I am legally entitled to
evict him without further notice if he is in breach –
is this actually correct? I do have a clause in the contract
that states that I can give him four week’s notice to
move out (and vice versa), but I want to make him aware (and
be sure myself) of the possible consequences of continued
late payment. I would be grateful for your advice.
Send a warning
letter stating that you are considering terminating his agreement
because of the breach - that he is failing to pay the rent
on the first of the month. However, if this is due to a change
of work payment dates, you would be prepared to discuss payment
dates with him.
I believe that even
where there is a breach, eviction without further notice could
be considered unreasonable. I would be inclined to give one
week’s notice. If he argues, remind him that the four
week’s notice in the contract does not apply where there
is a breach. Hopefully, this will bring him back into line.
Doing a bunk
I have had two tenants (both students) living in
my property (in which I also live in) for the past year. Their
contract ends on 1 July 2006.
Recently I received various utility bills which I photocopied
together with a letter to each tenant stating exactly what
is owed and reminding them that all bills and unpaid rent
(one of the tenants has not paid June's rent) must be paid
by 1 July.
Three days ago in my absence, both tenants moved out without
leaving me a cheque for what is owed. I am unsure of what
to do because they have shown no respect for me throughout
the tenancy agreement by continually being late in paying
rent and bills – this may be in part because I am only
23 and they are one or two years younger than myself.
Fortunately I have their parents’ addresses –
where they have probably fled, because they told me they had
little cash at the moment. They owe me about £1,000
and I really don't want to have to take this to court because
that could become costly. What should I do?
The Small Claims
Court is not unduly expensive, and of course, the costs, if
you win (which you should) would go against them. Did the
parents stand as guarantors? If so, you could pursue a claim
against them.
Try not to get too upset about the lack of respect –
it is not nice, but actually, probably most landlords dealing
with students would say this tends to be the norm at some
stage of the tenancy. You will know in future to be extra
vigilant when it comes to the end of the academic year. I
presume you have some deposit, which will cover some of the
debt.
Lodger’s
rent arrears
I have recently refurbished a room with the intention
of renting it. A good friend of my son’s took the room
three months ago at an agreed rent of £60 a week. As he
was a friend no licence or tenancy agreement was drawn up. Now
he has given a week’s notice that he is quitting to move
into a flat that is considerably more expensive. The problem
is that he has not paid any rent or any of the bills he said
he would and has caused considerable (expensive) damage.
He has consistently promised to pay but as he had no job was
unable to do so. As he is moving to this more expensive flat,
still with no job, I can't see how he could pay the money he
owes me and pay his new rent. Could a binding agreement now
be drawn up to make sure the unpaid rent and damage can be recovered?
Another
good example of not mixing business with friendship. I think
a retrospective binding agreement would be very difficult
to use to recover your losses. He has no agreement and will
almost certainly deny that he was there as a paying guest
– he may say his friend wanted to help him out, for
example. This is supported by the fact that although he gave
you no rent, you did not ask him to leave. Yes, I know you
were being patient and trusting, but it does not support your
case.
The lodger has probably gone for a better property because
he will be entitled to housing benefit, which is paid at a
higher lever for a tenancy than for lodgings. I do not understand
why he did not try to claim housing benefit, and at least
got you some rent. But sometimes there is a logic with tenants
and lodgers which is unfathomable.
As he was a good friend of your son, can he put gentle pressure
on him? Do you know the lad’s parents – would
they be prepared to cover his debt? Or is this why he was
not living at home?
Good luck – I think small claims court is your only
option.
Waiting for housing benefit
I have been renting my flat for two and a half years.
It started in November 2003 as an assured shorthold tenancy,
which I believe lasted for six months, but has carried on
till now. I have recently lost my job and have put in a claim
for job seekers allowance and housing benefits. I have been
paying my rent for the last two weeks with what savings I
have.
I have told my landlord that I have no more money left but
that the housing benefit will be sorted within six to eight
weeks and that the rent will be paid directly to him. He said
that the housing benefit was my problem and that he is not
prepared to wait for it come through even if it is going to
be back dated. He wants his rent every Friday night otherwise
he will kick me out.
Until now I have never missed a payment or been in arrears.
Can he do this?
No, he cannot.
You have a statutory periodic tenancy and are entitled to
two months notice, if he wants to end the tenancy without
a reason, or two weeks notice using ‘ground 8’
which covers rent arrears – but only when eight full
weeks rent is owing.
Try and discuss the situation with him reasonably. If he is
not prepared to do this, advise him you will contact the Housing
Benefit section. They can pay an interim payment if they cannot
pay the full sum, but this will probably be enough to stave
off possible ground 8 action.
Advise your landlord
that any action on his part to evict you without legal notice
would mean you would contact a solicitor and the local authority,
which can prosecute in cases of illegal eviction, which this
would be.
I have every sympathy with landlords who feel they wait a
long time for housing benefit and then have other problems,
but illegal eviction is a crime. If the landlord turns up
on your doorstep to evict, call the police. Good luck!
Pressure
for pump
Last October I let out my flat for the first time.
My tenant has not paid the rent for January or February. He
wants me to install a pressure pump and says that unless I do
so he will not pay the rent. I
do not think a pressure pump is a ‘necessary need' and
I cannot afford one anyway. I am single mother and have to
pay the mortgage for my flat and also the rent for the place
where I live.
Reading few of the questions
and answers I gather that I can use a section 8 notice, but
I am not sure if it is right procedure or where to get the
relevant forms.
I would be grateful if you could tell me what to do at this
situation.
He is two months in arrears, so serve a ground 8 notice.
I always try to be balanced and see both sides, but I cannot
understand why tenants feel they are able to dictate terms.
Despite my professional qualifications, I am afraid I am unsure
what a pressure pump does. My guess would be something to
do with water pressure (and if I am wrong, I don’t mind
people laughing) but if there is sufficient water pressure
to run a bath, use the washer etc., then I would not think
it is necessary. Do I assume correctly that you have lived
in the property yourself? If so, unless something has happened
to change the water pressure, I cannot see that there is any
necessity to change it. I think your tenant may be trying
it on with someone he thinks he can manipulate.
Raising
the rent
Rather than leave my apartment empty I took the advice of
a letting agent and let it at a considerably lower rent than
I had originally wanted. I've subsequently realised that I
will not be able to continue renting it out at that price
for much longer. Would I be able to raise the rent or is there
a set time that I have to wait before I can raise the rent?
Your agent should be handling
this for you. Generally speaking, you can raise the rent when
a new tenancy is issued, though you should probably aim to
raise it every 12 months at the anniversary of the tenancy.
Shortfall
in initial payment
We currently let a flat through an agent. The tenant, who
receives housing benefit and whose rent is paid by the council,
moved in on 31 October. He was supposed to have paid a deposit
plus a month’s rent plus a month in advance - £2,025
in total. All we have received from the agent is £1,000,
which was paid over in January.
Can we give the tenant two month’s notice as he and
the agent are both in breach of contract? The agent has also
had the cheek to take £95 for contacting the council
and the like.
If we do not receive any money from the tenant can we claim
it from the agent?
Before you do
anything extreme like evicting, I feel you should ask the
agent to explain what you have been given. Ask them to put
it in writing.
Read the agreement you
have carefully – I would not expect that you would receive
the deposit, I would expect the agent to hold it, ready to
return following inspection at the end of the tenancy.
I am not clear, from your question, how you see the tenant
is in breach of contract. If he has not paid the sums required,
then he is, but you are not clear about that because you do
not know what the agent received, only what you have had.
I don’t know the area you are in, but it is possible
that there is a delay with housing benefit, hence the small
sum received. I am not sure about the £95 you paid for
contacting the council, but I would have thought if this was
reference checks, the tenant should have paid.
Sit down with the agent and discuss fully. If not satisfied,
contact ARLA or any other relevant professional body.
Girlfriend stayed on
We have a tenant who has not paid his rent for two months
and has now informed us that he has vacated the property leaving
his girlfriend and daughter there. His girlfriend is not on
the tenancy agreement but has been advised that she has every
right to stay even though she is not named.
The tenant has told us that he cannot afford to pay his arrears
as he is now unemployed while his girlfriend is not contacting
us to discuss payment. How can we get her out of the property
if all notices served were not originally in her name?
I believe this
is a ‘Notice to Quit’, issued in her name as the
illegal occupier. Notice would be 28 days and if she stays
where she is, you would go to court to obtain a possession
order. Please make sure you take no rent from her as that
would create a tenancy and give her rights in the tenancy
which she does not have as a licensee (meaning she is there
with the tenants’ permission).
Obtaining
payment
My tenant is now eight months in arrears with the rent. We
are seeking possession under ground 8 and hope the court will
grant this as the tenant’s 12 month agreement is almost
finished. If we are successful in this, will the judgement
enable us to get any of the money owed to us? If not, how
can we recover the debt? Can we sell the debt?
I would go to
the small claims court now. Also, put in a claim for costs.
This could be quite complex and obviously talking about a
lot of money, so I think I would see a solicitor.
Selling the debt will not recover the amount lost, but you
may feel this is easier in the long run. |