Single or joint tenancy and or guarantor?

by Readers Question

8:00 AM, 1st March 2021
About 2 months ago

Single or joint tenancy and or guarantor?

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Single or joint tenancy and or guarantor?

I have a family looking to rent a property from me consisting of a father, mother and young child. They are not married.

The mother is a stay at home mum, so obviously she cannot pass a tenant reference check as she has no income. The father is the sole earner in the family.

Therefore, would you seek a guarantor for the rant, or issue the tenancy in the sole name of the father with the others as permitted occupants?

Many thanks

Chris

Comments

Ian Narbeth

12:06 PM, 1st March 2021
About 2 months ago

Chris, You write:
"[W]ould you seek a guarantor for the r[e]nt, or issue the tenancy in the sole name of the father with the others as permitted occupants?"
These are not mutually exclusive. The fact that the mother might not pass credit referencing is no reason not to add her as a tenant (unless you have rent insurance which requires all parties named as tenant to pass referencing). You should get her signed up as a tenant so that if the father moves out you have her on the tenancy.
Whether you ask for a guarantor in addition depends on the father's creditworthiness. It has nothing to do with his marital status or his partner's employment.

Ashleigh

7:44 AM, 3rd March 2021
About a month ago

Hi Chris
You must still add her to the tenancy agreement as she is still a ‘tenant’ whether she works or not. Having a guarantor in these uncertain times is a good idea and I am now insisting on a guarantor for all new tenancies, whether the tenant passes referencing or not. The NRLA have all the necessary forms for this! Good luck.

David

14:50 PM, 3rd March 2021
About a month ago

Reply to the comment left by Ashleigh at 03/03/2021 - 07:44
There is no legal obligation to have her as a tenant and if there is no mortgage or insurance requirement to the contrary, it may be better to have her as a permitted occupier.

Ian Narbeth

14:58 PM, 3rd March 2021
About a month ago

Reply to the comment left by David at 03/03/2021 - 14:50
David, you have contradicted the advice I gave on 1st March but without explanation.

Why is it better to have her as a permitted occupier rather than as a contractually-bound tenant? If she signs the tenancy she can be sued for rent arrears and damages. If her partner does a runner and the OP only discovers it long after the event, she may not be willing to sign up at that stage. A court order will be needed to evict her but it will not be straightforward to claim any money from her. For all the OP knows she might have assets or come in to an inheritance. Why not have her on the tenancy?

David

13:44 PM, 4th March 2021
About a month ago

Reply to the comment left by Ian Narbeth at 03/03/2021 - 14:58
Well I did say it MAY be better not that it would in every circumstance. However, if the person has no independent income and would not pass referencing, it is not necessarily in the landlords interest to give them tenancy rights which they can then exercise if the couple split up. In a scenario where she is left as the sole occupier of the property, the landlord may prefer the ability to get her out relatively quickly over the option of trying to sue her for money she doesn't have.


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