Tenants separating – what to do?

by Readers Question

20:17 PM, 23rd February 2015
About 4 years ago

Tenants separating – what to do?

Make Text Bigger
Tenants separating – what to do?

I have a tenant who has just separated from her partner, he has moved out and she would like to continue with the tenancy which she can afford to top up.

She tells me that housing are already paying some of her rent. Tenants separating - what to do

My questions are,

1) do I issue a new tenancy agreement to the now single tenant.

2) what do I do about the deposit, does it remain protected until her tenancy ends.

3) does her partner have a claim on this.

4)Anything else i need to be aware of before agreeing to let her stay. I usually only let to working families but realise that unemployment is just around the corner for some and that situations change.

Any advice welcome

Thanks in advance

Anne



Comments

Mark Alexander

20:20 PM, 23rd February 2015
About 4 years ago

Hi Anne

Having been caught out big time in a similar scenario I think you should read this article I wrote to see how bad things could get >>> http://www.property118.com/perfect-tenant-evicted-prostitute/29056/

If ever I'm faced with a situation like this again I will re-reference the tenant and if I can't purchase RGI then the tenancy will have to end and there will be no new one. If tenant references up start from scratch as if you've found a new tenant is my advice.
.

Gary Nock

0:02 AM, 25th February 2015
About 4 years ago

And in addition to Mark's excellent advice above check both your buildings and contents insurance to ensure they are not invalidated by having a housing benefits tenant. Likewise the terms of your mortgage if you have one on the property. My particular insurer will not allow HB tenants. That suits me as I don't take them anyway, and is also a valid reason for refusal.

anne dyson

8:02 AM, 25th February 2015
About 4 years ago

Thankyou both for your comments, would you mind explaining to me why some insurance companies don't offer cover for LA tenants. I'm a newbie landlord and learning everyday

Gary Nock

10:14 AM, 25th February 2015
About 4 years ago

Anne it's because their risk profile puts benefit tenants at a higher risk of causing damage to property than professional working tenants.

Gary Nock

10:17 AM, 25th February 2015
About 4 years ago

And I forgot to add that some lenders exclude benefits tenants for the same reason. If they are issuing a 60% or 85% LTV on a property then they want to protect that investment.

Jerry Jones

13:27 PM, 25th February 2015
About 4 years ago

I've often wondered if a lender requires you to give a tenant a S21 to go with their P45! Furthermore, what if they are still in the fixed tenancy - you cannot!

Simon Bentley

15:09 PM, 25th February 2015
About 4 years ago

Depending on the number of bedrooms and whether she has dependants and of what age etc and IF she declared her partner (you don't mention them as married - so I assume not) as a partner or someone she was renting on a sharing basis with (people try this one to get more benefit), then the amount of housing benefit payable may be hit by the so call Bedroom Tax (The Under-Occupancy Charge - a stupid vote grabbing idea. There is already an area by area cap on housing benefits directly related to the same rules used to apply the penalty, the charge simply penalises those savvy enough to find/negotiate a rent at below mark rate - and thus hits landlords by reducing the available pool of tenants for these properties. If the caps were wrong, they should have been reassessed, from examples I am aware of one of the main issues lie in the areas being too big, low cost areas are lumped together with high cost ones, to create an average, meaning the cap is too high for the low cost area, but unrealistically low for the higher cost area - this is the real "social cleansing" mechanism, but as its more complex the press have ignored it ).


Leave Comments

Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.

Forgotten your password?

OR

BECOME A MEMBER

Shelter’s Head of Research misled public on TV

The Landlords Union

Become a Member, it's FREE

Our mission is to facilitate the sharing of best practice amongst UK landlords, tenants and letting agents

Learn More