Two sharing AST, one working, one on UC?Make Text Bigger
I am aware of the potential disadvantages of dealing with tenants on benefits, but wondering how to set the rent on this one. Large flat, advertised at £395 for one person. The previous pair of tenants were paying £475.
The working tenant will pay first months rent and deposit upfront and I realise it’ll probably go to regular rent in arrears at least partially. The chap on UC, due to his age, gets about £380 for 4 weeks and I assume that if the UC office knows he’s sharing, the amount will be less.
Does anyone know what he will get as a sharer? It’s in Hartlepool in case that’s relevant.
He claims direct payments are in place to his current landlord and that he will simply log a new address in his journal and payments will come to me. I’ll believe this when I see it, and since I’m inexperienced in dealing with benefits, can anyone shed light on how the changeover process is likely to pan out?
I’ve had one benefits tenant with direct payments to me, and all went smoothly, but I understand that with all new claims (and an address change counts as such), the default is payments to the tenant.
I don’t know on what grounds his money is paid directly to the Landlord currently.
I’m not out for the whole of his alleged £380 (-ish) payment, nice though that would be, because I’m sure it would be payback time when the UC office discovers he’s sharing. It’s attractive of course to have the payments direct to me if this in fact transpires, but payment to the tenant would put the onus on him to be claiming correctly bearing in mind the shared tenancy.
Alternatively, I can take the view that I might be overpaid initially, and then pay it back when sharing is discovered.
The decision now, and which I’d appreciate input on, is where to set the rent amount for the tenancy agreement.
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