Tenant 2 months into a 12 month AST stopped paying/cant pay-advice needed

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    Tenant 2 months into a 12 month AST stopped paying/cant pay-advice needed

    Hi, my tenant has stopped paying rent and has varied reason between saying she has had no work (a home carer for a firm who told me they had too much work to cope), was beat up by her boyfriend and is self isolating as she has asthma. I believe she is looking to claim Universal Credit in respect of housing but the rent per month is £495 and i believe her Housing Benefit will be £360

    My questions are that in light of Corona in respect of finding a new tenant/eviction should i

    (a) get her to surrender the property by signing a voluntary surrender but on the proviso she remains liable for rent/utilities until i get a new tenant. I think i could convince her to do this as she is amicable and will move back in with her mum who lives round corner
    (b) wait 5 weeks in the hope she gets housing benefit and take a reduced rent (maybe £400) so at least im getting something
    (c) something else

    Thanks in advance

    #2
    The amounts payable in Housing Benefit have just rocketed, so first of all make sure you're looking at the figures applicable from 1st April which have just been released:

    https://www.gov.uk/government/public...-to-march-2021

    Comment


      #3
      hamilton,

      That's interesting - thanks for that, new London rates are a lot more realistic and will be a big help for landlords at present time. Unfortunately those I have checked for N E Kent are still way short of market rents....

      Comment


        #4
        In the current climate a reduced rent might be better than no rent. If she goes you may find you're unable to get a new tenant until the lock down is over.

        Comment


          #5
          Go back in time and don't let to anyone for more than 6 months. Also take 6 months up front if you can.

          Comment


            #6
            Originally posted by croboy View Post
            (a) get her to surrender the property by signing a voluntary surrender but on the proviso she remains liable for rent/utilities until i get a new tenant. I think i could convince her to do this as she is amicable and will move back in with her mum who lives round corner
            That would be a non-starter.

            If she has surrendered the tenancy, and you have accepted, then there's no tenancy and so no rent is payable.
            Or to put it another way-
            If she is paying rent then she has not surrendered the tenancy.

            You can't have your cake and eat it.

            Comment


              #7
              You can't agree a future surrender, a surrender agreement documents something that has happened not something that will happen.
              A future surrender is a form of notice.

              You can obviously come to an agreement with the tenant that you are both happy with, but these are not normal times.
              Your ability to let the property right now is massively reduced.
              Reduced rent is better than no rent (and the tenant can pay back any arrears when things are back to normal).
              When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
              Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

              Comment

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