Rent arrears

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    Rent arrears

    Hi

    I have a tenant who got in arrears in the end of 2019 by 1.5 months because of work then continued to pay full rent until Covid. He couldn't work and was unfortunate to not get furlough or any government scheme other that UC so we arranged a reduced for 4 months. Now he is behind further as his work is quiet I think, now its around three months arrears not including the agreed rent reduction.

    Any suggestions? I'm a bit reluctant to serve notice as that's 6 months notice of possibly getting no rent and then it going to court etc which could take any amount of time given the current circumstances. Is MCOL worth doing and offer the potential to leave before I file it?

    Many thanks

    #2
    Get the tenant to do some work for you and receive a rent in kind eg painting gardening etc.

    Comment


      #3
      If you worry that the tenant may stop paying rent when you serve notice, why would you not worry about him doing the same if you start a money claim?

      Comment


        #4
        The idea of him working is unlikely to work as he is not very good at discussing the issue.

        Yes you are right that could happen either way. I am interested it what other people are doing in similar situations, I feel I have been very lenient during Covid but It can't continue how it is. So I am trying to work out what is best to do next.

        Many thanks

        Comment


          #5
          You can try offering him to cancel the arrears if he leaves

          Comment


            #6
            Well, you've got to decide whether you want him in or out.

            If he's currently at three months arrears (forget the amicable rent reduction, that's gone as you agreed to it) then you need to wait for three more months of rent arrears before you can issue a s8 with a four week notice period and then seek repossession. How long that takes is anyone's guess.

            Also you can issue a s21 now and just let it run and see. If you want to go down the route of a money claim just remember this may impact your s8 claim. I would only issue it if I think the tenant will have an issue with a CCJ.

            But the key question is whether you want to continue with or without him. That only you know.

            Comment


              #7
              Originally posted by Perce View Post
              You can try offering him to cancel the arrears if he leaves
              I tried that and he didn't give much of a reponse.

              Comment


                #8
                ChrisDennison,

                Ok I didn't realise once in 6 months arrears the notice reduces down to 4 weeks. That is probably the best course of action to issue the s21 and then s8 if rent isn't paid.
                How does money claim impact s8? Surely no one wants a CCJ, If it was me I would do everything I could to avoid a CCJ.

                Thanks for the information, I've been very fortunate not to have been in this situation before maybe I should of been faster to act instead of trying to do "the right thing" during covid.

                Comment


                  #9
                  s8 can be served once 2 month rent is owing.(ie 1 rental period + 1 day).

                  Comment


                    #10
                    Originally posted by mariner View Post
                    s8 can be served once 2 month rent is owing.(ie 1 rental period + 1 day).
                    Thank you I knew this was the case I just wasn't aware that if he gets to 6 months arrears the notice reduces to 4 weeks.

                    I will issue one last letter for this months rent and if that is not successful I will serve notice.

                    As I can use S8 or S21 is either one of those preferable at the moment? Then if he gets to 6 months arrears I can issue the S8 for 4 weeks notice.

                    Many thanks

                    Comment


                      #11
                      You can issue both, multiple times, without implications.

                      Comment


                        #12
                        Originally posted by mariner View Post
                        s8 can be served once 2 month rent is owing.(ie 1 rental period + 1 day).
                        S8g10 may be validly served if only 1p is owing for 1day.

                        Not no s8g8 if rent payable 4-weekly

                        Only evict with s8g8,10 &11 or s21
                        I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

                        Comment


                          #13
                          Assuming the tenant really doesn't have any money, suing them for it is unlikely to do any good.

                          If you serve notice, the tenant may simply stop paying rent - as they might as well be hung for a sheep as a lamb, and you've already shown that you intend to evict them.

                          I would suggest that the tenant be encouraged to contact your local authority and seek help with the arrears.
                          There's meant to be emergency funding available for this very purpose.
                          Some local councils have services set up specifically for this situation - https://www.solihullcommunityhousing...ore-you-serve/
                          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


                            #14
                            Originally posted by MP31 View Post

                            I tried that and he didn't give much of a reponse.
                            This speaks volumes in my opinion....... he could simply be playing for time, get rid asap.

                            Comment


                              #15
                              Those who are not paying anything are doing it deliberately or cannot be bothered to make arrangements. Where do they get money to eat, pay bills, pay council tax, pay for mobile phones, pay for petrol like my tenant ? The government provides a lot of support with rent. I have just looked in my area and could not believe my eyes : so many organisations are providing help if you are experiencing difficulty.

                              Agree with Hudson1.

                              Comment

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