T persistently pays rent late; what can L do?

[Boobydoo]

Hello all

We've had Tennants in our property for nearly two years now and to be honest I think they have only ever paid on time twice.
Obviously we still have a mortgage to pay and we feel that we need to be a little more serious about the constant late payments.
Could someone tell me the process I need to go through to warn the tennants that if it happens again then we will be asking them to leave.
We do not use an agency and we drew up a short term tennancy.
Many thanks

[Snorkerz]

There is no such process.

If this is a problem, you need to follow the eviction process.

What date did the last tenancy agreement begin?
How long was it for?
Is there a deposit / is it protected?
What country are you in?
Have you served any notices on your tenants?

[Boobydoo]

Thanks for replying Snorkerz.

The last Tennancy agreement started back in October 2009 and hasn't been renewed. It was for an initial six months and then rolling six months. The Tennant paid a month in advance. We are in the UK and we have never served any notices on the tenants.

So am I correct in thinking that if the next payment is late then we send them a letter asking them to bring everything up to date and move out?

[jeffrey]

The last TeNancy agreement started back in October 2009 and hasn't been renewed. It was for an initial six months and then rolling six months.

DANGER. What was the precise wording of the clause setting-out the AST's term?
I have some doubts that 'initial six months and then rolling six months' could conceivably be what it states.

[Snorkerz]

No, you have a choice.

You can serve them a section 21(4)(a) notice giving 2 months notice and expiring at the end of a tenancy period. Once that expires, you can go to court for possession.

or

You can serve a section 8 notice under ground 11 giving 2 weeks notice. Once that expires, you can go to court for possession. However, ground 11 is a discretionary ground, the judge will have to decide if the late payments are sufficient to make someone homeless. You don't have that uncertainty with an s21. These pages may help:
http://tenancyanswers.ucoz.com/index..._contract/0-36
http://tenancyanswers.ucoz.com/index..._contract/0-37

Can you clarify, with regard to the rent in advance - am I right in thinking all they paid on their move-in date was the rent for the first month?

[jeffrey]

Snorkerz: maybe s.21 won't help much if (as OP avers) there is:
a. a six-monthly CPT; or
b. there isn't but the rent was due six-monthly so there's a six-monthly SPT.

[mariner]

OP actually states #1 "We do not use an agency and we drew up a short term tennancy."

I suggest that DIY Agreement is checked by a professional for validity ie no confusing clauses and contains all legal requirements as OP seems to be 'inexperienced'

Anything provided in writing will overide any verbal contract IMO

[jeffrey]

Anything provided in writing will overide any verbal contract IMO

I agree. OP's problems exemplify just another frustrating case of amateuring.

[QuestForFreedom]

Hold on folks! Aren't you all being a little harsh recommending eviction? The tenant hasn't missed a payment, they have only been late. If I left our household finances up to my wife we would be late on every payment due! That doesn't make us bad people.

How about setting up a standing order with the tenant?

[boletus]

Could someone tell me the process I need to go through to warn the tennants that if it happens again then we will be asking them to leave.

Have you written to your tenants, spelling out the situation to them? If they've been getting away with it for two years, maybe they think you don't mind.
IME though, letters only make a short term improvement, late payers remain late payers.

Are you tenants good in every other way?
Do you have a substantial deposit and/or a guarantor?
Do you have rent guarantee insurance?

[boletus]

Hold on folks! Aren't you all being a little harsh recommending eviction? The tenant hasn't missed a payment, they have only been late. If I left our household finances up to my wife we would be late on every payment due! That doesn't make us bad people.

How about setting up a standing order with the tenant?

I agree, that's how I read things. We cross posted.

[mariner]

We do not know Ts financial situation or even if they have a bank account or if receiving HB. Standing order can only be set up on bank account and payments are under T control. Will SO be paid if 'insufficient funds'? Letters and informal payment scheds just waste paper.
Eviction hearing paperwork can act like a bucket of cold water or cause resentment.
Maybe worth pointing out to T that mortgage on their property has to be paid and if the Lender reposses for non-payment then T will have no option. Whereas if rent is paid on time, that situation is unlikely to arise.
Do we know if T has rent arrears > 1 month or just a persistent late-payer?

[westminster]

Could someone tell me the process I need to go through to warn the tennants that if it happens again then we will be asking them to leave.

Rent is due under the terms of the contract, and the tenants are grown-ups. There is no 'warning' procedure other than telling them you're considering serving notice, or just going ahead and serving notice - a s.21 notice and s.8 notice, then applying to the court for possession after notice expiry.

Your lack of seriousness may well be apparent to the T, in which case there's a reasonable chance they're taking the p1ss. Watch old episodes of Super Nanny.

[Always Problems]

Tenants have their own rules of conduct, irrespective of what your lease says. Initially I would say that you are "Underfunded" if by the tenants rent being late it causes you to pay the morgage yourself rather than with the incoming rent. Obviously you need to impress on the tenant that you need the terms of the lease observing. But if you ask them to leave you wont get any rent at all. Is your house easy to re-let if you give your tenants notice to quit. Is it worth the trouble. You have chosen to be a landlord, late payment of rent goes with the job.

[theartfullodger]

...You have chosen to be a landlord, late payment of rent goes with the job.

Wise words AP.

Lesson 2: Pope may have Catholic tendencies
Lesson 3: Bears occasionally defecate in arboreal surroundings..

In OP's shoes I'd send a firm but polite letter noting payment history, pointing to clauses requiring payment on time, noting breach of contract & Section 8 possibilities and request prompt payment in future. If it happens again, S21 if not already issued.. then evict.

(Lesson 4: LL must be prepared to be a b****ard from time2time or he's in the wrong job).

Cheers!

Artful