Real-life MMD: Should I go without for the sake of my live-in tenant?

Former_MSE_Debs · 19 September 2013 at 5:52PM

Money Moral Dilemma: Should I go without for the sake of my live-in tenant?

My unofficial live-in tenant (no contract) has lost her job, so can't afford her rent just now. She’s asked me to lower it until she gets work again, at which point she'll reimburse me. Problem is, I rely on that income. Should I struggle myself, or tell her she has to move out if she can't afford to pay?

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iscamaid · 24 September 2013 at 8:46PM

It should depend on how long she has been a reliable tenant, has she been trustworthy and always paid on time until now? What is her job, is she likely to find work in her skill area fairly quickly and is she making an effort to find work. If she has stayed with you for over 6 months, been friendly and reliable and paid on time it might be worth bearing with her for a few weeks to give her chance to get on her feet and find sowething. Explain this to her gently so if she does not find something it does not come as a shock if she is asked to move on after a specified time.

macaroni · 24 September 2013 at 9:16PM

The question you need to ask is would you get a replacement tenant easily?

katecheshire · 24 September 2013 at 9:56PM

Well if she was a proper tenant with a rent book she might be able to get housing benefit. It's hard to advise you when the arrangement is not very clear - are you sub-letting (and are not supposed to be) or are you the owner? Is there a good reason for the 'unofficial' arrangement? You could be claiming a tax allowance if it is your own home, which might help you.

dizzydoodah · 24 September 2013 at 10:13PM

Ditch her stat! I had a similar situation and was taken for a ride for a long time (I was fairly young at the time).

People rarely hurry up their search if they're comfortable.

Tell her to leave. Claim single person's Ctax until you find another tennant. And have a contract.

DWatts · 25 September 2013 at 1:40AM

dizzydoodah wrote: »

Ditch her stat! I had a similar situation and was taken for a ride for a long time (I was fairly young at the time).

People rarely hurry up their search if they're comfortable.

Tell her to leave. Claim single person's Ctax until you find another tennant. And have a contract.

Translation: you had a bad experience once, so the OP should throw someone out of their home just as they lose their job. But as long as you're alright, yeah? You sound like a lovely person.

OP: you should look at your financial situation long-term if you rely on the income of a tenant. That being said, I would give some lee-way if she's been reliable, and is still willing to pay something. Maybe give her a month, but at least then she'll have warning.

gloriouslyhappy · 25 September 2013 at 7:44AM

If you trust her enough to share your house with her, then sounds like you should try to work with her during this time when she needs your help. But, it would be smart to put things on an official footing, get things in writing, for both your sakes, and maybe she could claim housing benefit which would be paid to you so your own finances would be easier. Under the 'rent-a-room ' scheme, you can earn a fair amount (currently £4,250) before you'd owe any taxes.

But, really, get things in writing soon! Saves so many hassles down the line, for both your sakes!

his8msl · 25 September 2013 at 7:53AM

Has she paid one month's rent up front as a deposit? Assuming you trust her you could consider using this to subsidise her rent? If so that would give you a natural time limit. E.g. £400/month rent and she can afford £200. She has left a £400 deposit so she has two months until she has to move out. As soon as she has a job she rebuilds her deposit at a rate she can afford.

notminted_2 · 25 September 2013 at 7:58AM

It does rather depend on how much you like this tenant - if you want to hang on to them, why not agree to the tenant's request but for a time limited period only? Perhaps 3 months or whatever you think is reasonable, and with a clear message that the rent then goes back up or they must leave. That way there is an incentive to find a new job quickly, and the hardship that you will have is limited.

rob_s0 · 25 September 2013 at 8:13AM

Absolutely not. If you try and evict your tenant and they've been living there without any contract (and therefore you're unlikely to have been declaring the income), they have the upper hand as they can shop you to the authorities for it.

Chopsie&Chelvis · 25 September 2013 at 8:26AM

rob_s0 wrote: »

Absolutely not. If you try and evict your tenant and they've been living there without any contract (and therefore you're unlikely to have been declaring the income), they have the upper hand as they can shop you to the authorities for it.

I presume by 'live in tenant' the OP means lodger? In which case, I think that they have much less in the way of rights and you can throw them out immediately (not that I'm suggesting that!).

I think it depends on your relationship with them - if they've been a good lodger for a long time, I'd consider it with a time limit agreed. If they only moved in a few weeks ago, I'd probably say no. Really tough sitation for everyone though

Real-life MMD: Should I go without for the sake of my live-in tenant?

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