Would you offer this family a tenancy ?

clutton_2

hi everyone - i have never done a post like this before.....

lets see both sides of the Landlord/Tenant views points here please ..

As most of you know i house many benefit tenants, so i don't discriminate.

A young woman aged 27, with a 3 year old and a 6 year old on benefits.

She seems very committed and organised - having turned up for the viewing with lots of paperwork and evidence of her circumstances. Her sister came with her and they seemed very honest.

She had told me on the phone prior to the viewing that she had got into arrears in the past and is paying off her rental debt which is now down to £200. (I have not yet had the time to verify this with her current landord)

She tells me she is wanting to move because her ex is threatening her, and she told me she is living in a different house from the one she rents from the housing assocation. She has not put this temporary address on her tenancy application form

My main concern is financial. She has voluntarily brought me her income support documentation, which show that she is entitled to £60.50 per week, but she has 2 deductions - amounting to £20.80p.w. leaving her £39.70 per week for herself - obiously plus her child benefit.

I cannot see how she can possibly survive on this money ......

and my concerns are that she will almost inevitably have to dip into the rent money from time to time to feed her children.

it would not be in anyones interest for her to sign an agreement, and then for me to have to evict her down the line if she cannot pay the rent.....

any thoughts please ?

i

She seems to think she cannot get a guarantor - although i have not investigated that yet.

I really am in a quandry with this one - wanting to be fair to her, but, also needing to be realistic for my own financial income.

poppysarah

she should be in council.
Why isn't she? Has she had rent arrears with them?

make the decision with your business head not with the bit that thinks society should look after all the waifs and strays.
I knew a housing officer who called them "people who couldn't manage their own affairs"

If you feel guilty then use any contacts you have at the council to get her housed.

edit: council being cheaper than HA but I assume some places are all taken over by HA now.

clutton_2

thanks poppysarah - she is currently housed by the council .... - i have seen her tenancy agreement.

Fat_Fairy

she must be getting child tax credit aswell as the income support and child benefit so she won't be quite so badly off as you think, she doesn't sound greatly reliable though, - good on you for trying to be fair to people all the same.
Won't she get housing benefit/LHA, could that not be paid directly to you or has the system now changed?.

poppysarah

clutton wrote: »

thanks poppysarah - she is currently housed by the council .... - i have seen her tenancy agreement.

She should stay with them.

If she needs to move then she can be rehoused.

her problem with her ex needs to be sorted out else he'll just follow her about

Catblue

Okay, Clutton's post is why I could never be a landlord.

Can the housing association not offer her a move since she is presumably at risk from the ex in the house that she currently rents from the HA? Easier said than done I know.

From what you have said, I would have no worries that this young woman fully intends to get out of debt and make a decent life for herself and the kids.

However, you are bang on about how she can possibly survive on the money coming in. She was not able to survive on what she had before (hence the rent arrears and the other deductions), so there seems little likelihood that she will be able to do so now. And you are right that the last thing the family needs is yet another move and more upheaval only to fall behind in rent again and have to move on yet again. That would be horrible.

Does she intend to get a job? With the youngest at nursery age, she could get help with childcare.

From a purely financial viewpoint, it has to be a no. Not yet anyway. Maybe if she can move in with a family member (or share costs in some way), clear the debts and get on her feet in the meantime, she could reapply in six months? I know you'd offer her a very secure tenancy if she can just get get on a more solid financial footing first.

I make it sound really easy, don't I? Am sad for her.

clutton_2

LHA goes directly to the tenant now - unless it can be proved that the tenant is "vulnerable" and the definitions of vulnerability are different with every council ......

that could be a way forward .....depends on how proactive she wants to be to get her rent paid to me

she has already agreed that if i offer her a tenancy she will get a second bank account dedicated for her LHA payments and then standing-ordered-over to my account

lindsaygalaxy

If I were you I would say the rent goes directly to you or no. She will get income support and or child tax credits and child benefit, so will be on another £35 a week. It just sounds a bit dodgy to me as to why she wants to leave her HA place, as the rent will be much lower than any private rent.

socrates

lindsaygalaxy wrote: »

If I were you I would say the rent goes directly to you or no.

It does not quite work that way - its the LA Officer that decides who the rent goes to.

My feeling is that with the evidence of her arrears you have a good case for asking the LA for payments to be paid to you directly (clutton that is) - persistent arrears are one of the reasons for tenants not to receive LHA directly.

I would also imagine that with her circumstances she will also qualify for the Councils Rent Guarantee Scheme - which would be useful.

I would visit the LA with her when making the claim and get her to sign a form that allows you to discuss her claim.

The Senior Officer in charge should tell you there and then if they are prepared to pay you directly or not - on the basis of that outcome you can then make your decision.

I would definitely push for the Deposit Guarantee - either way.

PROFESSIONAL_LANDLORD

I cannot see how she can possibly survive on this money ......

and my concerns are that she will almost inevitably have to dip into the rent money from time to time to feed her children.

it would not be in anyones interest for her to sign an agreement, and then for me to have to evict her down the line if she cannot pay the rent.....

any thoughts please ?



She seems to think she cannot get a guarantor - although i have not investigated that yet.

I assume it was yourself that brought up the question regarding a guarantor, quite right, LLs must protect themselves BUT... If you suspect a tenant is more than likely to fail given their circumstances you should never take a guarantor. You will end up pursuing a tenants family/friends through the courts which is simply not right.


So its a NO from me.

foxxymynx

Given that the income support that she brought to you was likely to be to prove that she would get the full entitlement to housing benefit (which possibly/probably covers the entirity of the rent), she's been very honest with you (and on her arrears for current housing, it's likey that you would be able to get the rent paid directly to you), I can't really see the problem (ie, proof that the rent will get paid and a high chance of it getting paid directly to you).

She will be getting other benefits too though and the £20 or something that is deducted from her benefit is likey to be to pay back social fund loans or the likes of (DWP can loan you certain amounts of money for certain circumstances and you pay it back, interest free, straight out of your benefits).