We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Increasing Rent to Tenants on Housing Benefit?

How do I increase rent to tenants on Housing Benefit? Would I need to contact the Council? :confused:

Many Thanks

Colin

Comments

  • silvercar
    silvercar Posts: 50,797 Ambassador
    Part of the Furniture 10,000 Posts Academoney Grad Name Dropper
    If you tenancy agreement is with the tenants, you write to them and inform them that the rent will increase from date XX. Normally you need 2 months notice and you can't increase mid tennacy, so wait until the AST finishes and then when you offer to renew tell them the new rent.

    They can ask the council to increase HB; if the amount is above the max HB they are entitled to, they will have to either tell you they are not going to stay and move out or find the extra themselves. If they decide they can't afford the increase, the council could tell them to stay put until you evict them and then the council will house them. Problems for you unfortunately.

    They may well decide to pay the extra themselves, fine if they can afford it, but I see little value in having a tenant on benefit with a top up too large for them to manage. They will constantly be in arrears.

    If they leave and you remarket at the higher level you are limiting your market if the rent is beyond HB tenants means. Fine if you are renting out a luxury pad in a posh-land, risky if it is an ideal HB property.
    I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
  • As far as I can remember, I just advised the agent I was increasing the rent from such a date. The agent advised the council accordingly!
  • astonsmummy
    astonsmummy Posts: 14,219 Forumite
    i receive HB and my housing association sent me a letter a while back to say my rents going up and i needed to inform HB, thnx for this thread coz i just remebered i need to take the letter in!
    :j Baby boy Number 2, arrived 12th April 2009!:j
  • lynzpower
    lynzpower Posts: 25,311 Forumite
    10,000 Posts Combo Breaker
    when you increase the rent on a HB tenancy, it may be that the tenancy needs to be re-determined by the rent assessment board/panel.

    As silvercar says, you could be risking overvaluing for HB and putting your tenants in a serious situation, if they cant make up any shortfall. They can find themselves unable to find somewhere else if they cannot meet the rent with you and are in arrears.

    Id call therentservice.gov.uk before doing anything.
    :beer: Well aint funny how its the little things in life that mean the most? Not where you live, the car you drive or the price tag on your clothes.
    Theres no dollar sign on piece of mind
    This Ive come to know...
    So if you agree have a drink with me, raise your glasses for a toast :beer:
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.4K Banking & Borrowing
  • 254.4K Reduce Debt & Boost Income
  • 455.4K Spending & Discounts
  • 247.3K Work, Benefits & Business
  • 604K Mortgages, Homes & Bills
  • 178.4K Life & Family
  • 261.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.