advice on serving a Section 8 pls

molly22

My tenant moved in 11 weeks ago, DSS, promising me the rent would be paid directly to me, so there was nothing to worry about. I had many texts in the first few weeks from her telling me how the DSS hadnt sorted her claim yet and then she needed to fill in more forms, then her bank account had been frozen.

Eventually i rang DSS to check, and discovered she had been paid her housing benefit every week from the day she moved in!

She paid me £50 3 weeks ago and ive received £161 from the DSS as ive since requested them to pay me directly as they should have done originally. I have now been told she is no longer eligible for HB so i wont receive any further payments.
I will be serving a section 8 tomorrow, as communications have broken down.
any advice?

tenancy started 26.1.13 for 6months
deposit £500
monthly rent £440 (£211 paid to date) so arrears of 11 weeks x £440pm less £211 = £905.92
i have visited the property and spolen with tenant, tenants taken legal advice and told me to take them to court, it will cost me money.
they want their deposit returned as they have been advised this is separate from the rent payable. (need it for deposit on next property)
i want them to vacate the property now so i can get it sorted to rent out again, and hopefully make some money!
No guarantor.

thanks
molly

[Deleted User]

Did you protect the deposit in one of the deposit protection schemes and deliver the prescribed information to the tenant?

Kynthia

Did you protect the deposit within 30 days of receiving it as required by law, and have proof that you supplied her with the prescribed information? I don't believe not having done so will prevent you serving a S8 but does mean your tenant can sue you and you should return it. If you did protect it then do not return it until the tenancy ends under any circumstances.

Does the contract specify that rent is due monthly, or is it weekly, four weekly, etc? If monthly you can serve a S8 the day after a second month's rent is unpaid and she owes you two whole months rent. This is not the same as two months of arrears as you could serve after just one month and one day if no rent was paid. However it looks like at least £880 is currently 'owed and unpaid' already so you can serve the S8. Make sure you have proof of serving and the method is allowable in your contract. You may also need to provide her with a rent statement too, showing was has been paid and what is outstanding.

thesaint

Get a Sec 8 served ASAP.
Grounds 8, 10 & 11.


Write them a rent statement, and with it tell them that you will be be deducting the court costs from the deposit, and then rent arrears. The remainder will need to be paid.
Explain that if it isn't paid within a month of the court judgement, you will apply to the court to get it registered so that they get a County Court Judgement(CCJ).

Advise them that they should look at minimising the damage and get their claim for housing benefit reinstated.

The housing benefit department need your permission to pay you directly, so if you didn't give them this permission, they had no reason to pay you from the offset.

molly22

well I served the section 8.
tenant thanked me and then suggested if I pay them half the deposit in 2 weeks and the other half in 3 weeks they would move out then and leave the house sorted.
I was a little flabbergasted.
then they would sort out how to pay me the back rent they owe me.
they need their deposit back cos they have somewhere else to go!!
I wonder how they are gonna pay rent on their new place A the rent they owe me?! amazing.

so what should I do now???

Molly

marliepanda

Take their offer as you didn't protect their deposit so need to give them it back.

If they're willing to leave without eviction proceedings pray they do.

I'd probably write off the lost rent

G_M

Tricky decision.

I'd agree - you're gonna have to pay back the deposit and though they may not know it yet, they have the power to apply for the 3 times penalty... which you don't want!

Another option is to also get an Early Surrender agreed. ie you give them half the deposit and they give YOU their Notice (at an agreed date). All written down /signed both sides.

If they then renage, you have another string to your bow:

Tenant gives notice but fails to leave
Occassionally a tenant gives valid notice to end the tenancy, but then either changes their mind, or stays a few extra days. This can happen where, for example, the tenant is buying a property, or moving to a new rental, and his purchase or new tenancy is delayed/cancelled. The landlord is likely to be greatly inconvenienced, as is any new tenant he has agreed to let to who is now waiting to move in.

In these circumstances, the landlord can
a) seek an immediate possession order from a court and
b) charge the tenant double rent (see Distress for Rent Act 1737 S18)

Double rent - explanation (Tenant fails to leave after giving notice) Distress For Rent Act 1747 S18

Werdnal

For clarity, OP's other post on same tenancy problems is here:

https://forums.moneysavingexpert.com/discussion/4548001

ValHaller

G_M wrote: »

.... I'd agree - you're gonna have to pay back the deposit and though they may not know it yet, they have the power to apply for the 3 times penalty... which you don't want!

In this case, the 3 times deposit penalty would be no big deal, becasue OP will end up with a counter claim against tenant for a similar amount

G_M

ValHaller wrote: »

In this case, the 3 times deposit penalty would be no big deal, becasue OP will end up with a counter claim against tenant for a similar amount

True. Good point.

molly22

so G_M how do i go about serving an Early Surrender?

its sounds just what i need.

is there a template somewhere pls?

xx