Do you have to tell a landlord/letting agent you will be paying rent with HB?

preciousillusions

Hey,

As the title states, do you have to tell the landlord and/or letting agent when you are looking to rent a property that the rent will be paid for with housing benefit?

I am unsure as to what the rules are on this, if indeed there are any rules, and would be grateful if anyone could advise.

I mean, if you pay your rent on time and through the right protocol each month, is there any need for the landlord to know how you are paying if HB goes straight into your account and then back out again?

I have obviously run into trouble in trying to find a place to let when stating from the outset that I will be in receipt of the LHA. I am considering at what point you have to actually inform them of this. Do they always ask how you will be making your rent payments? Because I would not want to lie but tbh being asked in such a way seems pretty discriminative to me! (Especially if they then refuse you because of being a benefit claimant! But then this is what has been happening when I specifically ask 'will you accept someone on benefits?' seems so wrong!) I suppose they may ask for proof of employment which would of course raise a problem, but if they didn't do that, is it acceptable to skirt around the issue & just not mention benefits at all? Unless they specifically ask? Seems like a grey area to me.

Has anyone gone into a rent agreement and not informed their landlord or agent that they are/will be claiming HB? Or had trouble if they have found out later down the line? Please share experiences!

I really don't know how else I am ever going to do this....:( Have found so many properties nearby that are ideal and I could afford with use of housing benefit (and I have checked the amount I would be eligible to receive) but I know if I mention benefits when I enquire they will refuse me straight away (trust me, I have tried numerous times with this approach, the area I live in is definitely not benefit-claimant friendly to put it mildly.)

Thank you in advance for any responses, & please be kind!

HappyMJ

Yes and no..

You have to show proof of income to get a tenancy and if your income can't support the rent then you probably won't get the tenancy without a guarantor or paying more rent in advance. Then in that case you'll need to show you are able to get housing benefit but landlords don't want tenants on full housing benefit as the insurance they have probably won't pay out if they don't end up getting housing benefit for whatever reason (typically delays by the tenant not providing timely information to the council) and can't pay the rent.

If your income can support the rent (if it's low enough) without the need to claim housing benefit but you will still be able to get some housing benefit because of your low income then you don't need to tell them you are getting a small housing benefit payment.

pinkladyvenus

I have never told a landlord or letting agency that I will be claiming housing benefit to pay the rent when approaching them to rent a property. I have never been directly asked the question though. I have been asked about my employment status and am always truthful when unemployed, and explained I hope to be in employment a.s.a.p.

I would not mention housing benefit unless asked. I think paying your rent in full and on time each month is more important than where the money comes from.

dktreesea

I wouldn't mention housing benefit anyway. Technically you are not able to receive housing benefit until you have signed the lease and only then can you apply for it.

caringa

As a landlord, we need to declare on our building insurance whether our property is let to someone on Housing Benefit. I dont know why they ask this but we have to declare it anyway. I suppose if we didnt and something happened to the property, then we would not be covered.

SHIRAZ

so what would happen half way through a tenancy if you suddenly lost your job and had to claim LHA? could they just evict you?!
just curious...

[Deleted User]

SHIRAZ wrote: »

so what would happen half way through a tenancy if you suddenly lost your job and had to claim LHA? could they just evict you?!
just curious...

Yes, that is what a can be non fault s21 notice is for


Know someone in receipt of benefits, just gets moved on each time the LL finds out sometimes with a bribe! sadly has had more homes then I can count


You wouldn't want to wish it, sorry

amiehall

SHIRAZ wrote: »

so what would happen half way through a tenancy if you suddenly lost your job and had to claim LHA? could they just evict you?!
just curious...

Not in the fixed term as long as the rent was paid. Might find yourself immediately removed afterwards though... If it were me, I'd probably try and keep it quiet and hope they didn't realise. Sometimes the council do approach the LL though don't they?

pmlindyloo

Legally you do not have to tell a landlord that you are receiving HB.

The council will not get in touch with your LL unless you give them written permission to do so.

http://www.boroughofpoole.com/benefits-and-council-tax/benefits/faqs-housing-benefit-and-council-tax-support/

As regards insurance then I believe that it is the landlord has the responsibility to inform their insurers that their tenants have started claiming HB if it happens half way through.

GwylimT

You aren't actually obliged to, it could however in some cases effect r landlords insurance and mortgage (if he or she has one). I'm a landlord, we do not accept tenants who receive housing benefit as our buy to let mortgage and insurance don't allow it. When we have a new tenant we request employment status, a bank statement and a payslip, you can gauge from those whether or not they are entitled to housing benefit. I also make it clear that due to my mortgage I would have to serve an s21 if their circumstances change and they have to star claiming housing benefit.

pmlindyloo

SHIRAZ wrote: »

so what would happen half way through a tenancy if you suddenly lost your job and had to claim LHA? could they just evict you?!
just curious...

Interesting article here about a landlord whose tenant had to claim HB during the tenancy.

http://www.homesandproperty.co.uk/property-news/rentals/accidental-landlord-problems-buy-let-mortgages-and-welfare-benefits

I do think it is a shame that this happens or, indeed, putting these clauses into buy to let mortgages and insurance schemes.