Landlords Beware - My Experience

ShaunParker

I rented out my house using a letting agency and moved toa larger house as I was looking after 3 grand children and needed more space.

When the anniversary came up for renewal my tenants became evasive about signing and with driving by I could see there were issues with the state of the house. The tenants indicated they wanted to leave but didn't know when.

In the end my tenants decided they wanted to leave however they were not ready to go until 3 months later and so they refused to resign the 12 month lease document with Boydens who were the agent.

Then after two months of wrangling the agent decided they didn't want the hassle and stepped out of the management. My tenants agreed to leave at the end of the third month and I made arrangements to do the checkout at the house on that due date. I also arranged to move back from my own rented accommodation as I felt the experience and hassle was not worth the risk of trying to re rent.

I had not been able to gain entry for 2 months and found that the agents had not been in the house for 3 months prior to that. On the day of checkout the tenants had already left the property the day before and left it locked.

I was able to gain entry the following day only to find it trashed.

I had arranged to move in from my own rented house a week later and so I had to get stuck into cleaning it up. I then took pictures as I went thinking that the deposit that was with the TDS would cover the damage.

Upon raising my claim with the TDS I was told that the ex tenant had objected and that they claimed to have left the house in good order.

I submitted the pictures of long term neglect which were disgusting.

TDS adjudicated and their decision was that the damage could of occurred after the tenants left because I never carried out the checkout process on their day of departure.

Clearly the photo evidence showed the damage was months in the making however on appeal the same verdict was given and the tenants laughed to me that they had won. I then went to a lawyer to sue and was told that I cannot do this unless I first legally overturn the TDS verdict which would be expensive and unlikely.

The tenant I found out is a lettings manager for John D Wood so clearly knew the system loopholes.

Here are my conclusions -

TDS does not protect the landlord
TDS does not arbitrate with any common sense
Even though my tenant avoided checkout it was my problem and left me exposed
I lost my right to sue because of the TDS legal position.

Would I let again - maybe, would I use the TDS - No I would break the law and use an escrow account.

Would I trust a letting agency - No as I believe they knew each other.

There is much more besides this quick overview but I think there is a serious loophole that can be exploited by tenants.

squeeks

No TDS involvement will cost you significantly more than the deposit value and there wouldn't be any arbitration or recourse.

Pixie5740

Tenants don't have to sign a new tenancy agreement at the end of the initial fixed term. The day following the end of the fixed term, a periodic tenancy automatically starts (assuming the property is in England or Wales). So I don't understand why there had to be any wrangling over this at all.

It's not the first time that I've heard of LA bowing out when the going gets tough. Some LA are quite happy to take your money when everything is rosy but as soon as things become difficult they're off and you discover they know as much about housing and tenancy law as a balloon animal.

Putting the deposit into an escrow account won't help you. If you take a deposit and fail to protect it properly then the tenant can sue you for up to 3 times the deposit as compensation plus the return of the original deposit. You'd be in a worse position than you are now.

I surprised that TDS found in the tenant's favour if the check out was carried out the day after the tenants moved out. However, I'm not surprised that this experience has put you off being a LL. Not all us T are bad though.

Laurence_WMF

This sounds awful. Sorry you had such a terrible experience. Thanks for sharing - useful to know that such things can happen.


Laurence

ognum

ShaunParker wrote: »

I rented out my house using a letting agency and moved toa larger house as I was looking after 3 grand children and needed more space.

When the anniversary came up for renewal my tenants became evasive about signing and with driving by I could see there were issues with the state of the house. The tenants indicated they wanted to leave but didn't know when.

In the end my tenants decided they wanted to leave however they were not ready to go until 3 months later and so they refused to resign the 12 month lease document with Boydens who were the agent.

Then after two months of wrangling the agent decided they didn't want the hassle and stepped out of the management. My tenants agreed to leave at the end of the third month and I made arrangements to do the checkout at the house on that due date. I also arranged to move back from my own rented accommodation as I felt the experience and hassle was not worth the risk of trying to re rent.

I had not been able to gain entry for 2 months and found that the agents had not been in the house for 3 months prior to that. On the day of checkout the tenants had already left the property the day before and left it locked.

I was able to gain entry the following day only to find it trashed.

I had arranged to move in from my own rented house a week later and so I had to get stuck into cleaning it up. I then took pictures as I went thinking that the deposit that was with the TDS would cover the damage.

Upon raising my claim with the TDS I was told that the ex tenant had objected and that they claimed to have left the house in good order.

I submitted the pictures of long term neglect which were disgusting.

TDS adjudicated and their decision was that the damage could of occurred after the tenants left because I never carried out the checkout process on their day of departure.

Clearly the photo evidence showed the damage was months in the making however on appeal the same verdict was given and the tenants laughed to me that they had won. I then went to a lawyer to sue and was told that I cannot do this unless I first legally overturn the TDS verdict which would be expensive and unlikely.

The tenant I found out is a lettings manager for John D Wood so clearly knew the system loopholes.

Here are my conclusions -

TDS does not protect the landlord
TDS does not arbitrate with any common sense
Even though my tenant avoided checkout it was my problem and left me exposed
I lost my right to sue because of the TDS legal position.

Would I let again - maybe, would I use the TDS - No I would break the law and use an escrow account.

Would I trust a letting agency - No as I believe they knew each other.

There is much more besides this quick overview but I think there is a serious loophole that can be exploited by tenants.

This has clearly been a poor experience for you. For every poor experience like this there are many excellent landlord tenant relationships so do not tar the whole system through one poor tenant.

It is easy in hindsight to suggest what you should have done but lasting is a buisness and you should have treated it as that.

Did you ask the agents why they were dropping out? I have sacked agents but have never had a suggestion that an agent could not deal with one of my properties.

When you agent left it was you responsibility to make an appointment and view your property. If you had done this you would have known and documented the damage prior to the tenants leaving.

Did you have an official inventory completed at the start and finish of the tenancy? If not why not?

Many tenants do not sign a second fixed term agreement, this does not make them poor tenants it gives the LL and tenants rights to terminate the tenancy. If you were concerned why did you not serve an S21.

I think you were a little naive, chalk it down to experience and move on!

chucknorris

ShaunParker wrote: »

Would I trust a letting agency - No as I believe they knew each other.

I don't usually use letting agents, but my worst experience with them didn't actually affect me, but it alerted me to how underhand they can be.

After a tenant left my property owing rent, he had the cheek to give my name to a letting agent for a reference. He was moving in with a mutual friend who subsequently told me what happened. When I informed the agent that I wouldn't give a reference (and why) he simply took that co-tenant's name off the contract, and let it with the other two tenant's names remaining on the contract. So he wasn't exactly doing his client any favours.

fishpond

"The tenant I found out is a lettings manager for John D Wood"
I would be inclined to write to the MD of JDW expressing your disgust at how one of their employees has behaved.

I do not see why you can not take the x tenant to court.

RAS

Op

When the fixed term ended did you ensure that the deposit was secured and issue the prescribed information again?

stator

Are you sure your solicitor knew what they were talking about?

Sinhanada

Now that would be an interesting course of action fishpond. I don't have any legal background but surely taking them to the small claims court with your evidence may be worth a shout?

fishpond

RAS wrote: »

Op

When the fixed term ended did you ensure that the deposit was secured and issue the prescribed information again?

A very good point.