I need your help! Tenants cannot pay

Thunderbird_2

Dear all

I need your help!

If my tenant told me that they cannot afford rent any more because of divorce, and asked me for a letter to provide to the local authority, what is the best course of action to take please?

They have signed section 21 notice on the day of tenancy agreement started 2 year ago and we are on a rolling monthly now.

I have good relationship with them. They have 3 children.

Any advice, comment, will be gratefully received.

booksurr

only you can resolve your own moral dilemmas

either you are running a business and must now deal with a non paying customer in a professional manner
or you are a charity

PS what makes you think the S21 is valid if it was issued at the same time as the TA?

Thunderbird_2

Thank you, booksurr

You are right. It is a business.

I cannot remember exactly, it was something that I read before that is a good idea to get them sign it at the same time as the contract is signed. It might be that I can start repossession of the house at the end of the initial fixed term if payment fall behind? I think that you are trying to hint to the fact that I need another one issued and follow the eviction procedure.

They wanted a letter from me that they can pass to the local authority for help either in rent costs or alternative accommodation. I have not done this before, hence seeking advice as to not compromise future action.

I am not a landlord of choice and I plan to sell this house after finishing this situation.

jjlandlord

If the notice was given on the day the tenancy started it should be OK.

It seems that they are applying for housing benefit. I would help them since that would mean being able to pay the rent.
Do check your mortgage and insurance whether tenants on housing benefit are fine.

If they fall behind and can't catch up you'll have no option but to evict.

Thunderbird_2

Thank you, jjlanlord for confirming that Notice 21 is OK.

What can I write in the letter to support them?

Thunderbird_2

More information:

I have just called the tenants to clarify things more. They want to get rehoused with the local authority and they letter to support their application for that.

Apart from Section 21 Notice, is their any form that I need to use/do?

Many thanks

HappyMJ

Thunderbird wrote: »

More information:

I have just called the tenants to clarify things more. They want to get rehoused with the local authority and they letter to support their application for that.

Apart from Section 21 Notice, is their any form that I need to use/do?

Many thanks

Chance of being rehoused by LA....zero...

You need to evict and take that all the way to getting the bailiffs removing them from the property so you can regain possession. If the tenants have contributed in any way to the eviction by not paying the rent they will be considered intentionally homeless and will not be rehoused.

Thunderbird_2

Also, since my section 21 is still valid from 2 years ago, do I need to wait for 2 months now? (I don't think I do)
Can the tenant use that notice to support their housing application? Or would the local authority need/want/like a new one?

And If the notice is OK with immediate effect, should I start to demand the house back because I want it back? If so, do I need to wait 2 months from the end of rental monthly cycle? Can I start the step after the section 21?

I am so sorry. So many questions!

Thunderbird_2

HappyMJ wrote: »

Chance of being rehoused by LA....zero...

You need to evict and take that all the way to getting the bailiffs removing them from the property so you can regain possession. If the tenants have contributed in any way to the eviction by not paying the rent they will be considered intentionally homeless and will not be rehoused.

Thank you.

So, like I mentioned in my last post, if I just want my house back and the tenants was just paying rent, can I serve the notice from two years to get the house back? Or do I need the 2 months notice as usual and claim it back?

HappyMJ

Thunderbird wrote: »

Thank you.

So, like I mentioned in my last post, if I just want my house back and the tenants was just paying rent, can I serve the notice from two years to get the house back? Or do I need the 2 months notice as usual and claim it back?

I would issue a new notice. If you find the original notice was invalid in some way then you'll have to start again anyway so you may as well get it right as early as possible. What happened when the fixed term expired? Have you been trying to regain possession or did you allow the tenancy to go onto a periodic tenancy? Have you raised the rent at any point? Is the deposit registered? With a 2 year old notice there's too many variables so I'd just re-issue.

Thunderbird_2

Thank you, HappMJ

After one year fixed term, it went to periodic tenancy. The rent is the same. Deposit is in a scheme. I have not tried to claim the house back because all was going well.

If I serve the new notice on top of the old one., and for argument sake the tenants was paying rent OK but do not leave, can I proceed with court action to claim possession of the house? for example if I want to move back in or sell the house or leave it empty or whatever?

Many thanks