Good tenant stopped paying rent

HappyMJ

rdwarr wrote: »

Thanks for all of the speedy and supportive replies. To answer some of your questions:
- He did not come with the property but was my first tenant after I bought it. I assume he's been on a succession of ASTs.
- I have redecorated since he's been in and replaced appliances when necessary. There's newish double glazing and a new front door. However, a kitchen and bathroom refit would be in order to spruce up the place a bit.
- I agree I may be being too nice and should have done a few "little and often" rent increases in the past. I'm generally rubbish at asking people for money which is why I have an agent doing that.
- I hadn't appreciated how much I relied on the rent until it didn't turn up. It's about 15% of net household income.
- Tenant must be in his 60s now and has been working as a lorry driver in the past. If that's gone "lean" I worry he may have lost his HGV entitlement or something.

You have an agent!!!....and you're asking on here.

Once you've got possession of your property back get another agent and list it elsewhere. They're useless. They have one job to do....get the rent and they are failing to do that or advise you on what to do. Lots of letters should have been written starting nice stating that the tenant has forgotten to pay the rent and asking nicely to get the rent account back up to date getting more demanding each week with a final warning and then a Section 8/21 notice should have been issued the day after the second rent payment was missed.

They should be visiting the property on your behalf finding out why the rent is late and when the rent will be paid. They know about benefits. They should be advising the tenant that housing benefit is available to pay rent if income is low.

Are you really cut out to be a landlord? You may have had it easy for 16 years with one property but really you should know everything that is happening with your property. It's your investment....your pension.

hazyjo

He'll have to renew that HGV license every year after 65.


As I said above, don't wait until he retires or can't work and be guilt-tripped into him staying a while rent reduced/free. How on earth will he pay then?!


Just do it. Evict. I think you will regret any other faffing. If you use an agency, fine - get them to discuss anything with him.


Sorry! I think if you find conversations uncomfortable re money and don't want to get into 'all this' with the bloke, just evict.


Jx

[Deleted User]

I know you've been a LL for 16 years, but I think reading https://forums.moneysavingexpert.com/discussion/5180214
is long overdue!

Look at his tenancy agreement and see if he has an AST or AT. Assuming isn't helpful at this stage (meant nicely)!

He may have been a 'good tenant' but he has been paying a very low rent for a very long time. Now he isn't even paying that. People can change.., he may have a drinking problem or something.., you just don't know. But not paying rent, that makes him in no uncertain terms.., a bad tenant.

If you are two month's behind in your payments you really really do need to act.., urgently.

Get your LA to issue a S8. If they are able to do do this, can't understand why they haven't taken action already..,agree with the comments above regarding this.

Then evict and start getting the money you should from the property. If the tenant pays up, great but I suspect he won't.

Guest101

Agreed eviction (or threat of) is the only option.


You've given him a grace period and nothings resolved

Marvel1

Why does it matterto some how much the OP charges?

Should I complain to my mortgage lender that my payments have not increased since I took it out but instead first 2 years it dropped, and last 7 years it's been the same.

OP: You need to start eviction.

When_the_going_gets_tough

Everyone has given you very sound advice. If you really want to help and keep your tenant you could insist that he visits CAB or other advice agency. They will be able to explain to him how important his rent is - priority debt and also help him with income maximisation and benefit claims. He might have to wait a couple of weeks for an appointment but could probably start the process straight away by visiting a drop in session. If you look up citizens advice on the internet you can find the local process. I know this is being ultra kind to your tenant but it is an option!

trevormax

I agree with others in that your agent seems to be a total waste of perfectly good oxygen and I'd be wondering what the hell I am paying them for.

If it is a lean time, your tenant needs to do something about that and get back to paying the rent. He would be a fool to risk losing a place he is paying less than 65% market rent for if he could avoid it.

If he is struggling because of a lack of earnings, he needs to get his backside to the council and claim housing and council tax benefit.

My advice would be to
- get on the phone to your agent and light a fire under their collective !!!!!!.
- suggest to the tenant that he speak to CAB and other advice services about sorting out his finances.
- make it clear to him that you want to keep him as he is a good tenant but if he doesn't sort his rent arrears soon, he will be looking for a new place to live.

alchemist.1

cjdavies wrote: »

Why does it matterto some how much the OP charges?

Should I complain to my mortgage lender that my payments have not increased since I took it out but instead first 2 years it dropped, and last 7 years it's been the same.

OP: You need to start eviction.

Reduces the level they can charge themselves.

Dird

step 1. country court
step 2. escalate to high court
step 3. give me a shoutout on "Can't pay we'll take it away"

get shot of him, there's lots of his kind on that show. Good, long term payers but then suddenly stop & the LL has 1 year's rent due by the time they're coming to evict

rdwarr

Thanks again for the support and advice. My wife has been down to the agent this morning (rather than just talk on the phone). Contract is indeed an AST with a two-month notice clause.
Tenant paid £300 yesterday afternoon but there will be a letter in the post to him today giving him a month to pay the arrears (currently £600) or else.
If I can get anything back from him then I'll increase the rent with him still there. Otherwise, once he's gone, I'll remortgage to do the place up (£10k should be fine) and it will go back on for £700ish (probably without an agent).