Anyone a LL through council Bond Scheme?

lizeratsi

I have inherited a run down flat - over all actually its not too bad, nice living area , spacious nice views and good size bedroom, but the kitchen is small as is bathroom. I cant sell it NOW as I would probably like too as its attached to shop below and I want to try and keep the shop, but I need to faff around with splitting deed, splitting utitlities etc.

In mean time I have to pay council tax on it - it was suggested to me a half way point may be to find a tennant through council bond scheme....ie let out flat (i would still do some work to it - probably new bathroom and kicten) but council said they do checks on tennant prev accmd check, no short falls in benefit to pay rent, criminal checks etc....then I would get one month rent in advance and accept rent limit for that area.

has anyone done this? I know HB tenants can have a bad rep but at the same times - its guaranteed money paid direct...so the biggest issue is tenant stoping paying rent - whats to go wrong? Tenant may trash place - what then....

paddyrg

HB doesn't by any means guarantee bad tenants, just ones who need a bit of help for a while.

lizeratsi

I totally agree I have been there myself and my mum I can also meet tenant and council does good checks - just wondering however what other pitfalls there may be etc

silvercar

You may find that once the tenant is in place, the council won't be involved further.

They may want you to agree to a long tenancy.

If you are happy with the max rent they will give then fine, but what happens if the tenant starts work and then HB stops but tenant can't afford rent. Check that they guarantee the rent.

lizeratsi

great point silver thanks - this is the sort of pitfall I wanted to know about

DaftyDuck

... and, since this is your inherited-house-at-a-distance, which route would you go...

• Carefully select a tenant of your choice, that you have vetted, or have had professionally vetted, to be able to pay, and be responsible for your property, someone with whom you feel you can work with at a distance....
  
  
• Have a random person poked in, where you have no say as to who it may be, what their circumstances are, what they are like, where they may, indeed, be someone the council are required to house, but do not wish to house in a property for which they retain ownership/responsibility...

As the other thread you have running HERE... sell the place!

lizeratsi

Dafty they wouldnt plonk someone in, I can meet them too and they go to property the council also does back ground checks on them in terms of finance, any benefit gaps, criminal record etc. But a tenant I meet no matter how lovely may stop paying rent - however someone who gets rent paid DIRECTLY to me is a different prospect.

lizeratsi

unfortunalty as per my other THREAD I cant sell it NOW as I would like as it needs work - to separate it.
If it was a simple thing i would be doing it not tearing my hair out and asking on here.

theartfullodger

Read this learning experience...
http://www.landlordzone.co.uk/forums/showthread.php?79901-Rant-of-the-day-never-ever-let-to-people-with-no-money!

lizeratsi

I think its a bit soon to catogorsie myself as a slum Landlord. I am bereaved, thinking and learning and whilst I go on, a few months ago life was chaotic and busy with two small dc and now I have a property to work out what to do with 300 miles way.

I wonder why people post sometimes.

lizeratsi

Theartfullodger that is awful!!