Bad Tenant wants a reference for mortgage and i want them out

saf1973

Hi all,

I'm caught between a rock and hard place. My tenant has been in my only rental property for two years, in that time they have only paid on time twice and have been in total over 6 months late, so basically its stress every month chasing them for their 'free overdraft' that i'm giving them.

Anyway, they want a mortgage and i want them out. If i don't give a reference or if i give an honest reference they wont get a mortgage and i could be stuck with them. If i lie and say they paid on time then i'm basically committing a bit of a fraud and if that got found out because of the obvious lack of regular payments on statements then not only could i be stuck with them but it would be even more difficult to evict them as they would have a good reference letter from me!

Anyone been in this situation - one thing for sure, i will never let out a property again, once bitten twice shy!

thanks

PasturesNew

Give them a truthful reference - and serve them with a Section 21 as Plan B in case you do get stuck with them.

As a BTL LL you could stuff up any chances of remortgaging/borrowing in the future if you get caught. And it's not like you owe the tenant any favours.

Oh - and grow a backbone

amnblog

Have you been asked for a reference by their mortgage lender, I suspect you won’t be.

ACG

Some lenders (Barclays and Bluestone for instance do ask for references).

Is the rent due on say the 1st and they pay on the 15th? You could say they pay every month? That is not a lie.

Alternatively, just tell the tenants you have been asked for a reference, if you provide one it will probably not reflect favourably - ask if they still want you to send it in. If nothing else, they may learn a valuable lesson.

CKhalvashi

If they are behind, you want them out anyway.

If they are currently up to date, state this, just don’t lie by saying they have always paid up to date.

Problem solved.

csgohan4

Serve notice and treat it as a business and nothing more. Should have served after 2 months arrears imo, your not a charity

dimbo61

Are your tenants six months in arrears or have they been later paying the rent each month ?
Huge difference !
If you get the rent each month and the full amount but maybe a few days late you need to cut your tenants some slack.
Do you rush round the same day if they ring you to say the back gate is squeaking !
If you receive the rent every month then state that in your reference.
If they are late paying the mortgage then the mortgage company will send a polite letter and a £25/50 charge for late payment !

Brock_and_Roll

Tell the tenant you would be happy to provide a reference......

a) unlikely to be asked by lender
b) clever use of words if possible "tenant is up to date and there are no arrears etc
c) don't lie....but perhaps watch a few old episodes of "Yes Minister" for some tips and tricks!

missile

Tell the tenant you will state he is up to date, if and when he pays any arrears. No need to elaborate that he is frequently late.

AnotherJoe

As sugegsted by others, something that minimises details and gives your tenants a strong incentive to pay up any final arrears

I can confirm that X & Y have been tenants of mine since X/Y/Z and at the date of this letter A/B/C are up to date with their rental payments.

Neutrinno

I think everyone saying just say 'X and Y' could be assuming the lender would just ask a simple question. I would imagine the lender would be asking more along the lines of 'Has the tenant made all their rental payments in full and on time with no previous arrears'.

As others have said, I would tell the truth, it could only come back to hurt you. If they can't get a mortgage they I would look for new tenants.