Guarantor and Death

falklad

Good Afternoon, I am after a little bit of advice please.

In December 2018 my husbands Aunty asked me to be guarantor on a rental property for her and her husband (both named on the policy) as she was self-employed and he only worked part-time. The agreement would only be granted if they had a guarantor.

I agreed to this - £725 for a 12 month contract at the end of which the terms would be reviewed.

3 months into the contract (this weekend) my husbands Aunty unexpectedly died.

Initial conversations with her husband is that he wishes to remain in the property (he clearly can not meet the terms)

My question is where does this leave me? I have had to pay this Months rent already, I would just like to know where I stand - as my contract was with different circumstances - would I be expected to still cover this?

[Deleted User]

I am afraid if his name was on the tenancy (its a joint tenancy), you are still the guarantor until he moves out.

You could try telling the agency you are no longer willing to be a guarantor but as far as I understand it, the agency don't have to accept this withdrawal of guarantor.

You could see a solicitor and see if the guarantor agreement is valid. It may not be.

Its an awful situation, I am sure he's got a lot of sorting out to do, but you might have to determine their financial circumstances (pension/insurance/benefits) with him.

Comms69

falklad wrote: »

Good Afternoon, I am after a little bit of advice please.

In December 2018 my husbands Aunty asked me to be guarantor on a rental property for her and her husband (both named on the policy) as she was self-employed and he only worked part-time. The agreement would only be granted if they had a guarantor.

I agreed to this - £725 for a 12 month contract at the end of which the terms would be reviewed.

3 months into the contract (this weekend) my husbands Aunty unexpectedly died.

Initial conversations with her husband is that he wishes to remain in the property (he clearly can not meet the terms)

My question is where does this leave me? I have had to pay this Months rent already, I would just like to know where I stand - as my contract was with different circumstances - would I be expected to still cover this?

Yes, and if the guarantor agreement was correctly drafted it's in essence your responsibility to pay indefinitely.

Comms69

deannatrois wrote: »

I am afraid if his name was on the tenancy (its a joint tenancy), you are still the guarantor until he moves out.

You could try telling the agency you are no longer willing to be a guarantor but as far as I understand it, the agency don't have to accept this withdrawal of guarantor.

You could see a solicitor and see if the guarantor agreement is valid. It may not be.

Couple of corrections.


The landlord would have to accept; as it's a material change to the tenancy


I expect the tenant would have to accept too.

MEM62

falklad wrote: »

I would just like to know where I stand - as my contract was with different circumstances - would I be expected to still cover this?

Sorry for your loss.

As for different circumstances, unless there is a clause in the agreement that either terminates the TA or negates you obligation as a guarantor in the event of the death of one of the tenants, in both cases unlikely, then you must continue to meet your obligation as the guarantor.

Is the husband working? Have you checked what benefits he may be entitled to that might help?

falklad

Thank you everyone - it’s kind of what I thought. He will get benefits, however that won’t cover the full amount.

I am waiting to hear back from the landlord as it’s my understanding as it’s a material change to the contract - this must all be accepted again. I will keep you updated. Thank you all.

Slithery

Does the Aunties estate have any money? If so then you may be able to claim any rent you pay back as an outstanding debt.