Renting to council tenant - deposit

japmis

I'm a member of the RLA but I can't find anything about deposits / deposit protection when the deposit has been paid by the council.

Does the deposit protection scheme still apply?

Does the AST agreement include deposit or not if the tenant has had the deposit paid by the council?


thanks in advance

theartfullodger

Suggest you do some RLA courses.

If you are named as landlord & occupant named as tenant then tenant is not a council tenant he's your tenant.

Yes of course protect deposit.

Was a condition of taking this person that tenancy was at least 12 or 24 months?

japmis

The tenant is a friend so the council haven't stipulated length of tenancy

G_M

Are you letting the property

1) to your friend, or

2) to the council (who then sub-let to your friend)?

If 1), he is not a council tenant and has a normal AST. Deposit (and all other tenancy) legislation applies.

* New landlords (1):advice & information :see links in next post

* New landlords (2): Essential links for further information


The fact that the council is paying the deposit makes no difference to the need to protect. However, note that the Housing Act refers to a 'relevant person' and requiresyou to provide them with the PI.

“relevant person” means any person who, in accordance with arrangements made with the tenant, paid the deposit on behalf of the tenant

If 2) you have let the property under a commercial tenancy (ie not to a residential occupier) and deposit leglislation does not apply.

theartfullodger

Common advice is never rent to friends or family:

japmis

Thanks GM, I've signed a landlord's agreement with the council, but I do not believe this to be a sublet. The coordinator at the council is off sick so information has not been forthcoming! The deposit has been paid by the council but the rent will be coming from housing benefit (soon to be universal credit as our local authority is in the process of switching over).

japmis

theartfullodger wrote: »

Common advice is never rent to friends or family:

She is a friend of a friend, this is a business transaction. All the normal business procedures in place, checking her identity, address, signing AST etc.

G_M

japmis wrote: »

Thanks GM, I've signed a landlord's agreement with the council, but I do not believe this to be a sublet. The coordinator at the council is off sick so information has not been forthcoming! The deposit has been paid by the council but the rent will be coming from housing benefit (soon to be universal credit as our local authority is in the process of switching over).

* see my post above which I've amended
* is the ' landlord's agreemen' a tenancy agreement, or some kind of other agreement (eg that you will accept deposit paid by the council)?
* what information is 'not forthcoming'? a) surely you have a copy of what you signed? If not, you are clearly not taking things seriously. b) who is named as 'The Tenant' on the tenancy agreement (if that is what was signed)?
* where the rent 'comes from' is not your concern. The tenant (whether the council, or the occupant, depending what the tenancy agreement says) must pay the agreed amount. Where they get it is their problem, not yours.

japmis

G_M wrote: »

* see my post above which I've amended
* is the ' landlord's agreemen' a tenancy agreement, or some kind of other agreement (eg that you will accept deposit paid by the council)?
* what information is 'not forthcoming'? a) surely you have a copy of what you signed? If not, you are clearly not taking things seriously. b) who is named as 'The Tenant' on the tenancy agreement (if that is what was signed)?
* where the rent 'comes from' is not your concern. The tenant (whether the council, or the occupant, depending what the tenancy agreement says) must pay the agreed amount. Where they get it is their problem, not yours.

1. no it isn't a tenancy agreement, it's a landlord's bond agreement for the deposit and it outlines the tenant's name and my name, start date and monthly rental amount and date. The tenant has been trying to contact the council about whether or not she needs to sign an agreement with them or with me, but they haven't got back to her. In fact, they haven't really told her anything, I've been in touch with her to let her know everything is progressing, the deposit has been received etc. I am taking it seriously, that's why I've joined the RLA and I'm here now on the forum. Every landlord is a newbie once right?

Smodlet

japmis wrote: »

She is a friend of a friend, this is a business transaction. All the normal business procedures in place, checking her identity, address, signing AST etc.

Then how is it you don't seem to know even who her LL is, you or the council? Who does she report required repairs to? Who is liable for them?

It sounds as if you are the LL but are just hoping the council will do all the work for you; they won't. Whence the tenant obtained the deposit or how she pays the rent is none of your concern, as already stated; the only things you have to care about are that they are paid and that you protect the deposit.

Seriously, read the tenancy agreement: How can you not know whether or not you are her LL?

japmis

Smodlet wrote: »

Then how is it you don't seem to know even who her LL is, you or the council? Who does she report required repairs to? Who is liable for them?

It sounds as if you are the LL but are just hoping the council will do all the work for you; they won't. Whence the tenant obtained the deposit or how she pays the rent is none of your concern, as already stated; the only things you have to care about is that they are paid and that you protect the deposit.

Seriously, read the tenancy agreement: How can you not know whether or not you are her LL?

where have I ever said I am not the landlord?! I'm absolutely the landlord!!