Renting Discrimination

MrLow

I need some advice as I am getting nothing information from letting companies at all.

Brief history I was married then we split I left the home and rented a room then I had a breakdown and went into hospital for 3 months, I came out then lost my job and could not cope with all the bills and debt that myself and partner had of which none was being paid and she paid nothing apart from the normal house bills and rent so I took out an IVA after advice.

I meet someone new and we rented a 2-bed property as we were both working and the only way we could get the property was for my parents to stand as guarantors which they did. We have been in here for 3 years and paid the rent every month no missed payments, my new partner and I had a baby so she stopped working. 

I am the sole income provider for the family of which I earn 42k a year.

• The issue that we have is we need something bigger have been to the local council and you must be a local resident for 5 years before you can go on the waiting list.

• I have asked current letting agents to look for something bigger for us but they say we will have to pay the deposits and go through all the checks again, not an issue but the IVA was taken out before we rented this property and I have advised them of the IVA but they say they are looking but we never hear anything even when I chase them (so I think this is to do with the IVA) they know I won’t pass checks so just leave us as we are.

• I have gone to other lettings agents they ask the question on debt I tell them of the IVA they take details and never come back even when I chase they don’t come back.

• Some have been honest and said there is no point due to IVA and only one income is the issue and some have even said landlords won’t accept the baby!

I can prove rent payments for 3 years none missed, current agents have said they would do us a letter to show we are good tenants no issue always paid on time and never missed payments and property has always been looked after.

What advice is out there for this issue or are letting agents in the wrong and just ignoring us in the interests of the landlords?

theoretica

What is the rental demand and supply like where you are?  Letting agents are only likely to think to contact someone and offer a property if it hasn't been snapped up and seems worth their while to put some effort in to try and find someone to rent it. If they have 3 bed properties advertised that you like the look of then apply and see if they are more specific about the checks. 

I know several people in this area who have had a nightmare finding somewhere to rent - I hope your area is better!

canaldumidi

MrLow said:

What advice is out there for this issue or are letting agents in the wrong and just ignoring us in the interests of the landlords?

I'm afraid letting agents are employed by the landlords precisely to act in their interests!

If the council won't re-house you, do they have any schemes to help you find housing? I'm not familiar but have read in the forum here of councils that provide deposits (as a loan? Benefit), or act as guarantor. Worth asking their housing dept.

Can your parents not stand as guantor again?

Do you still have links to a previous council where you could apply?

rexmedorum

theoretica said:

What is the rental demand and supply like where you are?  Letting agents are only likely to think to contact someone and offer a property if it hasn't been snapped up and seems worth their while to put some effort in to try and find someone to rent it. If they have 3 bed properties advertised that you like the look of then apply and see if they are more specific about the checks. 

I know several people in this area who have had a nightmare finding somewhere to rent - I hope your area is better!

Indeed expecting estate agents to come to you with properties is the wrong way round, especially when they have no trouble letting them by just sticking up an advert. It may well be your (credit) history, but it's worth getting a bit more proactive and just applying for one, then hopefully you'll know.

deannagone

If you can't get another larger property (not surprising, there aren't as many rental properties around as there were).., I'd suggest, for now, dealing with what is. 

Make the best of what you have.  Have a really brutal declutter. Look at shelving solutions, get mess either cleared (thrown) or put away.  Go through everything, you'll be surprised how much clutter you'll never use again is hidden in cupboards.

You have a 2 bed property, it should be do-able.  I lived with my partner in a tiny 1 bed property (and the bedroom was only just big enough for a cot and double bed, no walking space at all lol) until my son was 2.

You will be in a better position, perhaps your wife will be able to work, your prospects will improve, an IVA won't last forever, you are doing important work on your debts, adapting to a new more financially aware lifestyle.  You just need to get by until that better position is reached.

TBagpuss

Landlords (particularly in a 'hot' rental market, are going to be picky and it's not surprising that they are wary of people  with a recent history of debt.  how long does your IVA have left to run?  Once it comes to an end your credit should start to improve.

I assume that with the IVA in place you are not in a position to be able to save to offer to pay rent upfront . 

I agree that you can't really just sit back and expect the agents to send you properties - you need to be a bit more proactive about looking for properties - you may also ant to look for landlords dealing directly with their own properties rather than doing so via an agent - they may be more willing to rely on references.

On the plus side, as you have a two bed property at present you do have suitable accommodation for a couple with one child - I am pretty sure that even of you were eligible for council housing you would be assessed as needing a 2 bed, not anything larger.

I'd focus on making sure that the property you have is suitable for you and the baby as they grow.

Is there any possibility that either your parents, or your partner's family, could stand as guarantors ?  Is your partner planning to return to work? 

user1168934

Okay may be I am missing something but I am confused as to why you "need" a bigger place. You are a couple with one baby/toddler and you live in a 2 bed property. Your circumstances (through no fault of your own) meant that your parents had to help you get the current property and now your income is reduced and you are unable to get a bigger property.

I have lived in a 2 bed flat with 2 kids for 8 years. Two of those years was covid lockdown. I never qualified for any benefits and that is all I could afford at the time. I have known other people who have done the same.

I am probably being harsh but it sounds a bit like I "need" a Ferrari because I am not happy with the fiesta that I was able to buy with some loan from my parents.

theartfullodger

Discrimination is not always unlawful.  E.g. firms hiring staff discriminate in favour of people with the right skills and qualifications.  

Lenders discriminate in favour of those with good incomes and no history of loan default.

Landlords understandably discriminate in favour of those with good incomes etc etc etc etc

MrLow

Hey all and thanks for the replies reading them I see I may have worded my post wrongly hence the context of the replies. First off I was just giving some background history on my situation which I thought may give better insight into what I was asking, I see now this was not of any real importance to what I was trying to get answers to.

What I was trying to get across was that just cause a person has a credit history why should this affect your housing needs I ask the below to strengthen that statement:

1. You have a good salary that can afford the rental costs and have a good rental history.
2. If you can provide evidence bank statements that prove income and outgoings are affordable, employment status is strong then there is no reason I am not any better than someone with good credit in my opinion.
   
3. House owners should have the last say if they have the facts and evidence in front of them.

An IVA is supposed to show that you are aware of your mistakes and making the way to learning to manage your money better and showing commitment instead of just straight outright taking the bankruptcy route.

I just think the lettings system is wrong you don't see a local authority rejecting you based on your credit score and I think lettings agents should have a system in place of scoring bad credit risk on tenants than just flat right refusal. I mean the roof over your head is your number one priority in life and I would never put that at risk so landlords should see that also but I know it's not everyone's outlook on the subject.

Hope that cleared it up a little.

Slithery

MrLow said:

I think lettings agents should have a system in place of scoring bad credit risk on tenants than just flat right refusal.

They do. All of the information is passed to the landlord who makes the final decision.
Unfortunately because of the current lack of rental properties there are usually dozens of applicants for every property, and the majority of applicants will have spotless credit histories. Why should the LL choose you over any of them?
The agents are doing exactly what they are employed to do by the LL - which is scoring you lower than people who can prove that they pay all of their bills.

coupleuk

Thanks to the likes of Shelter and Generstion Rent, it is now illegal to charge you any fees such as Referencing. 

So, where there are dozens of people after every rental property the agent/landlord doesn't need to take chances.

Each reference is roughly £20 so £40 in your situation. Any sensible landlord is going to reference the applicants wuth highest salaries, longest job history, less kids, no pets, no disabilities and certainly no benefits.

AND with the abolition of S21 and EPC-C legislation coming, rents will be going up 30%-50% in the next 2 years.

Thankfully, Shelter have lots of housing available - except they dont have a single property for rent, they just lecture.

But you local autjority will have lots of spare housing - except they have less now than 35 years ago as theyve never built any. 

Anyone needing to rent in the next few years needs to hold tight for the roller coaster about to derail.