rent arrears and small claims and letting agent issues.

amandaeb

Hello everyone:j

I would appreciate any advice/opinions on my current situation please.

I rent out a house for £800 per month. Mr and Mrs S have been renting it for almost one year til they moved out just before their contract ended last month. They renewed after their first 6 month contract in October last year.

In September last year they reported a problem with the bathroom loo leaking a little water. (There is also a downstairs loo that works) The letting agent didn't inform me of this at the time so it wasn't fixed, but the tenants still renewed for another 6 months. It wasn't til December that the letting agent informed me, and it took about a month to find someone and get the problem fixed.

The tenants left the property last month, just before their agreement ended owing 5 months rent ie £4000. They are witholding this because the problem wasn't fixed speedily and they also claim a host of other problems with the house. I believe unreasonably.

During the last month of their tenancy I've made offers of reduced rent to them which they have rejected.

The letting agent has managed to track them down to their new rented accommodation and I am considering small claims court action.

I am writing them a final letter offerring another reduction to clear their debt.I am prepared to accept a reduced offer if it avoids the hassle of legal action.

My questions are:

If I send this letter with the reduced offer does this affect the amount I can claim for if I then have to go to the small claims court. Ie can i still claim for the full £4000 rent owing or do I have to stick to claiming the last offer I have made them?

Can I claim anything from the letting agent for not letting me know as soon as the tenants reported the fault. Had he done this the tenants may have paid the rent as normal - they renewed the contract with the fault being present.

Or is it the letting agent's responsibility to get the rent owing, I've been using him as a letting agent for 20 years and don't have a copy of the contract. Should I claim the rent off him and let him chase the tenants?

What would be a reasonable reduction in your opinion for the loss of the use of the bathroom loo for approx 3 months?

Many thanks to anyone who reads and /or responds. Any replies gratefully received.;)

Amanda

clutton_2

""I've been using him as a letting agent for 20 years and don't have a copy of the contract"" i think you'd best get a copy ASAP ....

Red_Cat

I think most letting agents would wash their hands of chasing tenants for rent owned. They are facilitators, and I imagine that as a result of rent not being paid, they didn't get their cut. But anytime I have spoken to a letting agent on this matter, they always say that the landlord should have taken out some sort of insurance against it.

tbs624

amandaeb wrote: »

Can I claim anything from the letting agent for not letting me know as soon as the tenants reported the fault. Had he done this the tenants may have paid the rent as normal - they renewed the contract with the fault being present.

Or is it the letting agent's responsibility to get the rent owing, I've been using him as a letting agent for 20 years and don't have a copy of the contract. Should I claim the rent off him and let him chase the tenants?

Ah, Letting Agents. It's worth mentioning here that anyone with no particular training, qualifications or expertise can set up as a Lettings Agent.

Any half-decent LA should have appropriate procedures in place to keep a LL/paying client informed on rental payments that are overdue and unresolved/outstanding repairs issues, but LL also need to take responsibility for what, after all, is their investment. It sounds like your business has been taken for granted over the years, and you placed rather a lot of trust in them.

However, if your LAs firm has a director, prinicpal or partner who is a member of the NAEA (National Association of Estate Agents) or the firm is a registered member of the Ombudsman for Estate Agents Scheme for Lettings then they will obliged to abide by the OEA Code Of Conduct. ARLA members also have a similar code of good practice. ( All this is EA/LAs method of self-regulation).

If your LA is a member (look for the OEA Logo) s/he is obliged to give you a copy of the Code free of charge. The Sections to look at, I think, would be 9 and 10 on Rent Collection and Management of the property.

If your LA is not a member IMO they still owe you a duty of care as a client. I would write to them asking for a prompt explanation of why you were not notified sooner, both for the repair issues and the subsequent lack of rent payments.Ask them also to issue you with a copy of their Terms of Business.

Are you absolutely sure you have no original Agreement or letter of appointment?

SquatNow

I'de sue the lettings agents for failing to tell you about the toile problems and the non-payment of rent.

They are jointly at fault.

tbs624

Sorry - was in the middle of dealing with something else at the same time...this is the second half

amandaeb wrote: »

The tenants left the property last month, just before their agreement ended owing 5 months rent ie £4000.

IMO your Agent should have arranged for Notice citing Grounds S8, S10, S11 once the rent was two months overdue.

amandaeb wrote: »

They are witholding this because the problem wasn't fixed speedily and they also claim a host of other problems with the house. I believe unreasonably.

You could write to them, reminding them that they were obliged under their Tenancy Agreement to pay rent for the full Term of the Agreement and ask them to let you know in writing within 10 working days what their list of grievances are/were and how they feel the matter could be resolved.

amandaeb wrote: »

During the last month of their tenancy I've made offers of reduced rent to them which they have rejected. The letting agent has managed to track them down to their new rented accommodation and I am considering small claims court action.

You will in all probability *have* to go through the small claims court to get anywhere with them, if they've already turned down an offer from you.

amandaeb wrote: »

I am writing them a final letter offerring another reduction to clear their debt.I am prepared to accept a reduced offer if it avoids the hassle of legal action.
.........
Or is it the letting agent's responsibility to get the rent owing, I've been using him as a letting agent for 20 years and don't have a copy of the contract. Should I claim the rent off him and let him chase the tenants?

What would be a reasonable reduction in your opinion for the loss of the use of the bathroom loo for approx 3 months?

If the Letting Agent has not acted in your best interests, after 20 years of "representing" you , then I wouldn't trust someone that incompetent to follow up anything further.

Your Agent ( & you as LL) were in breach of your repairing obligations under L& T law. It may be that the tenants didn't want a rent reduction and would have preferred to have had the 2 working lavs at the time.

Why not wait and see what your former Tenants come back to you with? If you don't like their terms, you can send them a final Letter Before Action.

There is an online guide to the small claims court procedure, or you can obtain a reasonably-priced 30 minutes with a solicitor to get some legal advice under the Fixed Fee interview set up.

In the meantime look around for an efficient LA for the future.

SquatNow

tbs624 wrote: »

In the meantime look around for an efficient LA for the future.

In the meantime look around for an professional LA for the future.

amandaeb

Thank you very much to everyone who has replied. :T

That has given me a lot to think about. I'll reread it all tonight and formulate an action plan. I think a fixed fee interview with a solicitor might be a good option, and trying to get a copy of their current contract. I'll also look into their membership.

Thank you again, and if anyone has anything else to add, or an opinion, I'll be pleased to hear it.

Amanda

clutton_2

re the toilet - the agent will more than likely deny that the tenants reported it - and if the tenants did not report it in writing - then how will you prove it is the agents fault - a judge may well think that an agent who you have used for 20 years is bound to be good !!!

amandaeb

Thank you Clutton, thats an interesting point I hadn't considered.