Tenants say they're not going to pay rent, what next?

Tenants say they're not going to pay rent, what next?

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Mario149

Original Poster:

7,750 posts

178 months

Sunday 2nd October 2016
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So lucky me appears to have some tenants in a flat I rent out that have emailed me saying they are going to stop rental payments (executive summary of reason: they have a serious issue with the noise a counci tenant neighbour is making but hold me responsible). I've offered them some options of exiting their tenancy before the 6 month break clause: give me 3 weeks notice and pay the balance of my agent's fees, probably amounting to about 2 weeks rent OR the option to find other tenants to take over from them OR a reduced rental amount if they decide to stay on plus any support they need complaining to the council. I'm trying to be flexible but they appear to want to just leave me to carry the can. Seems their idea is to stay living in a place (that ironically they seem to hate) for free until I cave in.

So on the basis that they're likely going to go into arrears in a few days, does anyone have any experience of the best way forward to recover rent and evict them if they do? We have 6 weeks deposit which the contract says we can deduct unpaid rent from, but presumably after that I'd have to take them to the small claims court?

Basically, once they go into arrears I want to recover unpaid rent and get them out asap.


Simpo Two

85,320 posts

265 months

Sunday 2nd October 2016
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The legal position is that they are required to pay rent regardless - and the noise if true is a matter for the Council.

I'm sure their plan is to live there for free/discount for as long as it suits them. I don't know the intricacies of tenancy agreeements but I might suggest a response such as 'Sorry to hear you're being troubled by noise from another house. Clearly this is making your occupation of the house unpleasant, so the best thing you can do is seek alternative accommodation immediately, and I'll give you 30 days rent free in which you can move to a house you prefer. 30 days should easily be long enough to secure a new tenancy, after which time you'll be liable for full rent as per the agreement.'

You'll lose 30 days rent but let's face it, you've lost it already. I see it as a polite eviction notice.

505diff

507 posts

243 months

Sunday 2nd October 2016
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Evict as soon as you can, they are happy stay with the unbearable noise as long it's for free, they are a joke get them out.

uber

855 posts

170 months

Sunday 2nd October 2016
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If you have an agent should they not be on top of it?

Mario149

Original Poster:

7,750 posts

178 months

Sunday 2nd October 2016
quotequote all
uber said:
If you have an agent should they not be on top of it?
Agent finds tenants, does paper work, collects rent etc, but they don't "manage" the property. They may well be the people to take it forward (but I'm currently working on a worst case scenario that they're not), have pinged them an email to see exactly what services they provide, will also dig out the agreement we have with them when I have a moment tomorrow.

bompey

541 posts

235 months

Sunday 2nd October 2016
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tenants will be in breach of contract so remind them of their obligation to pay and investigate the relevant section of the housing act you need to invoke as soon as they are in arrears.

Mario149

Original Poster:

7,750 posts

178 months

Monday 3rd October 2016
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Have found this, it seems to lay out what has to be done:

http://www.which.co.uk/consumer-rights/advice/how-...

98elise

26,474 posts

161 months

Monday 3rd October 2016
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Do they have Jobs?

Mario149

Original Poster:

7,750 posts

178 months

Monday 3rd October 2016
quotequote all
98elise said:
Do they have Jobs?
Reference results from a few weeks ago say yes, although one now claims she is unemployed (I think, the latest email from them doesn't make a great deal of sense).

onedsla

1,114 posts

256 months

Tuesday 4th October 2016
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Does your landlord insurance include legal cover? Does that legal cover include eviction etc?
For me it's worth the extra ~£20. I wouldn't anticipate too much help from the agent.

Moominho

893 posts

140 months

Tuesday 4th October 2016
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Mario149 said:
Agent finds tenants, does paper work, collects rent etc, but they don't "manage" the property. They may well be the people to take it forward (but I'm currently working on a worst case scenario that they're not), have pinged them an email to see exactly what services they provide, will also dig out the agreement we have with them when I have a moment tomorrow.
Sounds like they do manage the property to be honest, especially if they collect the rent. If I was using an agent, it is the sort of thing I would expect them to be on top of.

BoRED S2upid

19,669 posts

240 months

Tuesday 4th October 2016
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Moominho said:
Sounds like they do manage the property to be honest, especially if they collect the rent. If I was using an agent, it is the sort of thing I would expect them to be on top of.
This.

Seems they want the easy bits and the money but not the messy bits. Were they cheap? Suggest next time you go with a decent agent and get some decent insurance cover especially if your renting out such a flat.

Mario149

Original Poster:

7,750 posts

178 months

Tuesday 4th October 2016
quotequote all
Moominho said:
Mario149 said:
Agent finds tenants, does paper work, collects rent etc, but they don't "manage" the property. They may well be the people to take it forward (but I'm currently working on a worst case scenario that they're not), have pinged them an email to see exactly what services they provide, will also dig out the agreement we have with them when I have a moment tomorrow.
Sounds like they do manage the property to be honest, especially if they collect the rent. If I was using an agent, it is the sort of thing I would expect them to be on top of.
Was in touch with them yesterday - they will be chasing rent if the tenants go into arrears, but if I want to start eviction proceedings it's up to me.

When I say "manage", I mean in terms of if a tenant has a leaky pipe and calls the agent, they forward the issue to me so I can organize plumber etc to fix, rather than them doing the legwork and organizing for it to be fixed.

superlightr

12,850 posts

263 months

Tuesday 4th October 2016
quotequote all
BoRED S2upid said:
Moominho said:
Sounds like they do manage the property to be honest, especially if they collect the rent. If I was using an agent, it is the sort of thing I would expect them to be on top of.
This.

Seems they want the easy bits and the money but not the messy bits. Were they cheap? Suggest next time you go with a decent agent and get some decent insurance cover especially if your renting out such a flat.
the OP has already said they do not manage the property. Perhaps the OP did not want to pay them and is why they are not managing perhaps....

Moominho

893 posts

140 months

Tuesday 4th October 2016
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Mario149 said:
Was in touch with them yesterday - they will be chasing rent if the tenants go into arrears, but if I want to start eviction proceedings it's up to me.

When I say "manage", I mean in terms of if a tenant has a leaky pipe and calls the agent, they forward the issue to me so I can organize plumber etc to fix, rather than them doing the legwork and organizing for it to be fixed.
So if they chase the rent, and the tenant doesn't pay - what will they do next?

If you don't mind me asking, how much are you paying them? They seem to be doing a half arsed job, I assume you aren't paying them much of a percentage...

Mario149

Original Poster:

7,750 posts

178 months

Tuesday 4th October 2016
quotequote all
Moominho said:
Mario149 said:
Was in touch with them yesterday - they will be chasing rent if the tenants go into arrears, but if I want to start eviction proceedings it's up to me.

When I say "manage", I mean in terms of if a tenant has a leaky pipe and calls the agent, they forward the issue to me so I can organize plumber etc to fix, rather than them doing the legwork and organizing for it to be fixed.
So if they chase the rent, and the tenant doesn't pay - what will they do next?

If you don't mind me asking, how much are you paying them? They seem to be doing a half arsed job, I assume you aren't paying them much of a percentage...
It's 6% + VAT from memory. I've actually been very happy with the service they provide thus far. Their comms are always v good, always get answers to my email queries within an hour or so. They're happy to point me in the direction of sensibly priced reputable tradesmen when it's needed, provide advice (beyond what I'm strictly paying them for) if I ask, and I've seen them function for a couple of years before they got my business etc etc. They're realistic on valuations and seem to show flats well. I like the fact that they're a small outfit so I always deal with the same person. Also, they look after my other half's flat as well, so they know that if they cock up one or t'other they stand to lose two lots of business not just one.

Moominho

893 posts

140 months

Tuesday 4th October 2016
quotequote all
Mario149 said:
It's 6% + VAT from memory. I've actually been very happy with the service they provide thus far. Their comms are always v good, always get answers to my email queries within an hour or so. They're happy to point me in the direction of sensibly priced reputable tradesmen when it's needed, provide advice (beyond what I'm strictly paying them for) if I ask, and I've seen them function for a couple of years before they got my business etc etc. They're realistic on valuations and seem to show flats well. I like the fact that they're a small outfit so I always deal with the same person. Also, they look after my other half's flat as well, so they know that if they cock up one or t'other they stand to lose two lots of business not just one.
Fair enough - I would expect them then to chase the rent if not paid, and make it clear to the tenants that they cannot withhold rent due to a noise issue. If they then proceed to still not pay then they should start eviction proceedings.

dci

528 posts

141 months

Tuesday 4th October 2016
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Slightly O/T but should this situation develope into one of those 'Can't pay, we'll take it away' situations where they refuse to move out and refuse to pay rent what would the consequences be of just turning up one day while they are out, changing the locks and refusing any further access to the property?

It can't be as bad as being 16 months without rent and going through the court process?


Moominho

893 posts

140 months

Tuesday 4th October 2016
quotequote all
dci said:
Slightly O/T but should this situation develope into one of those 'Can't pay, we'll take it away' situations where they refuse to move out and refuse to pay rent what would the consequences be of just turning up one day while they are out, changing the locks and refusing any further access to the property?

It can't be as bad as being 16 months without rent and going through the court process?
Well it's a criminal offence for one...

uber

855 posts

170 months

Tuesday 4th October 2016
quotequote all
dci said:
Slightly O/T but should this situation develope into one of those 'Can't pay, we'll take it away' situations where they refuse to move out and refuse to pay rent what would the consequences be of just turning up one day while they are out, changing the locks and refusing any further access to the property?

It can't be as bad as being 16 months without rent and going through the court process?
That would get you the same jail time as going round at 4am and spray pedo across the front door then leaflet all the houses in the street even if you try and call it a croudsourced eviction smile