Letting flat to council tenants - Advise please
Discussion
I am in a process of renovating two flats that I intend to lease out to wandsworth council for 3 years. They tell me it is a gauranteed rent.
They tell me for the first 6 months Iam responsible for all repairs minor and major. After six months the council are reaponsible for mantaining the property and the minor repairs.
I have looked at the draft lease and it seems that I as the landlord are responsible for all the major repairs.
Is that normal?
This is my first rental property. Can anyone shed some light on the advantages and disadvantages of leasing the property out to the council.
I thought the whole point of leasing it out to the council was that I get a reduced rent and in turn I wouldn't have to worry about the repairs. or am I too naive?
Thank you
They tell me for the first 6 months Iam responsible for all repairs minor and major. After six months the council are reaponsible for mantaining the property and the minor repairs.
I have looked at the draft lease and it seems that I as the landlord are responsible for all the major repairs.
Is that normal?
This is my first rental property. Can anyone shed some light on the advantages and disadvantages of leasing the property out to the council.
I thought the whole point of leasing it out to the council was that I get a reduced rent and in turn I wouldn't have to worry about the repairs. or am I too naive?
Thank you
I have been letting several premises through my local Council’s Housing Offices for approximately 9 years, using their Deposit Bond Scheme. The scheme works by the Council both guaranteeing rental payments and costs for the repairs of any damages caused to the premises by the tenant/s.
Many of the tenants have both social and mental health problems, with the same expecting the same demanding attention from their landlord, as they do of their social worker.
I have recently disposed off two properties that had been let out to students, finding that in recent years the quality, class of student has dropped, with students dropping out of their courses, the properties not being fully let, rental arrears increasing etc. Of the two sexes, female students were the worse, filthy b----hes, with late night parties, boyfriends being moved into the property, and again very demanding on the landlord.
Many of the tenants have both social and mental health problems, with the same expecting the same demanding attention from their landlord, as they do of their social worker.
I have recently disposed off two properties that had been let out to students, finding that in recent years the quality, class of student has dropped, with students dropping out of their courses, the properties not being fully let, rental arrears increasing etc. Of the two sexes, female students were the worse, filthy b----hes, with late night parties, boyfriends being moved into the property, and again very demanding on the landlord.
Vixpy1 said:
I have a house let to council tennants, they seem great and the place looks much better than when i lived in it.
Only problem is they seem to be paying me the 4 weekly amount, but monthly, so not sure how its going to add up at the end of the year
Yes, where the Council’s Housing department pays the rent directly to the landlord, then councils pay rent 4 weekly in arrears, so 13 payments in the year, as appose to the 12 monthly payments. Only problem is they seem to be paying me the 4 weekly amount, but monthly, so not sure how its going to add up at the end of the year
The problem can arise where a Council gives no guarantee on the rent, or pays the rental allowance direct to the tenant/claimant, again 4 weekly in arrears, if the benefit payments are either stopped, the amount reduced or the tenant does a runner. Then in either situation before the same comes to the notice of the landlord, then the rental arrears may have built up to several months, with further delay and further lost rent before the landlord has legally repossessed the rental property.
Deposit bond scheme I must ask about that.
What they are offering me is a leasing scheme of three years is thet the same.
Overall would you say you had many problems renting to the council.
If the deposit bond scheme is not available should I still go for it bearing in mind Iam responsible for all major repairs.
Please help as I have no idea what Iam doing as I have never done this before.
Thank you
What they are offering me is a leasing scheme of three years is thet the same.
Overall would you say you had many problems renting to the council.
If the deposit bond scheme is not available should I still go for it bearing in mind Iam responsible for all major repairs.
Please help as I have no idea what Iam doing as I have never done this before.
Thank you
Councils will operate different schemes, so it may be that your local Council might not operate the Deposit Bond Scheme. My local Council, Bristol, has a Private Housing Office that works with private landlords for social housing applicants/tenants, with the same office helping owners of empty properties, to bring those properties back into social housing.
I personally have had no problems with tenants introduced through the Council’s Deposit Bond Scheme, although I have had my fair share of problems with tenants receiving Housing Benefit, particularly when the rental payments/allowances are paid directly to the tenant/claimant.
As for repairs, please ensure that you have a good BTL insurance policy, one that covers such repairs, AND also allows for tenants on social Housing Benefit.
Lastly, within your local Council there will be lots of differing departments that will be assisting, looking for housing, for all sorts of differing people with social, health problems, those same departments working with private charities that will be in great need for private housing accommodation.
Good luck
I personally have had no problems with tenants introduced through the Council’s Deposit Bond Scheme, although I have had my fair share of problems with tenants receiving Housing Benefit, particularly when the rental payments/allowances are paid directly to the tenant/claimant.
As for repairs, please ensure that you have a good BTL insurance policy, one that covers such repairs, AND also allows for tenants on social Housing Benefit.
Lastly, within your local Council there will be lots of differing departments that will be assisting, looking for housing, for all sorts of differing people with social, health problems, those same departments working with private charities that will be in great need for private housing accommodation.
Good luck
drea26 said:
i am in reciept of benefits as my daughter has servere learing difficuties and autism. i get my housing benefit payed direct to me i have never missed a payment etc. people on benefits do get a bad rep but if you use your gut, visit their home, get references etc you should be ok. make sure you ask their old landlord about missed payments. you can get some brilliant tenants who are dss usually single parents dont judge all by a few. some of us are just in bad predicaments.
I am glad someone else posted this,My father has had to take to accepting benifits due to a fight with cancer but it has caused no end of problems actually trying to rent a property! As soon as you mention the word benifit to an estate agent they do not want to know.
My father has never missed a payment, worked all his life and respects other peoples property yet is treated like a bottom feeder when simply trying to find a roof over our head because of a situation that was totally un-avoidable.
As others have mentioned, you get good and bad in all walks of life but cetainly do not rule out everyone because of a few bad apples.
the reason why housing benefit payments are not very welcome for Letting Agents is that these payments can be re-claimed by the council if the Tenant was not eligable, lied or their circustances change. The council can reclaim 6 months after they have left.
Stick to normal lettings, use a reputable agent, take out a rent cover.
Stick to normal lettings, use a reputable agent, take out a rent cover.
superlightr said:
the reason why housing benefit payments are not very welcome for Letting Agents is that these payments can be re-claimed by the council if the Tenant was not eligable, lied or their circustances change. The council can reclaim 6 months after they have left.
Stick to normal lettings, use a reputable agent, take out a rent cover.
HB deemed overpaid by dint of non-eligibility requires the REASON for the non-eligibility to be something the landlord/agent could reasonably be expected to know. For example, whilst non-occupancy of the dwelling (ie tenant not staying there) is something the landlord/agent should certainly be expected to know, change of circumstances (such as tenant becoming non-entitled to benefits eg by becoming employed) is NOT something the landlord/agent could be expected to know. In most circumstances the tenant is held liable for the overpayment, although an agent/landlord who really doesn't know how HB and its rules work will quickly get into a fankle.Stick to normal lettings, use a reputable agent, take out a rent cover.
Stick to using an agent who knows what they're doing, and don't rule out a potential 4 million clients from letting your dwelling.
Lucy Kia said:
I am in a process of renovating two flats that I intend to lease out to wandsworth council for 3 years. They tell me it is a gauranteed rent.
They tell me for the first 6 months Iam responsible for all repairs minor and major. After six months the council are reaponsible for mantaining the property and the minor repairs.
I have looked at the draft lease and it seems that I as the landlord are responsible for all the major repairs.
Is that normal?
This is my first rental property. Can anyone shed some light on the advantages and disadvantages of leasing the property out to the council.
I thought the whole point of leasing it out to the council was that I get a reduced rent and in turn I wouldn't have to worry about the repairs. or am I too naive?
Thank you
Do you have a mortgage on the flats?They tell me for the first 6 months Iam responsible for all repairs minor and major. After six months the council are reaponsible for mantaining the property and the minor repairs.
I have looked at the draft lease and it seems that I as the landlord are responsible for all the major repairs.
Is that normal?
This is my first rental property. Can anyone shed some light on the advantages and disadvantages of leasing the property out to the council.
I thought the whole point of leasing it out to the council was that I get a reduced rent and in turn I wouldn't have to worry about the repairs. or am I too naive?
Thank you
Have you checked that the lender will alllow council tenants?
I assume the flats are covered under a block policy? If not have you checked your insurance is of the right type?
groak said:
Black Sport 160 said:
Groak - what part of the UK does your firm operate in?
Glasgow and 30 mile radius.I have two flats getting renovated in Kilsyth , thinking of letting them out .
Could You pm me your details so maybe We can have a talk about what
Your company can offer me .
Thanks !
Mazinger said:
Hi Groak !
I have two flats getting renovated in Kilsyth , thinking of letting them out .
Could You pm me your details so maybe We can have a talk about what
Your company can offer me .
Thanks !
ARRGH!! Kilsyth! That's where the (1st and mental) wife is from!! Don't tell me....let me guess....Rennie Road??I have two flats getting renovated in Kilsyth , thinking of letting them out .
Could You pm me your details so maybe We can have a talk about what
Your company can offer me .
Thanks !
Anyway...pm on the way.
RJames said:
drea26 said:
i am in reciept of benefits as my daughter has servere learing difficuties and autism. i get my housing benefit payed direct to me i have never missed a payment etc. people on benefits do get a bad rep but if you use your gut, visit their home, get references etc you should be ok. make sure you ask their old landlord about missed payments. you can get some brilliant tenants who are dss usually single parents dont judge all by a few. some of us are just in bad predicaments.
I am glad someone else posted this,My father has had to take to accepting benifits due to a fight with cancer but it has caused no end of problems actually trying to rent a property! As soon as you mention the word benifit to an estate agent they do not want to know.
My father has never missed a payment, worked all his life and respects other peoples property yet is treated like a bottom feeder when simply trying to find a roof over our head because of a situation that was totally un-avoidable.
As others have mentioned, you get good and bad in all walks of life but cetainly do not rule out everyone because of a few bad apples.
98elise said:
There are a higher number of problems with HB tenants though, and you have no chance of recovering any losses. My own experience is that rent wasn't paid, my flat was trashed, and the tenant did a runner. Unfortunately for the decent HB tenants some landlords (including me) will not entertain HB tenants.
On the other hand I've had the same HB tenant in a house for the last 14 years. In all that time there have been no missed rents, no empty periods, no agents fees, and no problems. I don't even get asked to do repairs, I hardly ever hear from them.RYH64E said:
On the other hand I've had the same HB tenant in a house for the last 14 years. In all that time there have been no missed rents, no empty periods, no agents fees, and no problems. I don't even get asked to do repairs, I hardly ever hear from them.
Maybe they're dead.(Interesting argument will then arise with local HB Office as to whether or not a dead person is or isn't considered 'in occupancy' of a dwelling. You'll be happy to hear that occupation by a corpse is still occupancy and therefore continues the entitlement to rent).
groak said:
Maybe they're dead.
(Interesting argument will then arise with local HB Office as to whether or not a dead person is or isn't considered 'in occupancy' of a dwelling. You'll be happy to hear that occupation by a corpse is still occupancy and therefore continues the entitlement to rent).
Hi Groak(Interesting argument will then arise with local HB Office as to whether or not a dead person is or isn't considered 'in occupancy' of a dwelling. You'll be happy to hear that occupation by a corpse is still occupancy and therefore continues the entitlement to rent).
This thread just came top on a google search and you posts interested me.
Are you still renting to tenants via councils and/or a Glasgow Lettings agency still?
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