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optiplex99
02-04-2008, 11:53 AM
Hi,

I have had a very good tenant in my property for a number of years and i would like to keep him however:

a) due him changing jobs he now pays the rent on the 18th of the month rather than the 1st as agreed in the original documentation

b) He was unemployed for a few months last year, and the rent payment was erratic. He has now caught up with the arrears except for £350.

c) As a way of covering the shortfall, he suggested that i use /keep the deposit.

I have sent him a letter in february saying that i would like everything in order by next weekend (end of the tax year)

Any advice on what to do next

thanks

Bel
02-04-2008, 22:14 PM
Have a chat and find out how he's getting on.

Say you would like for him to get caught up as you require the deposit to be held as a buffer.

Ask why rent is now 2 weeks late regularly.

Agree a schedule that he can catch up paying rent to timings agreed and have correct deposit in hand. This must be reasonable for him to achieve. Think win:win. If the bar is too high, he may not be able to cope. Say you will follow up with a regular call to review progress.

Confirm action plan in writing. See how you feel after the conversation.

If it doesn't work, consider giving notice.

johnjw
03-04-2008, 15:45 PM
£350 arrears after several years as a tenant, is probably a quite small percentage of total rent paid and it does seem that the problem is not getting worse - it's a bit like someone not being able to pay off their credit card completely each month.
Although it's annoying, it's not really serious in the context of potential landlord tenant problems. You say your tenant is a good tenant so he's probably worth an interest-free, but ultimately repayable, loan of £350.

grmills
03-04-2008, 16:19 PM
£350 arrears after several years as a tenant, is probably a quite small percentage of total rent paid and it does seem that the problem is not getting worse - it's a bit like someone not being able to pay off their credit card completely each month.
Although it's annoying, it's not really serious in the context of potential landlord tenant problems. You say your tenant is a good tenant so he's probably worth an interest-free, but ultimately repayable, loan of £350.

Agree 110%. If he's been in situ for a number of years you've already received more rent than you'd normally budget for as there have been no voids. Also, if he's a very good tenant he's worth holding on to, there's a reasonable chance you'll see the £350 at some point.

SEB
03-04-2008, 23:04 PM
Hi,

I have had a very good tenant in my property for a number of years and i would like to keep him however:

a) due him changing jobs he now pays the rent on the 18th of the month rather than the 1st as agreed in the original documentation

b) He was unemployed for a few months last year, and the rent payment was erratic. He has now caught up with the arrears except for £350.

c) As a way of covering the shortfall, he suggested that i use /keep the deposit.

I have sent him a letter in february saying that i would like everything in order by next weekend (end of the tax year)

Any advice on what to do next

thanks



I wouldn't consider not pursuing the 350 right now.

What will probably happen if you do nothing, is that your tenant will consider that it will be taken from the deposit when he leaves. If you have any costs in excess of this amount when the tenancy expires (more unpaid rent, damages etc) or he has more employment problems, the problem of arrears will get worse and you'll be chasing him.

I would ask him to pay it all now, or offer it to be repaid over, say 3-4 months. Anything else shows you to be a pushover. You are not a party to his unfortunate employment situation. You are not a charity, homeless shelter, etc.

If he changed his salary payment date, it is an easy matter to work out the difference in rent between the 18th and 1st.

What's your reason(s) for not pursuing the arrears to date?
Is you property hard to let / in a poor or difficult area or are you just worried about re-marketing in a bad time for the market?

Are you worried about "upsetting your tenant" and losing him?
If so, he will pick up on this and push you more and more - soon he'll be asking for a rent reduction "because times are hard" etc. Believe me.

If you are too lenient (you have already been too lenient in not pursuing the arrears for over a year), he may take the piss - maybe not now, but the door is open for him to do so at some time knowing you won't be hard on him and even be sympathetic.

I thought this was sacred, but its worth repeating again;
The deposit is not to be used before the tenancy expires. Its not security otherwise.
Doing so leaves you vulnerable.:eek:

johnboy
04-04-2008, 22:23 PM
If you want to keep him come to a arangement because it will cost you a lot more to get him out advertise for a new tenant and more than likely have a vacant period.

Deal with the arrears first because you are still getting the rent in every month and he is not getting futher behind. Ask for a extra 25-50 quid a month to pay arrears doesnt matter how long it takes if he is a good tenant and you want him to stay.

When the arrears paid off issue a new contract running 18th to 17th of the month and have him still paying a little bit extra each month to pay the 1st to the 17th

i dont agree with what has happened and he has done but somestimes you have to try and meet in the middle