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Tuesday, January 21, 2014

More landlords turn away benefit tenants

Discussion on landlords becoming less inclined to let to tenants on benefit continues with the release of data by Spareroom.com.

The website surveyed 1500 landlords and found that 57% would not let to benefit tenants, and stated this when advertising their rental property.

Of those that do currently let to tenants on benefits, more than half said they would stop, once  Universal Credit is introduced into their area.

The director of SpareRoom, Matt Hutchinson reflected that: "The 2008 move to stop landlords receiving rent payments direct – designed to give those on benefits greater responsibility for their finances – has had overwhelmingly negative and lasting repercussions for tenants on housing benefit."

And so say all of us!
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4 comments:

Anonymous said...

I can see that one would not select DSS tenants by choice when looking for new tenants, but what is the verdict when previously reliable tenants with jobs find they need to become DSS Tenants?

Anonymous said...

I would like to know about this too; ive recently been made redundant and now I have to claim housing benefit. I have been in my present home for 18months and I am up to date with my rent, however the landlord does not know at present that I am now DSS

Anonymous said...

As a landlord with several HMOs I wouldn't take on a tenant who was unemployed at the start, but if a tenant loses their job then I wouldn't automatically kick them out either!

In today's world people don't have "jobs for life" and may experience being made redundant leading to a period claiming DSS benefits. As long as they are able to make the rent payment each month then I'd have no reason to want them out.

Most people who were employed at the start of a tenancy will be looking for work as soon as they're made redundant and most will find another job within a reasonable timescale. If they continue to pay the rent on time whilst unemployed I certainly wouldn't want to kick them out and make a difficult time in their life even worse!

Chris

Krissie Turner said...

I agree with chris. I have great tenants (employed) but no way would I push them out if the worst should happen. However I would not have rented to someone who had not been in full employment at the same firm for at leaset 6 months. All we can do is play it by ear and hope that our checks have been enough to back up our gut feelings for the tenant. I will always help a tenant out if i know they are doing their best to ensure the rent is paid.
Krissie