SMF - Just Installed!

What are my tenants playing at?

Started by Valdera, September 20, 2022, 04:02:33 PM

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Valdera

Hi Everyone,

I'm currently renting out my one and only house in the UK (located in South East London) since 1 January 2020.

The tenants allegedly lost their jobs in March 2020 due to the pandemic and they started claiming Universal Credits.

I've not received any rent from the tenants for a very long time (more than one year) and this is in spite of them being in receipt of housing benefit.

A claim form for possession of the property was served to them due to rent arrears and a hearing has been organized for 27 September 2022.

With the above in mind, I suddenly received one month's rent from my tenants today (Tues, 20 Sept 2022).

I happen to know (from my friends who still live on my road) that my tenants plan to wait for the arrival of the bailiffs and then hot foot it down to the Council to claim that they are homeless (tenants = 2 adults and 2 children). Obviously the fact that they have not paid any rent to me for a very long time (more than one year) would make them intentionally homeless in the eyes of the Council therefore I'm worried as to why they've suddenly paid me one month's rent so close to the date of the hearing.
In conclusion, and due to the stress of the non-payment of rent, I decided to sell my house and it was put on the market one week ago (13 September 2022). What do you think that my tenants are playing at paying me one month's rent just one week before the hearing on 27 September 2022?

heavykarma

This illustrates why it is best to serve 21.You could do both,belt and braces. They will have researched or phoned Shelter.Making this payment can scupper your attempt to evict.I think you would do well to hire the services of a specialist eviction service.It will cost you,but may save a lot of time and stress.Good luck.

jpkeates

I suspect that they may have fallen for a misguided theory that I've come across before.
A ground 8 section 8 notice requires that two month's rent is owed when the notice is served and when the hearing takes place - so the obvious tenant strategy would be to make sure the arrears were below that level when the hearing takes place - and often the landlord can find themselves in receipt of a chunk of the arrears the day before or the day of the hearing.

But the (crackpot) theory has it that if you pay a month's rent just before the hearing, that makes the use of ground eight impossible, because two month's rent (somehow) isn't owed.
I can't really explain it better than that, because it doesn't make much sense.
But make sure when you present a schdule of rent owed to the court that the payment you've received is allocated to the oldest rent owed.

Hippogriff

Rent Jan 2020 - received Jan 2020
Rent Feb 2020 - received Feb 2020
Rent Mar 2020 - received Mar 2020
Rent Apr 2020 - received Apr 2020
Rent May 2020 - received May 2020
...
Rent Jun 2021 - received Jun 2021
Rent Jul 2021 - received Jul 2021
Rent Aug 2021 - received Sep 2022
Rent Sep 2021 - outstanding
Rent Oct 2021 - outstanding
Rent Nov 2021 - outstanding
...
Rent Aug 2022 - outstanding
Rent Sep 2022 - outstanding?

heavykarma

I had a tenant who owed 3 months rent.As soon as notice was served he paid just one month.The agents I used at the time said that doing this could throw a spanner in the works,by demonstrating that he was attempting to clear the debts.I have been told that Shelter has also given this advice.Is this indeed just a myth then? It is an area that I have very limited knowledge of thankfully. still learning!     

jpkeates

Quote from: heavykarma on September 22, 2022, 07:34:42 AM
I had a tenant who owed 3 months rent.As soon as notice was served he paid just one month.The agents I used at the time said that doing this could throw a spanner in the works,by demonstrating that he was attempting to clear the debts.I have been told that Shelter has also given this advice.Is this indeed just a myth then? It is an area that I have very limited knowledge of thankfully. still learning!
If a tenant owes two months rent when they are served a valid section 8 notice with ground 8 and on the date of the hearing they owe two months rent, in theory, the court has no discretion and must award a possession claim.
There are slightly different rules where rent isn't paid monthly.

But it's possible to approach such black and white rules with a more flexible approach, if you're a judge.
A possession order can be made and then suspended, compensation can be considered for disrepair that reduces the arrears, the possession hearing can be suspended to allow something to be "considered".
So anything the tenant does that looks like they're trying to pay something might have a possible effect.

But these hearings are mostly routine, concern themselves with the paperwork being in order and hoping that an overworked judge will do something to randomly help a tenant is a tad optimistic.

And, in your example, if the tenant owed three month's rent and paid one month's rent, handing you a tenner on the way into court would scupper your s8 ground 8 chances.

Valdera


Thank you everyone for your kind replies and valuable advice.

My tenants have not paid rent to me in over a year and then, suddenly, they paid me one month's rent on Tuesday (20/09/2022) therefore (hopefully) the judge may just see this is as a ploy by the tenants when my case goes to court on 27/09/2022.

Full disclosure: I have an estate agency (letting agent) who has been taking care of my house since January 2020 and I have full legal cover too. Just after I posted, my estate agent (from the sales team) called me to confirm the brilliant news that they had received a full asking price offer on my house (it went on sale on 13/09/2022 so it sold in just over a week).

Can the judge still rule against me getting possession of my house given the above circumstances?


Hippogriff

I doubt your house sale position will be in any way relevant to how a Court may find in an unrelated possession hearing.

If the Tenants remain in-situ, I hope you have understanding buyers.

jpkeates

A payment schedule along the lines shown above would be helpful in court.

Valdera


Hi Everyone,

I'm very pleased to confirm that I was granted back possession of my property today (Tues, 27 September 2022).

The bailiffs will evict after 14 days but I know that it will be longer than that to evict the tenants (most likely a month or even more).

Thank you once again for all your kind help and advice.


jpkeates

Good to know, and thanks for taking the time to update us!

heavykarma

Very pleased for you, you will get there!

VICPAL

Quote from: Valdera on September 27, 2022, 02:35:04 PM

Hi Everyone,

I'm very pleased to confirm that I was granted back possession of my property today (Tues, 27 September 2022).

The bailiffs will evict after 14 days but I know that it will be longer than that to evict the tenants (most likely a month or even more).

Thank you once again for all your kind help and advice.

HAppy to see that you got decision in your favor but why did u waited for so long to serve S8 ?
will you receive your due rent , what did court said?  hope they leave in 14 days but Just to be aware at last moment tenant can still appeal for more days to vacant property....   Good luck...