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Northwood not paying landlords on guaranteed scheme

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Author Topic: Northwood not paying landlords on guaranteed scheme  (Read 138 times)
Posts: 1

I like property

« on: April 01, 2020, 10:33:14 PM »

I'm interested to know if anyone else is in this or a similar position.

I let my property through Northwood letting agent on their guaranteed rental scheme. I pay over the odds in letting fees each month and have done for many years, safe in the knowledge that my rent is guaranteed. Northwood are my tenant and they then sub let.

The sub tenant gave notice at the end of January.

Today, I received an email to say that due to government guidance (under the clause...if the property is unlettable or uninhabitable), they are no longer paying the rent. I am in a guaranteed rental contract with them until January 21. There is nothing wrong with the property, they are continuing to advertise it and say they will try to find and place a tenant using a virtual tour and online/telephone communications. Yet they are saying due to covid, it is 'unlettable'.

I spoke to a solicitor this afternoon who feels they are in breech of contract but I'm not sure if it's worth the legal costs to pursue it.

I'd really appreciate any similar experiences/thoughts/advice.

Jr. Member
Posts: 70

I like property

« Reply #1 on: April 26, 2020, 04:29:32 PM »

What government guidance?
You're not letting the property on a residential basis, it's a commercial let to a company, so, unless there's some grounds in the agreement itself being breached, the agent has to honour their part of the contract.

Even if you were in breach of the contract, the rent is probably still due (unless a court decides otherwise).

I'd take the legal advice and make sure the rent is paid along with any legal costs.
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