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Unreasonable Covid-19 proposal?

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Author Topic: Unreasonable Covid-19 proposal?  (Read 830 times)
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« on: April 24, 2020, 03:00:58 PM »

A Tenant whose rent is 500 per month is furloughed. I have suggested they pay 400 per month from now on, 100 being recorded as outstanding and addressed when furlough is over (for my own reasons of simplicity I'm trying to consider that means when things get back to normal, although I accept it could mean when they lose their job entirely)... I've suggested they then pay 550 per month until the arrears are cleared.

So, for every month that they pay 80% they will get two months to cover the arrears accumulated in that month.

It certainly feels, through WhatsApp communication today, that the Tenant believes they're entitled to more leniency / support / leeway, possibly a freebie, which I'm not really minded to provide right at this moment.

This must have hit other Landlords by now... I cannot be alone on this forum... and I'm curious if my proposal seems too tough.
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« Reply #1 on: April 24, 2020, 03:59:22 PM »

Everyone's feeling their way a bit, but your offer sounds reasonable to me. I suppose there's a risk he might decide he doesn't like it and leave while it's hard to get a replacement tenant, but you're certainly not under any obligation to offer him any freebies.

There's nothing to stop his employer topping him up to his full salary whilst he's on furlough. They've made a business decision not to do that. You've made a business decision not to write off the rent.

At least you're not charging him extra because he's using the house more at the moment!
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« Reply #2 on: April 25, 2020, 03:05:17 PM »

I'd withdraw your generous offer and stick with the full rent then.
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« Reply #3 on: April 26, 2020, 10:45:17 AM »

Totally agree with both comments above.I think you have made a very sensible and fair offer.
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« Reply #4 on: May 07, 2020, 10:19:02 AM »

We decided to skip a full month (to be considered arrears to be paid after furlough ends) and pay the full 100% for other months. This equates to no discount, but I have received a letter from the Council saying they've submitted an application for a Council property and I'm asked for a reference... one question is whether there is any arrears and a payment plan established. I'll go and fill that in now...
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« Reply #5 on: June 01, 2020, 05:04:35 PM »

My tenants have stopped paying due to Covid. What advice would anyone have. I offered that they pay me half but they have not even met that. I don't know personally what the circumstances are with their income due to covid but there are 3 over 18 year olds working previously.
Thanks.
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« Reply #6 on: June 02, 2020, 10:03:02 AM »

It depends on whether they think they don't have to pay now... or whether they fully accept that they do and it becomes agreed arrears. Neither is perfect, but one is massively better than the other. You don't give any hints as to their stance - do you know? Stopping paying due to Covid doesn't describe why. You should do all you can to find out.
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« Reply #7 on: June 08, 2020, 01:23:42 PM »

My tenants have stopped paying due to Covid. What advice would anyone have. I offered that they pay me half but they have not even met that. I don't know personally what the circumstances are with their income due to covid but there are 3 over 18 year olds working previously.
Thanks.


Very tough situation. i would go round and discuss with them face to face - its too easy to ignore calls and emails.

Unfortunately i saw that in the past few days the government has extended the eviction notice period to 5 months. So you could issue the eviction notice today and they would not have to leave until november!

I would be prepared to issue a section 21 eviction if your face to face does not go well. I am sure it will - i guess they dont want to be facing eviction on top of all the other stresses they might be having currently.
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