Renting it’s a Minefield
By
Carole McEntee-Taylor
Copyright 2012 Carole McEntee-Taylor MA Phil; BSc (Hons)
Smashwords Edition
This guide is specifically written for those leaving UK Armed forces and ex Service personnel
Guide to Renting and Managing Your Tenancy
Most people leaving the Services will end up renting accommodation at some point. Whether you are renting through a Council or Housing Association (social housing) or privately, you will need to know how to manage that tenancy. Although this guide is mainly about private renting if you are lucky enough to be offered social housing then there are parts that are also relevant for you. This is only a guide and tenancy rules in Scotland can differ from those in England and Wales so if you are not sure about any of the information please contact the organisations listed at the end of this booklet. The information is correct at time of publishing.
Also included is a small question and answer section at the end for those who are intending to go home to family or partners who are in receipt of benefits.
The Tenant = you, the person renting the property.
The Landlord = the person renting you the property.
How do I
find private rented accommodation?
Local
Council
Not all councils have a list of reliable/ regulated landlords but it’s worth checking. Some have lists of landlords who accept people who are not working and only want small deposits.
Estate
Agents – either in person or via internet.
For- they have lots of properties and want to make money (from managing/letting) so they will be very helpful. As they are professionals if you have problems with the property they should be reasonably easy to resolve.
Against – they are no good if you have a bad credit rating and they will also charge an administration fee.
Local
Papers/Shop windows/Word of Mouth
For: The Landlords may not do credit checks as they may take the applicant at face value. They may not want a large deposit. Some may even waive the initial deposit in favour of increased rent payments for first few weeks if they like the applicant. They probably won’t charge an administration fee.
Against: They may not be very professional and may not resolve issues with the property quickly if managing it themselves.
Decide who you want to live with
On your
own?
You are solely responsible for paying your rent, bills etc.
With someone else?
Perhaps you are thinking of sharing with a partner, friend, brother or sister?
Are they trustworthy? Are they likely to cause problems so that you get evicted? Are they able to contribute to the rent? Are they reliable? Are they likely to move out suddenly leaving you to pay all the rent and the bills? They may be your best friend now but can you really live with them?
A joint tenancy does NOT mean you are only responsible for half the rent. The Tenancy Agreement will state that you are ‘jointly and severally liable’. In other words if your co-tenant disappears you will be liable for all the rent that is owed.
Decide
what you are looking for
Do you want a flat or a room in a shared house?
Flats
are self contained ie: the kitchen, toilet/bathroom and living space
is for your sole use.
Shared houses: you have your own room and share the kitchen,
toilet/bathroom and living space with other members of the house.
Should
it be furnished or unfurnished? Furnished will be more expensive and
you are responsible for the furnishings and fittings. Unfurnished is
cheaper and you can get your furniture as and when you need it. Most
unfurnished places will have fitted kitchens, bathrooms and carpets.
Decide how much you can afford. The monthly rent is just the beginning!
Additional
Costs
Council tax; fuel bills; water and sewerage bills; TV Licence; clothes; food; laundry costs; cleaning products; nights out; Sky/cable TV; broadband; landline telephone; mobile phone; debt repayment; court fines; child maintenance payments; contents/life insurance; car costs: tax, MOT, insurance, fuel; public transport costs.
Most shared houses include bills and TV licence. Some include Sky/Cable and phones.
Decide where you want to live
What are your priorities? Near transport, shops, schools, college, work, pubs, gym? Do you want to live where it’s noisy and there are lots of things happening or would you prefer somewhere quieter? Do you want a shower or bath? Do you want central heating, double glazing? Do you want meters for your electric/gas or do you prefer quarterly bills? Meters are normally more expensive but they allow you to keep an eye on what you are spending.
How to pay
for it
Are you working? Studying? Unemployed?
Working
– work out your money to include ‘Additional Costs’
On
low income or unemployed: Local Housing Allowance (LHA) will pay your
rent if you are unemployed and may pay towards it if you are on a low
income.
However
the amount of LHA is based on local council rents which are always less than private rented. LHA will only be enough to cover the rent of about a third of the properties that are available.
The amount you get towards your rent will also depend on your age. Currently if you are under 35 LHA will only cover a room in a shared house.
You can find out how much LHA you are entitled to by looking on your local council website or ringing and asking them. Alternatively you can visit Direct Gov. If you are renting a room in a shared house remember that LHA will only cover the rent not the bills. Eg: If the amount of LHA you are entitled to is £65 per week and you find a room that costs £70 per week but includes all your bills you may still be able to afford it. This is because the extra £5 is probably the cost of your bills. When you view the room you need to ask how much of the rental price is rent and how much is to cover bills.
Some landlords don’t take people who are unemployed. Their adverts will often say ‘No DSS’ or ‘No LHA Claimants’.
Whether
you are working or unemployed you may be able to get help with the
deposit and first month’s rent from the local council through a
bond scheme. But not all council’s do this and you may not be
eligible. If this is the case; or if it is not enough then you can
approach either the RBL, SSAFA, or Veterans Welfare Service who may
be able to help.
Found a
Property?
Viewing
Check out the area you want to live at different times of the day/night/weekend before you commit yourself.
Set up a viewing; ring the agent or arrange with the property owner.
BIG COMMITMENT – make sure it’s what you want, not what the letting agent wants! Agents will often say they have had a lot of interest in the property to try and get you to take it before you have thought about it properly.
Don’t take the first place you find unless it’s exactly what you’ve been looking for.
What do
you do next?
Tenancy
Agreement
If you decide you want to take it you will need to fill in a Tenancy Agreement
Always
get a written tenancy agreement and always read it carefully. If you
are not sure of anything you should seek further advice before
signing it. The websites at the end will give you more information
about your legal rights as a tenant. As a tenant you have certain
rights that are enshrined in law and a private landlord cannot
deprive you of these rights.
Your Tenancy Agreement should contain the following:
The type of tenancy – normally a shorthold tenancy
It should be signed and dated by all joint tenants and the landlord and each party should have a copy.
The address of the property
The landlord’s name and address
The length of the tenancy, usually 6 or 12 months. If you move out before the expiry date you may still be liable for the rent for the whole period.
The amount of rent payable, how often it should be paid, what it includes and how often the landlord can increase it.
The length of notice either the landlord or tenant needs to give to end the tenancy although this cannot override any legal (statutory) provision.
You should also read through the terms of the agreement carefully to find out what repairs you, as the tenant, are responsible for and what repairs the landlord is responsible for. There may also be a clause that says the tenant is responsible for notifying the landlord of repairs that are needed. You will also need to know whether you are allowed to decorate the property.
Are you allowed to keep a pet in the property?
If so are
there any pets you are not allowed to keep?
You will also need to provide references, usually just an employer reference and previous landlord reference. If you have never had a landlord before they may want a character reference instead. If you are Joint Tenants both of you will need to provide these.
Costs
Agencies will usually run credit checks on you/your partner/friend for which they may charge you. Some agencies will not refund this money so if they are going to charge you large amounts of money to do credit checks that you think you will fail and it is not refundable you may wish to consider going elsewhere.
An agency may charge an administration fee where smaller landlords may not. This fee can be in the region of £150-200 and is in addition to any other charges for rent and deposit. Ie: if the rent is £450 per calendar month (pcm) then the agency will probably want £450 plus a deposit of £450 plus the administration fee to move in. This could mean an initial outlay of over £1000.
Always ask exactly how much money the agency or landlord wants at the beginning and if they want a deposit find out whether it is refundable before committing yourself. Always get a written receipt for any money you hand over stating exactly what it is for ie: deposit, rent etc.
If SSAFA, RBL or Veterans Welfare Service have said they will help with the deposit/ first month’s rent make sure you find out exactly how much this is before you tell the landlord that they will be paying!
Moving
In
Inventory
When
you move in check the inventory you are given as this lists
everything that is in the property as well as any defects. You have
24 hours to identify any defects that are not mentioned and/or
property that is not there as listed. If you find any defects take
photos of them (digital cameras and mobile phone cameras are best
because they time and date the photo) and let the agent know
immediately in writing. Keep copies for your own records. If things
that are listed are not there then, again, notify the landlord
immediately in writing. If you do not notify the landlord or agent
you could find that you will be liable for these discrepancies and
this could mean you lose your deposit.
Other
things to look for
1. Does the property have an Energy performance certificate? All
properties should have one of these and the landlord must give you a
copy, free of charge, before you sign any tenancy agreement. If not
they can be fined £200 by Trading Standards.
2. What kind of heating is there and does it work?
3. Are there any signs of damp or mould on the walls or ceilings?
4. Are there enough electricity sockets and do they work?
5. Are the water taps working?
6. If the property has gas does it have an up to date gas safety
certificate?
7. Does the kitchen and bathroom have enough ventilation and are they
well equipped?
8. Check that all the windows and doors close properly and are there
enough bolts and locks to keep the place secure?
9. If there was a fire how would you get out? Is there a smoke alarm?
10. If it’s a house converted into flats or bedsits there should be
fire safety equipment such as smoke and heat detectors, fire doors
and fire blankets.
Deposits
By law the deposit has to be returned to you when you leave providing you leave the place in the good condition and there is no damage and/or rent owing.
The landlord must put your deposit in an insurance or custodial scheme and tell you what he has done within 14 days of you paying it. It must be returned to you within 10 days of agreeing how much is due. If either of these things does not happen or you cannot agree on the amount to be returned you should seek advice from the local council, Citizens Advice Bureaux or Shelter.
Repairs
By law the landlord is responsible for:
The structure and exterior of the building, including drains, gutters and external pipes
The installation for the supply of gas, water, electricity and sanitation. This includes water tanks, boilers, radiators and other space heaters.
They must pay for gas safety checks and any necessary work on appliances at least once every 12 months
If you consider that an electrical appliance is not safe and the landlord has been informed and not rectified it you can contact Trading Standards.
Problems
with repairs?
Most landlords will want to keep their property in good repair but there are always exceptions. So what do you do if your landlord is messing you about?
Give the landlord reasonable notice of repairs that are needed in writing, make sure it’s dated and you have kept a copy.
Collect evidence eg: photographs, medical reports, costs incurred as a result and any technical advice from recognised experts such as environmental health officers.
Negotiate with the landlord
Get the local council to take action. Eg: if the toilets or drains are blocked they can serve notice on the landlord to carry out the work and if he doesn’t they can do it and charge the landlord.
Take court action to force the landlord to carry out the repair and claim compensation.
You can use the rent money to carry out repairs but DO NOT DO THIS without taking advice. (see organisations at the end of the booklet)
Moving
Out
When you leave the property try and arrange for your landlord to be there. If that’s not possible make sure you take photos of the condition you have left the property in. If you have had the property professionally cleaned submit this to the landlord as further proof. Some landlords charge for cleaning as a way of reducing the amount of deposit they refund the tenant. Without evidence it is just their word against yours.
If there are other tenants find out how good the landlord is about returning deposits.
If you leave items in the property the landlord may charge you to dispose of them
Benefits
Housing Benefit and Income Support
The Benefit system is extremely complicated so the following is just a brief summary of three possible issues.
Q. My mother is claiming Income Support and Housing Benefit and she says I can’t live there because these benefits will stop and she won’t have any money or be able to pay the rent.
A. If you are under 25, not working and claiming Job Seekers Allowance (dole money/unemployment benefit) it will make no difference at all to either benefit. She will need to let them know that you are living there and show them proof that you are claiming Job Seekers.
If you are over 25 you receive more Job Seekers Allowance so you are expected to pay towards rent even if you are living at home. This means that Housing Benefit will be reduced by a set amount which you are expected to contribute. It shouldn’t make any difference to her Income Support because you are a relative not a partner.
However, if you are working it will make a difference to both benefits so you will need to take further advice.
Q. My girlfriend is on income support. She says I can’t live with her and the children because she will lose her Income Support and Housing Benefit.
A. Yes. If you move in with her you will be treated as if you are a couple, unless you can prove otherwise. If you are not working you will then have to claim Job Seekers Allowance for all of you and you can continue to claim Housing Benefit. If you are working then she will have to stop claiming Income Support and Housing Benefit because you are now supporting her and the children.
Q. If my girlfriend and I have a double room in a shared house and she is working and I am not, will I still be able to claim LHA?
A. They will treat you as a couple and take her income into account so unless she is earning very little you would probably not be entitled to any LHA. But it’s best to check with the local council to be sure.
Further information
Your Local Council can tell you your rights and should be regulating private landlords.
For advice in England visit: http://england.shelter.org.uk/
For advice in Scotland visit http://scotland.shelter.org.uk/getadvice/
For advice in Wales visit http://www.sheltercymru.org.uk/shelter/home/
For advice in Northern Ireland visit http://www.housingadviceni.org/
There are several websites offering property to rent. These can vary from place to place and some will be more expensive than others so it’s best to put something like ‘Flats to rent in ......’ into a search engine and see what comes up. There are also some that specialise in house shares eg: www.spareroom.co.uk; www.easyroommate.com; www.roombuddies.com; Most are free to use but some charge you for registering with them.