Quick question for the Landlords/tenants on here

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Quick question for the Landlords/tenants on here

58 posts & 28 voices | Started 4 months ago by renton | Latest reply from renton

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renton - Member

As some of you on here are aware Ive been having issues with my current tenants we have issued them a section 21 and this means they are due to leave on the 11th feb.

Ive asked the letting agent(as crap as they are) to readvetise the house and at the recommendation of a friend Ive also advertised it on gumtree.

Now I only put it on gumtree yesterday and within a couple of hours I was left a voice message from a lad who would like to move in.

He doesnt want to go through the letting agent due to "unreasonable fees" however he has offered to pay 4 months rent and a large deposit upfront ??

He has also said he can supply me with credit checks, a gurantor and references from previous landlords (he is currently in council housing so how does that work)

He has also said that he has proof that he has £8000 savings.

Am I just looking into this too much and being a bit to cautious ?? it all sounds to good to be true.

I cant understand why he wont use the agent due to the fees but yes is willing to put down quite a large sum of money upfront??

What do you think?

cheers

Steve

Posted 4 months ago #
alba23 - Member

Offer him a discount if he pays for a year in advance using his savings. You have been stung before dont let it happen again. I read your previous threads. Lots of people seems to think all landlords are here just to make a tidy profit.

Posted 4 months ago #
Bear - Member

ask for a cut of the profits from the first crop.......

Posted 4 months ago #
paulosoxo - Member

There's a reason why you appointed an agent to start with.

Posted 4 months ago #
paulosoxo - Member

Bear, I was thinking exactly the same.

Posted 4 months ago #
renton - Member

Bear what do you mean profits from the............ ah hold on !!!!

Posted 4 months ago #
enfht - Member

Either a pimp or a rent boy imo. Maybe ask him which.

Posted 4 months ago #
geetee1972 - Member

If you don't get an independent credit check then your landlords insurance won't be valid.

I don't understand why the agent you've appointed is charging the tenant though. My agent, and the others I've had over the last six years, have always charged me for finding the tenant, usually a big chunk of the first month's rent.

Besides, if this chap is so 'liquid' and he really wants the place, then why wouldn't he just pay the fee? If he's making a big play for you to go outside of the agent there could be a reason for that.

Posted 4 months ago #
Rusty Mac - Member

It does seem a bit fishy, i certainly wouldn't be offering over the odds to secure a place a month before it comes on the market. Have you spoken to him, met him? Have you done any checks on the referances he has given, I always call them and google the companies to see if they exist.

Flip side is he may be super keen and have been using council housing as an affordable way to live to save for a property or something.

Posted 4 months ago #
Rusty Mac - Member

I don't understand why the agent you've appointed is charging the tenant though

Plenty agencies up here in Aberdeen burn the candle at both ends - something i have never understood.

Posted 4 months ago #
timbur - Member

Get an agent and if he behaves don't worry about using the agent after 6 months at renewal.
He's far too LIQUID as said above.
The agents charges the tenants to register and for credit checks. Agents think it's christmas everyday but give little and take lots! (only imho and I'm sure there are some good ones out there but they are few and far between)
Tim
:andlord and ex. property agent (commercial, not resi!)

Posted 4 months ago #
don simon - Member

Lots of people seems to think all landlords are here just to make a tidy profit.

It's a business, isn't it? If it's not just to make a tidy profit, what is it?
I would assume there's a reason he doesn't want the agent involved, would that be because the checks that they do are more thorough? What does you business head tell you?
Sounds a bit iffy if he is offering so much up front.

Posted 4 months ago #
BruceWee - Member

After my last experience with a letting agent I would only deal with a landlord directly now. Not because of fees but because they are a bunch of arseholes.

Posted 4 months ago #
hels - Member

Was he calling from Nigeria ? Next he will be wanting to pay the deposit, then pulling out of the deal and wanting his money back in cash. Meanwhile...

Posted 4 months ago #
hels - Member

Don Simon and others, for the millionth time - lots of people rent their flats due to circumstances, not to make money, I believe renton was re-located with the British Forces.

I certainly don't exist on a diet of cocaine and hookers.

Posted 4 months ago #
ebygomm - Member

Big up front rental payments are associated with cannabis farms in this area

Edit: ah, read the thread and see it's already been mentioned

Posted 4 months ago #
renton - Member

He has said that the letting agents charges are a bit unreasonable.

£160 apllication fee
£30 extra for his wife
£60 to renew at the end of the 6 month contract.

Ive not met him yet only spoke to him and exchaged a few emails, certainly doesnt sound like a druggy.

He has given me a bit of info about himself and Ive googled it this morning and it seems to check out.

for instance he told me he is a music teacher and that the reason he wants my house is because he is trying to locate near his wifes parents house just around the corner from it.

Ive googled his name this morning with the words "music teacher" and it brings up a website called http://www.musicteachers.co.uk which all seems legit. he has his own page on there and in his contact details is the postcode of the address his wifes parent live at.

so it seems it all ties in!!

what do you think??

Posted 4 months ago #
steve44 - Member

Where are you located? We use a fantastic agent i south devon

Posted 4 months ago #
don simon - Member

I think I might have to agree on the tenant paying the agents's fee, I mean why? What work has and does the agent do on behalf of the tennant?
I does, IMHO, set a precedent for you and the market in that you are at risk of seeing a 4 month deposit as the norm and begin pricing yourself out of the market.
Is it not possible to contact his employer or see a contract of employment?

what do you think??

I think it's yoour property and your income, make your own decision or I'll start charging for advice...

Posted 4 months ago #
renton - Member

looking at the site i would say he is self employed!

I also get charged quite a bit by the letting agent for the "admin fees" from the first months rent payment

Posted 4 months ago #
geetee1972 - Member

Don Simon and others, for the millionth time - lots of people rent their flats due to circumstances, not to make money, I believe renton was re-located with the British Forces.

Quite. I am a forced landlord. I lived in my flat before I met my wife and now I rent it out. For a long time it lost money, about £2k a year. It would do now if the loan wasn't now in the family.

I would love to sell it, but the market for flats in chester collapsed as a result of massive over supply and my place now seems to be worth 30% less than I paid for it. I would clear if I can do it without having to pay to do so.

I'm not complaining, it's just how things are. But what it is not, is a business venture (more like a bloody millstone!)

As an aside, I do like the fact that I can give someone a home at a reasonable rent.

Posted 4 months ago #
don simon - Member

Don Simon and others, for the millionth time - lots of people rent their flats due to circumstances, not to make money, I believe renton was re-located with the British Forces.

I can imagine the shock of being a member of the forces AND being asked to relocate!!!
As that is the case renton would have been better putting the money to one side and making living arrangements better suited to his job, no?
As you will also recognise, I am actually offering advice and help.
What has to be recognised is it is a business albeit a loss making and time consuming one at the moment and the sooner it is treated as such, the better.
If it isn't a business and money isn't a motivating factor, why are we having this discussion?
@ renton, even as a self employed person there has to be some kind of track record of earning, no? Then it'll have to come down to your gut feeling. if you feel good- go for it. If, as you sound, it makes you nervous, go with the security of the agent and suck up the costs.
Life, as they say, can be a bit of a bugger.

Posted 4 months ago #
alba23 - Member

Don simon
My friends brother had a carccrash an was out if work for 8 months. He needed looking aftercand could not get up the stairs to his flat. He rented his property out. Not really a business and a way to make a tidy profit

Posted 4 months ago #
renton - Member

I dont want this thread to turn into a crappy renting out for porfit load of arse thread again, that was done to death on the last one !!!

I was merley asking peoples thoughts on this chap and his offer.

To behonest I think im going to tell him that ideally i want to go with the agent for the next 6 months as im due to go to afghanistan agin in feb and havent got the time to sort out credit checks, references etc.

once the 6 months is up i wil more than likely bin them off and reduce his rent a little.

Posted 4 months ago #
don simon - Member

To behonest I think im going to tell him that ideally i want to go with the agent for the next 6 months as im due to go to afghanistan agin in feb and havent got the time to sort out credit checks, references etc.

That would, under the current circumstances, appear to be the best option.

Posted 4 months ago #
hels - Member

Don Simon - just because money is a motivating factor doesn't make something a business, renton is concerned with having a problem tenant, not because that will impact on his profit margins.

There are many many organisations that deal with money in a not for profit way, charities, cultural organisations, local cycling clubs. They don't want to have legal problems and run up debts either. That doesn't make them a business either.

If you treat a private rental arrangement forced on you by circumstances as a business then you really are deluded.

You may be offering help and advice, but it's not very good or well informed.

Posted 4 months ago #
don simon - Member

You may be offering help and advice, but it's not very good or well informed.

Fair enough, I'll sit back and wait for the next installment.

There are many many organisations that deal with money in a not for profit way, charities, cultural organisations, local cycling clubs. They don't want to have legal problems and run up debts either. That doesn't make them a business either.

I think you might actually be wrong on this. One of the biggest and most successful charities in Spain, ONCE, is very much a business. A mate of mine who works for a pharmaceutical comapany is working alongside a charity to amke them think more like a business. When I worked on the committee of a local sports club, it was run as a business.
If they are working with money, of course they are businesses if they want any kind of future.
If you are not making money from the rental, sell the property!! It was bought as an investment, something for the future.
Even charities and sports clubs can see the need to be more professional and business like if they want to survive.

Posted 4 months ago #
FunkyDunc - Member

Personally I wouldnt care if you told me you had £20k in savings, its irrelevant.

As above if he's not going to spend the money on other things, suggest that he pays all the rent in advance for a little discount. As hes not spending it he shouldnt mind.

Speak to the housing officers at the council and see if he has been a good tennant. Do your own credit checks, it really doesn't take any time what so ever.

Don't complain about crap tennants and expensive agents and then not be prepared to simple, quick and easy checks.

Ask to meet up with him too, sounds daft but at the end of the day gut feeling has made the decision on when I have gone for tennants I have had in property.

Posted 4 months ago #
philconsequence - Member

cannabis farm +1

most music teachers i know (and some very well regarded ones) dont make that much, he's selling children for drug money and growing canibals in your house.

Posted 4 months ago #
althepal - Member

I'm a private landlord, use a letting agent but through my wife's work. Know my agent pretty well, as much as it is a business all round he's a decent guy who can come and go a bit. I pay a fee for their services which comes out the rental income so no tenant= no fees for him. No arrangement fees for tenants tho!!
Rent it out as im in negative equity with it at the mo and theres good demand for rental properties here at the mo.. Rent is determined by the level of benefit folk receive so never gonna make a massive profit and as the op will no doubt appreciate I have to pay the mortgagefees, insurance and upkeep. Look on it more as a long term investment rather than short term profit making enterprise. Oh aye, also pay tax on any profits too (oh good its January again!!)
It does sound a bit strange but if your agent is charging fees like that I can't blame them!!
I know someone that rents from a friend so it's kinda informal- she did get proper tenancy agreements from a website though so it's all legal and proper.. If you have a friendly solicitor they could prob draft you something up or google for something yourself. Re credit checks, you could get him to run one on himself but you'd need to know the info noted was accurate!! There must be a solution somehow to that issue as well..

Posted 4 months ago #
randomjeremy - Member

It's not necessarily dodgy, one of my tenants used to pay yearly up front in cash for a big discount. He was self employed (owned a burger wagon) and had plenty of cash but a patchy credit record. By paying up front it "took the pressure off" apparently - Never be surprised at human behaviour is what I'm saying.

Posted 4 months ago #
Mrs Toast - Member

I wouldn't be too judgemental about the prospective tenant wanting to go privately, the local letting agents, and one in particular (hello Accord) are widely reviled for their excessive fees and general incompetence.

Only yesterday one of my colleagues put out a company-wide email, asking if anybody knew of private landlords, as he didn't want to go through an agency because of the fees. His current landlord has suddenly put his rent up by £200 a month - when he contacted the landlord directly, he said it was because the agents kept on hassling him about how much extra he could charge. It's in the agency's interest to keep people moving from one property to another, because setting up a new tenancy gets them over £450 in fees, whereas a contract renewal only gets them £125 every six months.

Posted 4 months ago #
nealglover - Member

As a self employed person, with no history of renting (always owned) I found it hard to satisfy landlords that I was trustworthy etc when I first split from my ex and tried to rent.

I did the same as this guy is doing. Offered to pay a large chunk of rent up front etc.

(And agents charging tenants a fee is Virtually extortion, they did nothing on my behalf, why should I pay them !)

Some people have savings, it doesn't mean he's a drug dealer !!!

It probably means he doesn't spunk all his money on a garage full of bikes though.

Posted 4 months ago #
Elfinsafety - Member

You may be offering help and advice, but it's not very good or well informed.

Well, seems like Dondon's merely saying to treat renting out a property like any business transaction/activity, which I'd say is actually very sound advice.

The problem I see all too often, is that people seem to think that owning then renting a property should be a simple straightforward easy thing, and that they can just sit back and relax, collect the rent and all is cushty.

Would you run a business like that? No, cos you'd be stuffed within a short time.

If you want things to run as smoothly as possible, then you need to be on the ball with everything, and that means knowing what your rights and responsibilities are, how the system works, and praps most importantly (and this is the bit too many people overlook), have contingency plans set up for any eventualities. Such as what to do if the boiler breaks, or there's a flood, etc. And to have enough in reserve to cover for stuff such as non-payment of rent; having enough to cover the period you need to serve as notice, plus a month or two beyond that, so that you can at least continue to pay the mortgage if the tenants aren't paying their rent. Personally, I'd want to be a year ahead in terms of being able to pay the mortgage, before I felt comfortable with renting a place out, but that's just my natural paranoia.

Worst Case Scenario. Be prepared for it, cos if it does happen, you don't want to be caught out.

Unless you're renting to someone you have complete trust in, it's a business arrangement. Pure and simple. Seeing it any other way is just folly.

Posted 4 months ago #
renton - Member

well Ive emailed the chap asking him if he minds me carrying out my own credit checks etc.

if he agress then cool I will get them carried out(been recommended a site called visum to use)

if I dont hear back or he says no then perhaps he isnt the tenant for me.

just another thing about inventories.. do the tenants and myself both have to be there when i do it ??

cheers

steve

oh and i do occasionally ride a bike too!!!

Posted 4 months ago #

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