I’m hoping that those who rent out property could offer some help and advice. My girlfriend’s first and only tenant of more than 3 years has told us that he is broke and can’t afford to pay the rent. He’s said he’s moving out this weekend (he has somewhere else to go) he has a contract till January. We’re not too bothered about the contract however we know there is some damage within the house e.g. holes in the plaster and damage to carpets etc. I was wondering where do we stand with his security deposit? The contract states that the house must be professionally cleaned by the tenant before moving out, how much weight that holds I don’t know. We do know the house needs some money spending on it before another tenant can move in. He does owe some rent which he can’t afford to pay also, does this hold to claim over the deposit?

What’s the best way to find new tenants? We’ve spoken to a few agencies; one says they have a tenant interested as the property is ideal for them. This would be for 6 months initially however they charge in excess of £800 fees (taking into account rental and other fees) which for a 6 month contract seems extreme. Obviously I’m going to negotiate however I’m new to all this so I’m unsure how much success I’m likely to have. Any recommendation would be appreciated? Thanks.

Just hold as much of the deposit as needed to cover your losses itemise this tot eh tenet and return whats left of the deposit

As for getting tenets – don’t pay agency fees – just advertise on gumtree. Thats what I do. Agents are an utter waste of space but do make sure you get the correct legal tenancy documents

IIRC you have to refund the balance of the deposit within 28 days of the end of a lease – this is slightly different.

Otherwise what TJ said really

Sounds like you have been not as unlucky as you could have been – at least he is leaving !

I have always used an agent as saves loads of hassle – but £800 is way too much mine take about 10% of the rent and that includes all the inspections etc and insurance against defaulting tenants. (which may be a rip-off but hoping I won’t have to find that out)

Do a proper check out inventory and condition report based on photos/condition report made when the tenancy commenced.

Get quotes for work to remedy including the deep clean.

Submit those together with any comments on rent shortfall to the tenant and see if he agrees.

read 3.15-3.17 of this
http://www.communities.gov.uk/documents/housing/pdf/138286.pdf

Take photographs of the damage and keep copies of every repair bill. Have both countersigned.

Agencies are only worth bothering with if your out of the country or live at distance and can’t arrange/be at the property in a hurry should an issue arrise. They hardly negotiate on price (in your favour) and nearly always have a client who would be ideal and is looking in your area as soon as you contact them. This is our experience as both tennents and landlords.

How is the deposit held? Is it cash in your bank or in one of the government deposit schemes?

I’m guessing cash in the bank as they’ve been there 3 yrs. Just keep the deposit and give them a letter itemising the rent backlog, damage repair costs etc. I’m guessing that these will exceed their deposit. If not, give them the loose change which is left over.

New tenants…I’ve always had mine from gumtree. Don’t be tempted to accept the first person that wants to move in if you don’t get a good feel/vibe from them. I’ve never had any problems with mine (touch wood) but I’ve not accepted some people that wanted to move in.

AS doosuk says – we have ours at a relativly cheap rent so when advertised on gumtree we get a dozen or more prospective tenets to chose from.

Don’t be tempted to accept the first person that wants to move in if you don’t get a good feel/vibe from them.

This – and i feel agencys just dont do that – they just take first person to give an offer – easy to end up with crap tennents.

coupled with as a tennent i actively avoid agents unless absolutely unavoidable. bitter from past experiance due to agents doing the absolute minimum they can get away with where as both my gumtree houses have had landlords who care about the houses and have no issues with fixing stuff asap

I found a very reasonable agent, who got my house rented asap, charges are very reasonable* as they had a client list, and I didn’t know where to start even advertising, let alone checking out potential tenants. I am offsetting the charges against the time and money I would have had to paid out to get a decent tenant and the rent missed having an empty house.
So not all agents are the same, and it allows me the seperation I want from the tenants (no phones call late at night or on my weekend off).

* = compared to two other ‘major’ agents I approached

The deposit is help in a bond by the agent who initially rented the property out. They only charged £300 though. They’ve being a bit arsey about the deposit saying it goes back to the tenant. But like you say we need to prove the costs incurred which we’ll do.

It does make me think about the agent that “says” they have an tenant waiting. As they wanted a contract signing asap etc.

I’ve never used Gumtree but will have a look…

Rent it out cheaply (i.e. at a cost anyone can easilly afford) to an individual or family who needs a home, can’t afford to buy, and you trust will treat it like their own home. V good karma for you. Less hassle for you. Make the world a better place. If it’s money you want, sell the property and relax. If it’s a regular income you want, get a better job and prosper from your own talents.

What do you do if you have a potential renter who is from an ethnic group that is, statistically speaking, likely to make the place smell of strong foods? Do you just put it down to the luck of the draw, or insist on replacement of soft furnishings when they leave, or do you refuse to rent to them (is that even legal?).

Dont think you can legally use the deposit for unpaid rent, damage only.

Though at £300 that wont cover much of the damage (especially if you get professionals to do the work).

You can pick up books off amazon for about a £10 guiding through the landlord process. Cheaper than agents (who dont do much once the tenancy is setup).

dooosuk

Just keep the deposit and give them a letter itemising the rent backlog, damage repair costs etc. I’m guessing that these will exceed their deposit. If not, give them the loose change which is left over

Yeah, just do what this guy says and **** the tenant over. He’s got no money so he won’t be able to take you to court. He’s only been paying your mortgage for you for three years so you don’t owe him anything. Bleed him dry. The deposit is better lining your pocket than his.

Or you might want to consider that it’s been three years so heavy wear and tear is to be expected and you could just remind him that he needs to clean it before he leaves and try to give him as much of his deposit back as you can afford as he obviously needs it.

Yeah, just do what this guy says and **** the tenant over. He’s got no money so he won’t be able to take you to court. He’s only been paying your mortgage for you for three years so you don’t owe him anything. Bleed him dry. The deposit is better lining your pocket than his.

Or you might want to consider that it’s been three years so wear and tear is to be expected and you could just remind him that he needs to clean it before he leaves.

If there are holes in the plaster and damage to carpets, that’s not just normal wear and tear, now is it?

And you’re entitled to use a security deposit against unpaid and contracted rent (from http://www.landlordzone.co.uk/deposits.htm)

What exactly should the deposit secure?
The usual items are listed below, all of which should be referred to in the letting agreement.
•Damage to the property, landlords fixtures, fittings and furniture – beyond normal wear and tear
•Cleaning – for example, a cooker or carpet cleaning.
•Rubbish removal – tenants may leave unwanted items of their own such as furniture or general rubbish both inside and outside the property.
•Unpaid rent.
•Any unpaid account which vendors may attempt to recover from the landlord – generally speaking this does not apply as the contract for the supply of goods or services is usually between the vendor and the tenant.
•Replacement keys/locks when keys are lost or not returned. If keys are not returned it is a landlord’s duty to change the locks.
The letting agreement should state what can be deducted from the security deposit and under what circumstances. For example, if damage occurs during the period of the tenancy then the repair may be funded from the deposit and the tenant would then be required to make the deposit amount up again to its full amount.
Tenants often fail to realise just how much things cost. If a landlord brings in someone to clean a cooker or remove rubbish the charge is often much higher than the average tenant would realise, or is generally be willing to pay.
It’s a good idea, when you receive notice from a tenant, to send a “Move out Letter” reminding the tenant/s about cleaning and just what this might cost. For example, you might remind them to pay particular attention to cooker cleaning (professional cleaning will cost you £60, say) and carpet cleaning (might cost £200, say).

Overall, I’d not look to screw the guy over, but if he’s leaving several months rent unpaid and damage top the property, I can’t see how he’ll be getting anything back.

nickf

If there are holes in the plaster and damage to carpets, that’s not just normal wear and tear, now is it?

How do you know? There’s not much information to go on. Could be a door handle hitting a wall where there’s no stop. And it’s pretty impossible to live in a carpeted house for 3 years without damaging it in some way unless you can levitate.

How do you know? There’s not much information to go on. Could be a door handle hitting a wall where there’s no stop. And it’s pretty impossible to live in a carpeted house for 3 years without damaging it in some way.

I don’t know, and neither do you. But the mention of ‘holes’ doesn’t bode well, does it? As for the carpet, maybe I’ve been lucky, but the house I’ve been renting out for 5 years has not yet needed a carpet change, though it’s needed some pretty intensive cleaning over the time.

In any case, if the guy is departing without paying waht he owes, you’re entirely within your rights to claim this against the deposit. It’ll probably not cover everything, and the landlord and tenant will both end up out of pocket.

Professional cleaners are a bit of overkill if the tenant’s prepared to do a good job of cleaning (it takes a full day to do a house though, and many seem unwilling to take the time to save themselves a £250 bill). The only time they’re needed, in my experience, is with troublesome carpets, which a good cleaner will almost always be able to sort.

Yeah, just do what this guy says and **** the tenant over. He’s got no money so he won’t be able to take you to court. He’s only been paying your mortgage for you for three years so you don’t owe him anything. Bleed him dry. The deposit is better lining your pocket than his.

Or you might want to consider that it’s been three years so heavy wear and tear is to be expected and you could just remind him that he needs to clean it before he leaves and try to give him as much of his deposit back as you can afford as he obviously needs it.

How do they know he’s skint…it might just be a tale to get out of his contract early?

But hey, why not let him live there rent free for the next 3 years putting more holes in the walls etc.

I never said keep it all, I said take what the OP is owed and refund anything else (which there wont’ be if the deposit was only £300). Holes in walls are not wear and tear.

God love STW. Lots of useful advice here and lots of moaning tenants as well. Not everyone with a rental property is Van Hoogstraten you know.

Tim

dooosuk

How do they know he’s skint…it might just be a tale to get out of his contract early?

Well best to assume he’s a liar. He is a destitute house wrecking scum bag after all.

I never said keep it all

No you said this –

Just keep the deposit ….. give them the loose change which is left over.

Completely different. I apologise.

If everyone took time to read the text it would appear that the deposit *might* be more than £300. I read that as the agents only charged £300 but I could be wrong :Op

If everyone took time to read the text it would appear that the deposit *might* be more than £300. I read that as the agents only charged £300 but I could be wrong :Op

I wondered when anyone else would spot that…..

What is the normal deposit and damage money?

I am going to be renting out my flat in Bristol soon so really need to get up to speed on this. Going to first advertise on my local bike sites (as it is bike friendly with a bike workshop) and then expand to the Uni and hospital before hitting gumtree.

1.5 times a months rent for mine Andy.

Good luck. Good tenants are worth looking after.

lifes not nice but play fair. the guys fessed up he’s skint and leaving thats a plus. you cant hold him for rent for the rest of his agreement.
you must go down there and agree with him or without him but with a camera the remedial works required under his agreement. get at least one quote for each and present him with a final itemised bill and copies of quotes BEFORE you even discuss returning deposits. a deposit is just that payment in lieu of damage etc.
wear and tear to furnishings is all part and parcel but damage to plaster work etc is not.
the agency fees of 800 for a 6 month tenacy is way out of line 125 a month ! tell em to **** off there all skint at the moment and will murder for your business tell em its 12% a month ( inc vat) and thats there lot you arrange for the gas cert and insurance yourself ( 45 quid for gas and 125 pa for insurance)

I’ve always used an agency as I live 200 miles from my rental property so can’t offer a lot of advice. Other than the £50 or so a month it costs is well worth it. If you do decide to use an agency pick carefully, I’ve used 3 in the last 15 years and one was absolutely shit – which I only found out after the tenant left the property after 5 years and it was a right state. So much for quarterly inspections.

1.5x yikes, that will be about £900 then!

Oh I remember from dealing with shitty agents as a student that they have 28 days to make the deposit deductions otherwise they have to give it all back. Is that still the case with the new regs on keeping the money held separate?

jimjam – now play fair. I never said assume he’s a liar. Unfortunately in the world we live I was just making the point that you have to be careful and not always believe what people tell you in the first instance.

Are you actually a landlord yourself?

Anyway, the raw facts (that we have) are:

1) he’s behind on his rent already
2) he’s leaving
3) there are holes in walls

Now generally deposits are either 1mths rent or 1.5mths rent (it seems from the info given though that the security may be a little as £300 though). Given he’s behind with his rent, holes need repairing and the property may need cleaning if he doesn’t do it himself then I think it’s fair to assume that there is not going to be a lot left over. If the deposit is in a government scheme as a mentioned earlier in the thread (still not exactly been determined) then the tenant will have the chance to accept or argue the deposit the OP chooses to return to them.

Given my experiences…if people are behind on their rent and are leaving a property, they generally just accept it’s written off and don’t care too much about the state it’s left in. I hope for the OP that this is not the case (I don’t think it will be seeing as he’s been good enough to admit and move out without any hassle) and my faith in humanity can be restored.

The deposit should be in a protection scheme regardless of when the tenant moved in, otherwise you are liable for quite a big fine. If it is in a scheme, they usually have there own rules to follow.

The deposit should be in a protection scheme regardless of when the tenant moved in, otherwise you are liable for quite a big fine. If it is in a scheme, they usually have there own rules to follow.

Not if the tenancy started before April 6th 2007…but in the case of the OP it sounds like it should be. We just don’t know if the agent put it in one.

You could claim against him quite easily.

Personally I would just get quotes on the repair minus the deposit like TJ stated.

Make sure the Utility bills are finalised too!

I used to own a letting agency and managed 400 properties, mainly new builds to professionals but used to run a really tight ship on inventories, contracts etc. I had really low arrears and very little damage in general as I was very very clear that I’d expect properties to be left with fair wear and tear and not intentional damage.

On three occasions I deducted monies from security deposits and the tenant subsequently had me to small claims courts. On every occasion I produced an inventory signed by the tenant with ‘agreeable values’ for replacements, contracts that where crystal marked for clarity and were deemed fair etc and photographs of pre-tenancy and post tenancy with damage.

All three cases were gifted to the tenant on the basis the landlord ‘had the benefit of the rent’…. 🙄

On the last occasion I queried if the judge had ever rented a hire car and then torn the seats, spilled red wine on the seats and let his dog shat on the seats and then took it back and said to Avis/Enterprise etc ‘well you’ve had the rental’ and he said “absolutely not”.

My advice is use the money to do the repairs but if the tenant(s) starts small claims proceedings be prepared to pay up either before court or at court. If you lose the worst you have to do is pay the money + £35 costs and pay then or the CCJ will go on file after 7 days of non payment.

The courts weigh heavily against tenants as they still think a landlord is someone who jumps into their swimming pool of Champagne every morning ………..

If you have enough money to own two properties you should expect to pay for legal advice.
I appreciate a lot of landlords don’t make a lot of money, but they ain’t doing it for a warm heart. They’re making thousands out of a commodity that they have.

Housing should not be about money

I appreciate a lot of landlords don’t make a lot of money, but they ain’t doing it for a warm heart. They’re making thousands out of a commodity that they have.

They’re usually making hundreds out of a property they have invested tens of thousands in. I’ve seen both sides – tenants leaving the place in a mess, or minus my light bulbs and microwave, and landlords expecting me to pay for them to redecorate the place I lived for 5 years up to brand new standards. There are c*cks everywhere.

If you have enough money to own two properties you should expect to pay for legal advice.
I appreciate a lot of landlords don’t make a lot of money, but they ain’t doing it for a warm heart. They’re making thousands out of a commodity that they have.

Would’t agree completely with that, my mrs had a flat she could not sell that we ended up renting out (lucky if she was making £20 a month after bills were paid) after first tennant moved out we were a couple of hundred tarting it up. then rented it out to someone who defaulted on the rent and lost about 3 months rent, after that sold flat on at a substantial loss. we only own 1 propoerty now

Yeah, I’d write a summary of the HUGE profits I make renting my flat, but I am too busy snorting cocaine off of hookers.

Some good advice thanks. However to clear a few things up..

We’re not about to try and screw the tenant over. He’s been good over the time he’s been there. We’re not in the rental market by choice and we don’t have money to throw away so it would nice if the house was in a reasonable condition when the tenant left. General wear and tear accepted. We’re in a position we didn’t want to be in as we now have costs of putting the house back to a rent-able condition when in reality we shouldn’t have to as he’s under contract.

It will all be amicable and agreeable by both parties with no courts involved.

The deposit was 1 months rent @ £595 the £300 was the agents fees at the time. And yes the deposit in in a bond held by the agent.

I don’t really see there being massive problem was just after basic advice as it’s all new to me.