Rent arrears

#1
Hi. I'm about to serve a section 8 notice on my tenants due to their rent arrears. I'm planning to use grounds 8, 10 and 11 of the Housing Act 1988. However I'm beginning to have doubts as to whether I've correctly arranged rent payments made this year....
My tenants fell behind in March this year. The only payments I've received are from the Housing Benefit and the odd small payment directly from the tenants. Every payment I received I put towards the earliest rent arrears. E.g. March is now paid off from payments made in April, May, July and August! Have I done this correctly or should I have counted the payments from the Housing Benefit towards the months they were intended for? The reason I ask is that ground 8 asks that :

Both at the date of the service of the notice under section 8 of this Act relating to the proceedings for possession and at the date of the hearing—
(a) if rent is payable weekly or fortnightly, at least thirteen weeks' rent is unpaid;
(b) if rent is payable monthly, at least three months' rent is unpaid;
(c) if rent is payable quarterly, at least one quarter’s rent is more than two months in arrears; and
(d) if rent is payable yearly, at least three months' rent is more than three months in arrears;
and for the purpose of this ground “rent” means rent lawfully due from the tenant.

Am I still able to use this ground as the tenants (Housing Benefit) technically made payments on each (most) months but instead of counting the payments towards that particular month I counted it towards the earliest arrears. Right now May, June, July and August are shown as having no payments made on my schedule. Cheers, LEE.
 

Jeffrey Shaw

Member
Staff member
#2
Your version of ground 8 is obsolete. Here's the current version:

Ground 8

Both at the date of the service of the notice under section 8 of this Act relating to the proceedings for possession and at the date of the hearing:
(a) if rent is payable weekly or fortnightly, at least eight weeks’ rent is unpaid;
(b) if rent is payable monthly, at least two months’ rent is unpaid;
(c) if rent is payable quarterly, at least one quarter’s rent is more than three months in arrears; and
(d) if rent is payable yearly, at least three months’ rent is more than three months in arrears;
and for the purpose of this ground “rent” means rent lawfully due from the tenant.

Is this the same case as http://www.propertyhawk.co.uk/landl...£2000-in-rent-and-deposit-not-fully-paid.322/ ?
 
#4
After re-reading Ground 8, is it two complete months' rent that has to have been unpaid or could it be various underpayments over many months that equate to two months' rent unpaid ?
I'm getting myself in knots over this!!

Thanks,
Lee
 

Jeffrey Shaw

Member
Staff member
#5
Note that 'unpaid' does not mean 'in arrears'. Example:
1. Rent is £1000 pcm, payable monthly in advance at start of each month as from 1 July.
2. T pays in full on 1 July but nothing thereafter.
3. T owes two months' rent on and from 2 September, i.e. the sums which fell due on 1 August and 1 September.
4. But there won't be two months' arrears until 30 September.

How to do it:
A. On left-hand side of page, tabulate all sums due- date and amount of each. Show total.
B. On right-hand side of page, tabulate all sums received- date and amount of each. Show total.
C. On right-hand side of page, below its total, show amount by which the RHS total falls short of the LHS total.
D. If that shortfall equals or exceeds two months' rent, you can use ground 8.
 
#6
Thanks Jeffrey. I've created the table you mentioned below. The amount owing equates to over 4 months' rent. As you can see, payments were made over most months but this goes towards the earliest arrears.



Just to confirm, I could still Ground 8 based on this data?

Regards,
Lee
 

Jeffrey Shaw

Member
Staff member
#7
Yes, but- when using ground 8- always add ground 10 (and ground 11, if applicable- as it is here!)

As to your tabulation:
a. don't fixate on which receipt relates to which rent due;
b. omit fourth/fifth columns;
c. total column 2 to £3640.00;
d. total column 4 to £1549.39; and
e. enter at foot of column 4 the amount unpaid: £2090.61.
 

Meeta

New Member
#8
Hi Just a question on issuing a Section 8 notice for rent arrears.

How long does it generally take after the issuing of a section 8 to hopefully getting a possession order to get them out?

Regards
Meeta
 

Meeta

New Member
#9
Could anyone please advise me?

My tenants signed their 12 month fixed term contract on 27th June 2014. They paid one months rent in advance.

I had their first months rent on the 27th June as stated and received an email from the person I assumed to be their Landlord saying there will be given their deposit within 10 days of them leaving their previous property. I did question why the deposit hadn't been lodged in a DPS.

The 2 tenants seemed legitimate and I obtained work reference for 1 of them (as the lead tenant is on Housing benefit). They appeared to be genuine/nice couple however so I allowed them a few days grace for the deposit.....as time has passed, I have in the last couple of days realised that everything has been a complete sham (apart for the 2nd tenant's work place and reference).

They paid the July 27th rent almost a month late on the 22nd August. I had to meet her at a local supermarket car park to get it from her with promises of a standing order having been set up. No receipt was given.

The lead tenant is a compulsive liar and I am also convinced the former Landlord reference (an email) have all been concocted by her. The deposit never appeared and they haven't paid August 27th and September 27th rent. I have received persistent texts to say the money has gone out and then been recalled...just an abundance of excuses to keep me hanging on.

I have been over to the house a couple of times to discuss this with her but she is continuing to makes empty promises. I have also sent a formal letter outlining that I would like her to pay the 2 months rent arrears and that I would be willing to set up some kind of weekly instalment method. On asking her today, she said she could pay me £100 on the 17th October. I can not carry on like this with the continuous lies and texts and would like to issue a Section 8.

Am I in a position to do this now bearing in mind the above dates/rental payments etc

I would appreciate any advice...

THANK YOU