Totally stuck

[trudd]

it's amazing how 5 months out of work can bu**er up your entire life!

My husband lost his job 3 years ago for a few months. Long enough for us to get suspended repossession...we sold up before they took the house.

Because the job loss gave us a bad credit when we started renting we paid up front with money from the house.

Plan was we would replace it with wages. But after a couple of month husband's wages were cut by 2/3rds (retail, credit crunch etc). can't get much benefit as £300 of his wages goes on the train ticket (they won't move him nearer home, he can't quit so stuck with it) and benefits don't acknowledge that. So we've been living off savings. His wages are now finally back up to normal.

Where I live for me to work I'd be no better off as we have 3 children, although I'm trying to start a business where I'd need no childcare to pay for. But I can only do that if I have somewhere to live and internet.

 

Anyway savings are all gone now. We paid up until November. We won't pass credit check I'm sure (they use Homelet), no ccj's but I imagine the mortgage arrears we used to have will look awful.

There are no private landlords here, if there are they hide blimming well.

The one person in our family who could be guarantor can't be because he has somekind of agreement with his mortgage.

 

We can just about afford to rent a smaller house (this is a bit big because we had one weekend to find a house after exchanging contracts, this was the only one in our town), just can't get passed this credit thing. All the council and shelter tell us is to stay put until forced out. I don't want to add more black marks to my name by annoying a landlord who doesn't deserve this.

Then we'll get rehomed miles away in another town away from my childrens' school and where I do volunteer work.

So frustrating, in a few months time I'll be making in a day what my monthly rent is!

Is there anyway around this credit thing when you can't get a guarantor?

Edited September 28, 2009 by trudd

[trudd]

Surely not everyone with a bad credit record go homeless! There must be some way round it.

[trudd]

I've found somekind of of insurance called Rent guarantee, but it's only for landlords. Does anyone know of one for tenants?

[andrewquinn]

it's amazing how 5 months out of work can bu**er up your entire life!

My husband lost his job 3 years ago for a few months. Long enough for us to get suspended repossession...we sold up before they took the house.

Because the job loss gave us a bad credit when we started renting we paid up front with money from the house.

Plan was we would replace it with wages. But after a couple of month husband's wages were cut by 2/3rds (retail, credit crunch etc). can't get much benefit as £300 of his wages goes on the train ticket (they won't move him nearer home, he can't quit so stuck with it) and benefits don't acknowledge that. So we've been living off savings. His wages are now finally back up to normal.

Where I live for me to work I'd be no better off as we have 3 children, although I'm trying to start a business where I'd need no childcare to pay for. But I can only do that if I have somewhere to live and internet.

 

Anyway savings are all gone now. We paid up until November. We won't pass credit check I'm sure (they use Homelet), no ccj's but I imagine the mortgage arrears we used to have will look awful.

There are no private landlords here, if there are they hide blimming well.

The one person in our family who could be guarantor can't be because he has somekind of agreement with his mortgage.

 

We can just about afford to rent a smaller house (this is a bit big because we had one weekend to find a house after exchanging contracts, this was the only one in our town), just can't get passed this credit thing. All the council and shelter tell us is to stay put until forced out. I don't want to add more black marks to my name by annoying a landlord who doesn't deserve this.

Then we'll get rehomed miles away in another town away from my childrens' school and where I do volunteer work.

So frustrating, in a few months time I'll be making in a day what my monthly rent is!

Is there anyway around this credit thing when you can't get a guarantor?

 

 

I really am at a loss to your post. I dont understand what you are trying to do?

 

Are you wanting to move or what?

[trudd]

We are paid up until November, after that we have to be credit checked. We will fail because my husband lost his job a few years ago and it ruined things.

We also want something cheaper, we ended up in a house a bit too expensive because we sold our house and had to find one immediately. It was the only place (apart from a ridiculous mansion and a studio flat) around that week.My father in law is unable to be guarantor with this much notice (he can in a few months though).

[MrShed]

I've found somekind of of insurance called Rent guarantee, but it's only for landlords. Does anyone know of one for tenants?

 

Yes you can - its called Income Payment Protection Insurance (or just Income Insurance). Check it out.

 

With regards credit check, I think you will be surprised. No CCJs, so I think you will be OK. Mortgage arrears alone would not ring major alarm bells for most of the credit check agencies.

 

Also, a landlord/agent will appreciate "open and honest" approach - let them know you had problems, but that is now sorted, with some black marks on your record.

 

Perhaps offer to pay a higher deposit if you are still stuck.

 

All in though, I think you are probably worrying too much.

[trudd]

Thanks, I know all about PPI...we were missold ours on the mortgage..hence the arrears!

But I was thinking more of an insurance that would guarantee my landlord gets paid. Perhaps if I offer to pay for rent guarantee insurance like Homelet do for him.

I know I am panicking, but one friend who has rented lots said just having a default on your record will ruin things. It's the last minuteness of this.

The fact I won't know until the last minute what is going on, I don't like the uncertainty of it a month before Christmas when I have 3 children!

I can't apply for a credit check now as I don't know which agency I'll find a house with.

[MrShed]

Thanks, I know all about PPI...we were missold ours on the mortgage..hence the arrears!

But I was thinking more of an insurance that would guarantee my landlord gets paid. Perhaps if I offer to pay for rent guarantee insurance like Homelet do for him.

I know I am panicking, but one friend who has rented lots said just having a default on your record will ruin things. It's the last minuteness of this.

The fact I won't know until the last minute what is going on, I don't like the uncertainty of it a month before Christmas when I have 3 children!

I can't apply for a credit check now as I don't know which agency I'll find a house with.

 

Income protection is not, at all, the same as PPI sold with a loan/card.

[trudd]

Ahh thank you. I had look around and found Tenants - Lifestyle Protection Insurance for Tenants | iProtect do you think something like this could help persuade a landlord/agency to taking us on?

[MrShed]

It could, very much so.

 

Ultimately, you wont know until you try and get a property...

 

As I say, personally I feel you are in a much stronger situation than you think.

 

Apart from anything else, I would estimate that less then 40% (probably MUCH less) of landlords (especially private landlords) actually perform any credit or reference checks.

[trudd]

Thank you! I am a worrier though, had so much bad luck I expect the worse. So frustrating as we've struggle on one income for so long and we almost there, at the finishing line, finally I can work again and this happens!

 

I'm working on finding a private landlord, not sure any exist in my town. I'm trying gumtree but I just get spammers. There are so few 3 bed properties available (just 3 at the moment) they can afford to picky unfortunately.

I'll talk to my husband about this insurance. If anything it might show we are prepared. That our past hiccup that ruined our history has taught us a lesson in preparing for such things.

Thank you!

[trudd]

Oh great even worse now. Apparently as we get partial housing benefit top up we cannot rent, they all want guarantors. So we are homeless in 3 weeks, council won't help as it's our fault apparently.

We can afford the rent. It's just hopeless.

[Steve__M]

Are you able to pay your rent?

 

If so, then do as Shelter say. Stay put. Pay the rent in good time and hope that the agent doesn't take action.

 

Agents are keen for people to renew tenancies because they get a commission - often from both tenant and landlord. Landlords benefit from new tenancies because it is security, but they are less likely to kick out a paying tenant.

 

Have you actually been served with a Section 21 - sometimes agents serve them right at the start of the tenancy.

 

As a landlord, the only rent guarantee schemes I'm aware of are those in which the guarantor takes on responsibility for kicking the non-paying tenant out ASAP. I suspect that the landlord would not be able to get a policy for the same reasons that you can't.

[trudd]

Not if I want to eat! That's why we can't afford another 6 months. It's also way overpriced now, houses this size are going for at least a hundren pound less now.

The agent are already sending people round to look at it. I've not had a section 21...if I had it would make life easier!

[danielr]

Don't worry about people looking round, this is standard, I assume that the estate agents have asked you if you want to renew? and you haven't replied, or told them no?

 

I see three things that might help you:

 

(assuming that you want to go).

Why not ask the estate agents to send you a section 21 eviction notice? that way you can take this to shelter/the council and they will actually do something! and you get to continue living in your house whilst that is being sorted.

 

 

Consider that the estate agents also know you, they know that you are good for the money! so perhaps try looking for a new house with the current estate agents.

When I was looking for a new place I did agree in principal with the estate agents that I wouldn't have to pay a deposit up front, and that I could pay within the first month of tenancy, (when my existing deposit was returned). again, it was easier for the estate agent to be flexible so that they could continue to rake in their commission.

going with the same estate agents may mean that they have kept your credit check results from your last tenancy agreement, so you may not even have to pay for a new credit check. and the last landlord reference will be them!

 

 

(assuming that you'd prefer to stay)

Also if the rent is too high then perhaps consider discussing this with the landlord/estate agents.

 

The last two properties that I've lived in I've viewed the property mindful of the fact that the rent is a little high (top of my budget), and instructed the estate agent that I would like the house, but feel that the rent is too high.

 

you don't say exactly what your rent is... but you could perhaps try asking the estate agents to approach the landlord asking to lower the rent.

 

In my example I got the rent lowered by £100 Per month by just asking. (from £1600 to £1500) in the end the landlord too a hit of £1200 in a year rather than loosing £1500 (or £1600) per month for all the time his property was left empty. -which could have been a limitless figure!

 

At the time a part of the condition of this was that I took a 12 month lease rather than a six month lease.

You have a family and kids, so this could also work for you? I mean you're settled in the current house etc, so not moving is better than moving? and guaranteeing a 12 month lease can be negotiated as a 'selling point' for asking the rent to be lowered a little.

 

 

Basically what I'm saying is it looks like you view yourself as a problem to the landlord, like they really shouldn't have to deal with your hassle.

 

but that's not true.

if you move out and the house sits empty for a month the landlord will loose money, and the estate agent will loose money.

it's in their best interests to try to keep you in the house and keep you paying rent. -use this to your advantage!

 

 

 

 

if you want to further tip the balance in your favour, then be difficult.

start refusing a few visits from the estate agents. say that there isn't enough time, that you're busy, tell them that you're working nights and will be asleep during their requested visit time. -don't refuse them all, just a few.

 

make the house messier

rearrange things to make the place appear smaller.

 

make the house harder to shift to new renters, if the landlord sees that he can't get more people in, he's more likely to want you to stay.

 

underhanded -yes

illegal - no

[Emma1973]

make the house harder to shift to new renters, if the landlord sees that he can't get more people in, he's more likely to want you to stay.

 

Or see them as obstructive tenants who dont pay their rent, and is unlikely therefore to give them a good reference when they do leave?

A lot of landlords would rather take the hit of an empty property for one or two months rather than having to evict tenants which can take up to 6 months with no rent being paid!

 

 

Anyway, thats a seperate subject!

Have you been served with an eviction notice yet? A Section 21 or Section 8?. How much is your arrears so far, is it 8 weeks or more?

 

Shelter are indeed right to tell you to stay, you have to be served the proper notice, then the landlord has to go to court to get a possession notice. If you carry on paying what rent you can, the judge is less likely to kick you out immediately.

 

Meanwhile phone the local HB office and ask about Discretionary Housing Payments or look on your local council website, this is a top up to Housing Benefit. Also check you are getting all the benefits you are entitled to.

[danielr]

you have a right to refuse visits, that's not obstructive.

the OP says that rent was paid in advance to November, so there are no rent arrears, I don't see where you get the idea that they don't pay their rent.

 

I don't see why the landlord would need to evict a tenant, or what grounds for eviction there would be... (in this case).

 

 

besides which, the advise I gave way to try to renegotiate the rent given the current stalled economic climate.

 

certainly it's worked for me twice before that just asking them to consider lowering the rent has worked, I've gotten a better deal. and they've gotten a better deal as over the year they still make more money with reduced rent for 12 months than no rent for 1 or 2 months (i.e only rent from ten or eleven months)