?Prevention is better than cure. There are far more good tenants than bad but carrying out the correct due diligence to find a good tenant in key.
The Renters Reform Bill being introduced to Parliament will bring an end to Section 21 “no fault evictions”.
At present, landlords can use Section 21 to evict renters at the end of their tenancy without providing a reason, as long as they give them two months’ notice.
Landlords can still use Section 8 to get rid of tenants who wreck the property or stop paying rent.
However, this involves going to court, which can take more than six months.
A problem tenant is any landlord's worst nightmare, costing potentially thousands of pounds in damage or unpaid rent.
Here, Sherrelle Collman, Managing Director, Caridon Landlord Solutions, specialising in Universal Credit and Housing Benefit advice for private landlords, looks at how to avoid a bad tenant.
“Prevention is better than cure. There are far more good tenants than bad but carrying out the correct due diligence to find a good tenant in the first place is key. Landlords should consider instructing a reputable letting agent that is a member of a trade association and one of the government approved redress schemes. They will help with finding a suitable tenant, carrying out necessary checks and fulfilling the landlord’s legal obligations.
Whether using an agent or not, the most important measure to take in avoiding a rogue tenant is thorough referencing. This provides evidence that the proposed tenant is who they say they are, can afford the rent and has honoured past tenancy agreements. The information provided can be used to trace tenants should they abscond, or leave owing money.
Extra precautions, such as asking for three months’ bank statements, can help catch out potential fraudulent tenants. Landlords or their agent should take time to compare addresses shown on the application with those shown on the ID documents and any utility bills supplied.
Landlords should always keep a written record of all communication with tenants which may later be relied should the landlord need to start eviction proceedings.”