Hello! And a question about partner moving in

[Acura]

So this is where you're all hiding! Went onto the other forum a few weeks back and couldn't believe my eyes with all the spam Popped back on and see that it's all gone now, but so had you guys!

My question is about a current tenant. She has informed me her partner is selling his house and will be moving in with her permanently. I'm happy for this to happen, but not sure if there is anything I need to do regarding the contract.

He is her guarantor too, so does that complicate things?

I've rung the NLA and waiting to hear back from them, but in the meantime I thought I'd ask you guys

Thanks

[Mortitia]

So this is where you're all hiding! Went onto the other forum a few weeks back and couldn't believe my eyes with all the spam Popped back on and see that it's all gone now, but so had you guys!

My question is about a current tenant. She has informed me her partner is selling his house and will be moving in with her permanently. I'm happy for this to happen, but not sure if there is anything I need to do regarding the contract.

He is her guarantor too, so does that complicate things?

I've rung the NLA and waiting to hear back from them, but in the meantime I thought I'd ask you guys

Thanks

[Mortitia]

Hi Acura,

Mmm bit of a glitch there with the site.

No doubt you or your agent credit referenced the guarantor before your current tenant moved in? If not do it now or even do it again to be sure or if the circumstances of the guarantor have changed ie - he has got divorced and hence is moving in wiht your tenant..

I would make them both sign a new AST reflecting that they are both jointly liable for the rent/bills etc and that should cover all eventualities.

Mortitia

[Melboy]

Yes.... as Mortitia has said........New contracts required. Cut and dried and no grey area's to contend with.

Mel.

[Richlist]

Have you thought about taking out rent guarantee insurance ?

[Grampa]

But you now wont have a guarantor as a home owner. You need to ask for a new guarantor or maybe get 6/12 month up front.

[Acura]

Thanks everyone

The NLA came back to me and said that actually nothing needs doing. My contract is still with my tenant, and the fact her partner is her guarantor and is selling his house and moving in is not an issue.

Unless I actually want him on the AST, there is no need to put him on. I would need to re-protect the deposit if I issued a new contract too.

Richlist, yes, I've thought about getting rent guarantee insurance but not actually purchased it to date. This tenant works for a bank and has been with me for over 2 years, never been a day late with her rent. Would you still consider getting it even now?

[Acura]

But you now wont have a guarantor as a home owner. You need to ask for a new guarantor or maybe get 6/12 month up front.

Really? You think I should get 6-12 months rent in advance. Wow! I reckon I might lose her if I asked her to revert back to 6 months in advance (she paid me that way for the 1st 18 months, but now monthly, and ALWAYS on time)

[Richlist]

The new information that your tenant has been renting from you trouble free for a couple of years would change the situation in my opinion. Personally I wouldn't bother with either a new guarantor or RGI but I would want a new AST with both named on it.

Of course this would create a few new problems .... inventory, schedule of condition, deposit protection, any lease permissions required etc.

I always find that when tenants want to move a partner in it creates a lot of work for me for little or no gain.

[Acura]

The new information that your tenant has been renting from you trouble free for a couple of years would change the situation in my opinion. Personally I wouldn't bother with either a new guarantor or RGI but I would want a new AST with both named on it.

Of course this would create a few new problems .... inventory, schedule of condition, deposit protection, any lease permissions required etc.

I always find that when tenants want to move a partner in it creates a lot of work for me for little or no gain.

Thanks Richlist

If I'm honest I'm not worried in the slightest about either my tenant or her partner. I've met them both despite living abroad, and the only thing they've done that wasn't to my liking was paint a fence with fence paint! They were trying to make it look better (I'd had a broken panel replaced so the old & new didn't blend). I wasn't really happy as it now will always need painting to look decent.

If that's my only worry I think I'm a very lucky landlord!

Not worth the costs involved getting new inventory etc etc. Especially as rents have increased in the area but I'm not increasing mid-tenancy.

Thanks again.

[Grampa]

Thanks everyone

The NLA came back to me and said that actually nothing needs doing. My contract is still with my tenant, and the fact her partner is her guarantor and is selling his house and moving in is not an issue.

Unless I actually want him on the AST, there is no need to put him on. I would need to re-protect the deposit if I issued a new contract too.

I think this is very very poor advise considering it is coming from an landlord association who are suppose to be looking after your best interest. What happens if you had to evict? You would have a person living there not on the tenancy?

I would say it is your choice whether to get another guarantor or not, but to have a adult living at the property not on the contract is not a wise idea.

[Melboy]

I'm with Grampa on this matter as he has said above..........

Poor advice indeed and surprisingly poor from a recognised landlords association.

There are many cases such as this whereby the 'moved in person' not on an AST has caused problems....this forum is full of such cases that have been highlighted over the past years.

Your decision in the end but as sure as heck I wouldn't have anyone in my rental property on a permanent basis without their name on the tenancy contract.

Good luck.

Mel.

[partrim]

Just to echo what Grampa and Mel have said - you must get a new AST so that both parties are jointly and severally liable. It's the best way to protect your interests.

[Mortitia]

Yes, agree with last 3 posts.

Acura - consider this. Your current tenant falls out with BF and leaves. BF is left there with no AST but he is a tenant and may move new GF in with 3 kids.

Discuss.

Mortitia

[Carryon Regardless]

You are fortunate in that your T is up front and wishes to do things correctly, bliss.

Many of my T's would do as they wish and beside go for repossession there is naff all can be done about it.

I totally agree with the consideration of the increased risk of effectively losing the G and having a permanent guest not on the AST, but as these seem like desirable T's for the future I would take the time to talk with them and negotiate a way forward.

Good people understand and appreciate our risks, especially when explained, so are likely to want you to continue to feel comfortable with the situation.

[Melboy]

Yes, agree with last 3 posts.

Acura - consider this. Your current tenant falls out with BF and leaves. BF is left there with no AST but he is a tenant and may move new GF in with 3 kids.

Discuss.

Mortitia

That made me smile Mortitia............

A very common scenario indeed.

Mel.

[Acura]

You are fortunate in that your T is up front and wishes to do things correctly, bliss.

Many of my T's would do as they wish and beside go for repossession there is naff all can be done about it.

I totally agree with the consideration of the increased risk of effectively losing the G and having a permanent guest not on the AST, but as these seem like desirable T's for the future I would take the time to talk with them and negotiate a way forward.

Good people understand and appreciate our risks, especially when explained, so are likely to want you to continue to feel comfortable with the situation.

Yes, I am very fortunate. She is also fortunate to have a LL (IMHO!) who listens to her needs, takes her in despite failing her credit check (although that was a no-brainer) and acts immediately when there is a problem, despite being in another country. She is paying me the same respect I pay her (and all my other tenants). This might seem conceited, but I'm very much of the opinion you get back what you put in, plus I'm very, very picky who I let to. I did actually ask her should her partner move in to let me know too.

I totally understand all your concerns about not putting her partner onto the AST. My fear was the same - what if she moved out and he was left there with no contract.

Thank you all for your thoughts and contributions to my questions. It's certainly given me something to think about.

As for the NLA .. perhaps they were telling what legally needed doing (or not, as in this case) than anything else?

[Carryon Regardless]

My comments about you being fortunate were based on the legislative rights giving so many the confidence to abuse, and the following issues to deal with adverse situations we end up with .

I have learnt that being a considerate and responsive LL very often doesn't result in the respect being returned, although it should be normal I feel myself to be very fortunate when a tenancy runs without created issues .

Generally your clientèle may a better class, I hope so .

[Acura]

Ok, I've been giving all your comments a lot of thought, and I too think it's best to put her partner on a new AST. I drew up the first one for her myself with an NLA template, so there are no costs involved, and as I've self-managed this property despite being abroad, there are no agency fees for anything - thank goodness (unlike the other properties).

I'd be happier with his name on the contract just so everything is in order.

Also, when she moved in her son was 15 going on 16. He is now 18 and away at college, but his main residence is with his Mum. He was on the original contract, so I'll keep him on any new one.

So, my question now is this ...

How should I approach this? Ask for a month's notice of him moving in - if he does? This is what she said in her email .. On another note, [partner] is in the process of selling his house and the liklihood is that we will live here together on a more permanant basis. You mentioned that if this was going to be the case to let you know.

He will no longer be able to be guarantor as he can't be both - a tenant and a guarantor. NLA said that if he wasn't on the AST, he could still be guarantor. While that might be the legal case, it doesn't sit well with me that he will be living there and being my T's guarantor - although I can't tell you exactly why, it just doesn't appear to be 'right'.

Do I have to start over again with inventory, check-out and then check-in again? And the schedule of condition? (can't recall having one of those though).

Thanks again everyone for your input. I too thought it odd the NLA advised doing nothing. It just doesn't feel right to have someone else living there permanently and not be on the AST.

[Acura]

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