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Screwing the system?


Widdymax

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I have long term tenants (a married couple with children) who have split up. He has left the property and she has been claiming HB. I have been paid direct as the tenant is useless with money. Is it in my interests to issue a new tenancy agreement in her name only, as she is claiming as a single parent. The husband moved out last year to live with a family member but its just around the corner. Its all very convenient (back gates almost adjacent) and I am worried that if he is in fact living at the property, I'm going to be the one to lose out. Has anyone had any experience of this type of situation?

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If you are happy with the tenant as a single mum and you are getting the rent paid I see no reason not to issuea new tenancy (6 months only) but it would be advisable to get a guarantor as well if possible.

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I am wondering how they are "screwing the system", and more importantly how this might affect you.

An incorrect HB claim could see you having to repay as you are receiving direct.

If he is found to be staying more than 3 nights a week it may be that the claim would be reduced as he should be sharing the housing cost. Is he in employment ?

I am guessing that she has entitlement to full HB and is not deemed to be over housed ??

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Thanks for the replies. Sure enough my gut instinct was right .... I've just been informed by the Council that it was a fraudulent claim. I will now have to pay back a substantial sum as the tenant wasn't entitled to it. Oh the joys of being a Landlord, think its time to think about whether its worth the hassle.

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  • 2 weeks later...

Thanks for the replies. Sure enough my gut instinct was right .... I've just been informed by the Council that it was a fraudulent claim. I will now have to pay back a substantial sum as the tenant wasn't entitled to it. Oh the joys of being a Landlord, think its time to think about whether its worth the hassle.

If you received the money without knowing that it was fraudulent you should appeal against the decision - the council should recover from the claimant.

Take a look at www.hbadvice.co.uk It is run by Bill Irving and he is an industry expert - knows his stuff.

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