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alex228

Unpaid Rent Due To Moving Out, What Is The Worst Lls Can Do?

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Hi I'm in the process of buying of a reasonable house and in the process I stretched my finances to the max. This unfortunately looks like the only way out of the renting trap. I am one month in rent arrears now because of the costs involved, can't touch my savings as it is the mortgage deposit. Spoke to the agency suggesting they use the tenancy deposit but they are adamant it is the dilapidation fund.

If I don't pay, what is the worst they can do? How realistic is them doing so? Been a good tenant for a few years and made them a sh1tton of money

Edited by alex228

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Hi I'm in the process of buying of a reasonable house and in the process I stretched my finances to the max. This unfortunately looks like the only way out of the renting trap. I am one month in rent arrears now because of the costs involved, can't touch my savings as it is the mortgage deposit. Spoke to the agency suggesting they use the tenancy deposit but they are adamant it is the dilapidation fund.

If I don't pay, what is the worst they can do? How realistic is them doing so? Been a good tenant for a few years and made them a sh1tton of money

:blink:

Up to you of course, but if you insist on using the tenancy deposit as the month arrears, I doubt you'll face any major repurcussions. No reference if you ever need to rent again is the main bugbear no doubt.

Some will always swear by doing that anyway to make sure the landlord doesn't dip into the deposit as his/her own personal current account.

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If your finances are so stretched to buy that you are getting in rent arrears are you sure you have enough funds to complete the purchase?

The worse the landlord can do is issue a section 8 and start the eviction process and try and recover the costs through the courts. The only long term issue would be if you want to re-mortgage or get any other credit product - assuming you let the process go through to its conclusion.

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If your finances are so stretched to buy that you are getting in rent arrears are you sure you have enough funds to complete the purchase?

The worse the landlord can do is issue a section 8 and start the eviction process and try and recover the costs through the courts. The only long term issue would be if you want to re-mortgage or get any other credit product - assuming you let the process go through to its conclusion.

I will have just enough if I don't pay the rent. The mortgage cost is less that I'm paying so I will save in the long term. I will need to remortgage in circa 2 years though, what needs to happen to give me headache?

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You need to avoid anything like a county court judgement that would appear on your credit history

I had a vaguely similar problem when an old flatmate moved out owing me money from unpaid rent when she bought her own home.

What she did in the end was to offer a repayment plan which I eventually accepted. The lease had been in my name and so I paid the rent.

Is your deposit protected in a scheme. If you go back through the paperwork that they should have given you the details of this.

If I was in your position I'd use this to bargain with them. Aim to leave the property in the order you found it in and document / photograph this. Check the original inventory.

Write a repayment plan that you can stick to and present this to them. Don't factor in the returned deposit if you can. See what they say first.

Hope this helps.

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What would it take to get CCJ? How ******ed am I if I stay with the same lender?

The house is owned outright by the LL so they dont pay anything of of their own pocket except maybe for a few quid of fittings insurance etc

Also, can they chase me if I don't leave them my new address?

Edited by alex228

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What would it take to get CCJ? How ******ed am I if I stay with the same lender?

The house is owned outright by the LL so they dont pay anything of of their own pocket except maybe for a few quid of fittings insurance etc

Also, can they chase me if I don't leave them my new address?

Depends if the LL can be bothered. If they want to pursue it, the cost of finding you can be added to the debt.

Be aware that it can take a while to get your money back from the deposit (if you were planning to get any of it back) so don't count on that money for the first 2 - 3 months. Also arranging for completion and the rental period to end to precisely co-inside can be a pain. We didn't give notice until the sale completed, so in effect paid an extra months rent.... so something else to be aware of.

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It depends if they go to court to try and recover the money from you and get a judgement against you

See

https://www.gov.uk/county-court-judgments-ccj-for-debt/overview

the judgement would come up every time a potential lender did a search on that last address. I am assuming that your current lender would have that address and when you went to get another loan (i.e. try to re-mortgage) then they would do a search and see it. If you stay on the interest rate that they are offering after our current mortgage term is up then I am guessing that they will not do another search but it you apply to them for another mortgage then they will probably do a search.

Interestingly the last time we applied for a mortgage the lender (our normal bank) didn't ask for our old addresses as I am assuming they used the ones on our old statements but I don't actually know if they did a credit check on any old addresses

That's why I am suggesting that you offer a repayment plan now. The reason being that if you do end up being taken to court you have this to point to. The LL needs to get a judgement against you to get a CCJ and being offering a repayment plan and sticking to it the LL may decide it is not worth their time.

Edited by Flopsy

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The CCJ will only be recorded if it is not paid within, I think, 28 days. In the worst case scenario the LL or agent would commence court proceedings to recover the last months rent. If they were successful in their claim then the court would make an order for you to pay the amount owed together with the plaintiffs costs. If the judgement debt was paid within the specified time then there wouldn't be a record of the judgement on your credit record.

Edited by sleepwello'nights

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