I know many landlords accept tenants who receive benefits (e.g. the housing element of universal credits), but the assumption is that they are already receiving them because they are already in an existing tenancy agreement - perhaps they just need to move house. What about in the case of new claimants who aren’t yet receiving anything? I have been in an informal tenancy arrangement for several years. Since it is family, I was never eligible for financial help, which wasn’t a problem as the amount was well within my means to pay. But there’s no way my income will stretch to cover the cost of normal rental prices in the area - it can cover half the cost. With universal credits, I can bridge the difference (I did a benefits calculation based on my income and a typical rent). But future eligibility counts for nothing in standard affordability checks. There’s no family member I can ask to be guarantor, and I’m unlikely to be accepted by commercial guarantors either as it turns out that they run the same affordability checks that don’t factor in future benefits. How do new claimants secure a tenancy agreement which is only partially covered by their income? I can’t submit a UC claim until I have a tenancy agreement, but I can’t get a tenancy agreement without already being in receipt of UC! I have an excellent credit score and all sorts of other things in my favour, but no live UC claim. I welcome advice from tenants and landlords on this matter…
Get a proper tenancy agreement where you are with your family member for the correct LHA rate and claim UC to pay it
Just because LL is a family member doesnt mean you cant claim UC if it’s a proper commercial arrangement - but may not be possible if a partner or close family member
See Claiming benefits if you rent from family - Shelter England
Or.. consider how to get a better job (etc) so you can afford a place without relying on benefits at all. Appreciate may not be easy. It’s the problem with the old Norman Tebbitt advice to “get on your bike” to find work - costs money to be able to move to where job prospects are better and meanwhile you still need somewhere to live. Also a bit of a catch 22 for many people
Good luck
The ‘landlord’ is my mum, so I was never eleigible for nor ever needed benefits. She’s selling her house to move into a carehome, so she cannot be my guarantor. I’m a teacher, already working full-time. And I can’t move to a different area due to a medical condition and disability, which does not impact on my income or housing requirements (accept I need a ground floor flat) but I do need to be near my hospital and local amenities. I earn a decent honest living, but I’m not an IT consultant! It amazes me how anyone on a normal income, single and with no guarantor manages to rent at all! I imagine this is too much backstory for any landlord, I’m just baffled.
“And I can’t move to a different area due to a medical condition and disability, which does not impact on my income or housing requirements (accept I need a ground floor flat) but I do need to be near my hospital and local emenities. I earn a decent honest living, but I’m not an IT consultant! It amazes me how anyone on a normal income, single and with no guarantor manages to rent at all! I imagine this is too much backstory for any landlord, I’m just baffled.”
well yes there are LLs who in the past would have taken a risk and now less likely to do so or are selling up, due to Renters Rights Act.
Min starting salary for a qualified teacher outside london is £34k pa, outer london is £39k inner london 41k. Affordability criteria 30% of £34k pa is 850pcm which for sure in many places wont be enough for a 1 bed flat but may get you a studio or maybe a flatshare/houseshare or in an HMO- maybe worth considering if you havent already
Good luck
And I have a teenage son, so a bedsit or HMO is not suitable. But thanks for your advice up to this point. I’ve had a breakthrough on the guarantor front so I have renewed hope.
Good luck. Thanks for explaining your situation I too am of the old fashioned mindset ’ just get a decent job’ but you do have a decent job, excellent credit score and a son..us old generation dont understand what’s going on. I have researched it a bit and seems UK does take blood out of a stone and that’s simply not ok. Corporate greed is a big problem. I would suggest in your viewing applications you state all this..I ask for introductions and seldom get them i also search my tenants pre viewing so if you give your full name, job and where you work you will put yourself as open and a good potential renter. Its crazy to Me people just ask to see my rooms, my property is my hard earned pension and a complete stranger just expects to walk in. And when I ask for an introduction most of them disappear. So a bit of perspective from a Landlady view I hope is helpful. You sound like a good tenant. Just personally too old to understand benefits and UC.. one of my tenants pre-filled all his data is OpenRent..never seen anyone else do that!! He passed hi referencing over the weekend.
Many thanks for your message. I do understand from the landlord/lady’s point of view, I would be the same, they need to be sure it’s going to work. My gripe is more to do with universal credits - that you can’t enter a claim until your have a tenancy contract, but no landlord will want to sign you up unless you are already claiming! even if it’s just a top-up amount to supplement your main income. There should be a way to get confirmation in advance that you will definitely get X amount based on current income and expected rental cost (to be adjusted if those numbers change). Otherwise it involves a leap of faith on the part of the landlord, and also the claimant. I will definitely write an introduction letter as and when the time comes for me to actually look. At the moment I’m gathering information so that I can present myself in the best possible way when that time comes. Have a great day.