Should this concern me or not?
Just looking through a prospective tenants bank statements and I can see universal credit payments which varies between £500 to £1600 per month.
The tenants never mentioned being on UC so should I be concerned about this?
They are both working full time and thier salary does seem to cover the rent so maybe I shouldn’t worry?
Do I need to do anything different in terms of referencing or collecting rent because of this?
Thanks
Reference from employer and previous landlord? Guarrantor?
I personally wouldn’t worry. I think everybody’s in different situations at the moment and they may be on a 0 hours contract so their work may fluctuate but they obviously actively both want to work and have an income so that is always a big plus. Theoretically you could get somebody who’s on an excellent salary working full-time and suddenly get made redundant whilst they are in situ. I’m pretty certain
Open rent do offer a guaranteed rent insurance.
@Patnut When you say their salary covers the rent, do you mean they meet the income multipliers or their monthly salary matches or exceeds the monthly rental payment.
If their annual salaries meet the affordability without UC then it might not be an issue, however something does not seem right. I am surprised somebody who would meet the affordability for rental payments also qualifies for UC.
Would be useful to confirm in this post to give a better opinion:-
They meet the rental income of 2.5 without the UC. I have previous landlord and employer details. Both are on zero hours contracts.
sounds ok . go with your gut feeling
I’d be concerned. People on zero hour contracts do not have a salary. They have a potential income. I’d want to see evidence of savings to.provide a buffer if hours are less than expected and/or a guarantor. I’d also be concerned that they weren’t upfront about being on UC
The zero hours does add an element of risk to it. I’ll see how they get on with referencing and will ask for a guarantor if necessary.
Thanks
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