As a LL taking in to consideration the peril of entering in to an AST with upfront payment of, say, 6 months, because of lack of affordability proof (T1 not quite 3x rent, T2:overseas employer), and the Ts ability to pay rent after the 6 month period, is it possible to have the AST end after the upfront 6 month payment period whereby the tenant signs another AST.
This would seem to mitigate the landlord risk of non rent payment and potential costly eviction.
Any advice much appreciated.
Chris
No. You cant stop a periodic tenancy arising when a six month fixed term ends. You can serve a s21 notice after 4 months to expire at the end of 6 months, but it doesn’t compel the tenant to leave.
Thanks David. From reading another reply of yours, warning against the lure of advanced payments I’m persuaded to insist on Guarantor despite the T’s seeming positive financial situation.
I just found that there are pay-for Guarantor services affiliated with Universities. Are there any known pitfalls accepting these type of Guarantors from applicants would you know?
Thanks
You wouldnt be able to insist on a paid-for guarantor service because of the Tenant Fees Act, but you can reject guarantors that dont meet the required criteria, such as those living abroad and ask them if they want to consider other options.
That’s a good point about insisting. And what could be construed as insisting could be arguable.
I’ll stick to the ‘here’s some options for you to consider’ language.
Thanks.