Given the current and evolving situation with COVID-19 and the current restrictions in place in the UK, we are following government guidelines to maintain our property management services. We are fully operational and operating as normal from remote locations. Consequently, we are not accepting visitors into our offices.
Please see below for advice that we would like to share with you:
Do not stop paying your rent unless completely necessary. This is not an excuse to have a few months’ rent free without the threat of possession proceedings from your Landlord or Agent. If you do stop paying your rent, this money will still be owed to your Landlord when restrictions are lifted and could adversely affect your credit rating going forwards. Depending on the terms of your tenancy agreement you may also be liable for fees and interest.
Where you find yourself struggling to meet your rent obligations, talk to your Managing Agent. They will need certain information from you in order to speak to the Landlord for you. Lenders, landlords and letting agents will need evidence that this is related to the virus i.e. you’ve been laid off work for example
If the Landlord has a mortgage on the property and they make use of the mortgage payment holiday that is being made available, then it may not cover the entirety of your rent. For example, if your rent is £1,000 and the landlord’s mortgage is £700 under the scheme, they will only be able to defer £700 of your rent. The £300 is still payable as usual.
Remember that we are all in this together. Getting angry will not change things. The landlord will have other property related expenses to meet and the surplus rent may be their income, for some it could be their only income and just like tenants they may have their own mortgage, bills and family to support.
Do NOT stop paying your rent without discussing this with your landlord or letting agent first.
Lenders and the rental industry are putting a stop on all possessions and repossessions for three months but if you simply stop making payments with no discussions then you are simply making matters worse.
You are still obligated by the terms of your tenancy and missed payments that have not been agreed could still result in adverse credit, CCJs or even bankruptcy. Missed payments on your credit file will affect your ability to get future credit, loans and mortgages for many years.
If you can afford to pay your rent, then do so, even if you have to dip into your savings. This is not an opportunity to take advantage and spend the money elsewhere; it is not free money or a handout.
None of us know how long this is going to last or how long you may be short of income and you may need that payment holiday in a few months far more than you need it now.
It is important to keep talking to your letting agent about your situation.
Contact us on:
March Properties 01354 607105
Wisbech Properties 01945 428825
Accounts queries 01354 607105