DSS Tenants – another issue

Hi Gilly,
If the LA did not have your authorization to debit your bank account, they would then find themsleves in really serious trouble, not sure how they could do this without your consent ?

Paul
Every single one of your suggestions is impossible legally. I'll explain if you like but it will be a very long post!!!
To all of you. Decide whether you want direct payment - in which case live with clawback
Or payment to tenant in which case at least clawback is not an issue.
Best tenant I ever saw was a single mother HB tenant who moved into a completely refurbished one bed unfurnished flat and I swear left it in better condition when having had another chilsd she moved along the corridor to a 2 bed in a state and left it like a palace.
Those who say it is the system are 100% correct.
Mark your suggestion on cash flow is admirable, and being patient for payment. That assumes two things though. One is that the payment will eventually actually be made. The other is that the Landlord can afford it.
Angels Property Services - Guaranteed Rent Schemes GRS) very specialised, very complex, only for the big boys do not go there. I used to run one for a very big building society and have recently written a paper on it for a very large national letting agent who may well not proceed with their original intention to introduce one.
Trust me - it is not as simple as it seems!!

Nice blog on the importance of not judging a book by its cover and that everyone deserves to be given a chance, whether they are working tenants or LHA tenants.

Our latest story from one of our community also highlights this;

Working tenants accrue £40,000+ in default & damages...

Neil,
What is more stupid - having an empty property that is generating you no rental income - or having a good DSS tenant (single mother etc) paying rent that stays with you for years and years and years?

Regarding the Armed Forces - it's OK for us to send them to Afghanistan then ... but when they leave the forces (and have to claim DSS benefits) - it's not OK for a landlord to offer them a home?

There is nothing patronising about the article I wrote.

It is simply encouraging landlords to "think outside the box" to maximize their investment income rather than following the herd mentality of "No DSS".

Renting to the DSS might not fit your business strategy - but there are an awful lot of landlords who are making a lot of money from this segment of the market and I, personally, get a pleasure from helping people to find a home.

Mark

Re the above and subseqent comments, I have had both good and bad, working tenants such as a prison officer, and a nurse were probably my worst tennants, currently I have a nightmare LHA claimant, who is driving myself and the council mad. As soon as she leaves we will all sleep better at night. Only conclusion is to ensure that the payments are paid direct to the tenant and that they are responsible for paying the landlord. As soon as the tenant is a week in arrears (private or otherwise) the landlord would start appropriate action. Sounds tough, but if you explain to them that this will happen automatically, otherwise they may take you for a ride. Note, obviously once they have a good track record, then make the judgment as appropriate.

Interesting article and valid viewpoints, even if not every one's cup of tea. I have been taking benefit claimants for several years, and have about 35% of my current crop of tenants claiming benefits. I have had good ones and bad ones. I can say that one of my best tenants ever was a benefit claimant, single mum with two kids, no hassle, paid on time every time, no shenanigans, no "working the system". Yet again, my worst tenants have been benefit claimants. So, I have seen the two extremes and probably everything in between.

Like the author, I give people a chance, and have had some throw it right back in my face! Bottom line is to try and consider each applicant on their own merits. Benefit claimants come in all shapes and sizes and characters just as the working tenants who can just as easily be bad tenants.

The benefits system is what is flawed, and does not encourage the average landlord to want to take on claimants. The direct payment decision was a bad decision which has caused no end of grief to landlords, and to the council officers that have to implement it too, particularly when things go wrong. When the new universal credit comes in, its likely to be "murder on the dance floor" to use the famous song title.

Yes, DSS did exist. The writer is puzzled as to why DSS/DHSS is still used so long after it was abolished? It is because the term itself is still widely used by the claimants themselves and is what is understood. Besides DSS rolls of the tongue better than DWP. Even LHA is not used or understood, whereas housing benefit is. Some also still say giro for cheque. So landlords use the terms that their market understands.

Hi GrumpyLandlord (or can I just call you Grumpy)?,

Thanks for your comments and I think everyone on here agrees that the benefit system is flawed but it is heartening to hear that other landlords, like yourself, are prepared to give some DSS tenants a chance.
Personally, by helping some DSS families - I have not only housed them (when others wouldn't) but some of these people have gone on to gain full time employment or hve even started there own businesses thereby not needing to claim benefits anymore.

By housing these families we have enabled these people to turn their lives around.
So - I am not advocating that we help the all the long term unemployed who are too lazy to get a job ....
I am suggesting though that we try and help some people who are "down on their luck" and who could do with a break from a kind landlord.

Hi Grumpy,
Thanks for your comments.

I think most people agree that the benefit system is broken but there is little that any of can do to fix this and I am pleased that you are also helping DSS tenants on a case by case basis.

I was never advocating that we, necessarily, help the long term unemployed who can't be bothered to go out and work. I was merely suggesting that, sometimes, people need to be given a break in life and - as landlords - we have the power to help (if we want to).

Some of my DSS tenants have gone on to full-time employment and even set up their own businesses once they been housed thereby meaning that they no longer needed to claim benefits at all.

In other words - being accepted by a caring landlord meant that they started to turn their life around.

Hi bdpage,
Yes - I totally agree and thanks for your feedback. Tough love is a good strategy (and I will write more about this in a subsequent blog).

Hi Samii,
Thanks for your feedback and support.

I do hope the working tenant that accrued £40,000 in default and damage wasn't renting from Neil .... after his less than complimentary remarks on my blog!

Mark