A Case of Rent Arrears
Many landlords will unfortunately at some point, find themselves with a tenant in rent arrears. It's one of the most common areas of dispute dealt with by TDS Adjudicators and can be a difficult subject matter for all parties involved.
To help landlords and tenants better understand how an adjudicator comes to their conclusion, we look at a recent case study around rent arrears and provide some helpful tips.
Rent Arrears Case Study
The tenant contested the deposit deduction made by the landlord explaining they had agreed missing rent would not need to be recovered. Read the case study in full to find out whether the landlord or tenant was successful.
TDS tips to help landlords deal with rent arrears
Open and recorded communications with your tenant.
As soon as you notice that your tenant has not paid their rent, the first thing to do is open a line of communication. If you call or text, make sure you follow up in writing - keeping a record of the written communication. Be polite and courteous in your correspondence, this situation can be sensitive and could affect how you are regarded if it becomes a dispute.
Consider temporary rent reduction or deferred payments.
If your tenant is experiencing money problems and you're considering on a temporary rent reduction, ensure this has been confirmed and agreed upon in writing. Similarly, if the rental payment has been deferred, set out in writing how and when the shortfall will be repaid.
Keep a record of payments.
To support any rental arrears claim, always provide a detailed rent statement. This should include information such as tenant names, address and length of tenancy; the amount due and date paid.
If you are struggling to negotiate rent arrears, consider using a mediation service. TDS Resolution offers a solution that can quickly achieve a satisfactory outcome in the event that a tenant has fallen into rent arrears.
Our tenant had slipped into serious rent arrears and had stopped responding to our agents' emails and phone calls. We were advised to serve notice: a path we dreaded. As a last resort we contacted TDS Resolution and they quickly got to work on 'the case'. Within 8 days we had an amicable re-payment plan signed by the tenant and we were all able to move forward. Big thanks to George, who was a very understanding and helpful. Just wish my agent, a big player, employed such skilled mediators!
Guidance for Landlords
TDS Academy runs a popular online Adjudication Workshop, helping attendees increase their knowledge of the TDS Alternative Dispute Resolution Service and delve into the detail of the adjudication process. Take a look at our academy calendar and reserve your seat.
Not with TDS? It’s quick and easy to switch!
