Why should you rent to DSS tenants?
With the rising number of people claiming benefits, there is a great demand for rental properties within the private sector. However, there are not many landlords prepared to consider DSS tenants, even if it means their properties will remain empty for another month - to come.
While some concerns are stopping some landlords from letting to benefit-claiming tenants, there are also advantages for those landlords who are willing to put stereotypes aside.
1. First of all, the number of enquiries for your property will increase. More people viewing it means that there is an increased chance of it letting much faster.
2. Research confirms DSS tenants stay in properties for twice as long when compared with other types of tenant.
3. You could be helping local families in your community.
4. You can have the rent paid directly to you, if your tenant meets certain criteria.
What can I do to feel more secure?
Make sure you:
1. Always get a working guarantor who earns three times the annual rent equivalent.
2. Take rent in advance and at least one month’s deposit.
3. Visit the property regularly for inspections.
4. Obtain authorisation to access an update on the claim progress. (see below)
5. Do not allow a shortfall of the allowance of more than £30 per month if the tenant is unemployed.
Permission for landlords to enquire
A DSS tenant will go through a form-filling process. In one of the forms, they’ll be a box that needs ticking, which will give permission for the landlord to enquire about the tenant’s Housing Benefit status. This way the Landlord can chase up any problems without relying on the tenant.
This article is from Iga Maciejewska - Account Manager.