Practical Steps for dealing with Rent Arrears during the Coronavirus Outbreak

In this two-minute read, we look at some sensible and practical advice for landlords wondering what to do during the Coronavirus outbreak.

The only thing that seems certain during this period of history is the uncertainty we're all experiencing.

And for landlords and tenants this a particularly anxious time.

A respected industry body recently issued some helpful advice which addresses several questions landlords have been asking.

The Guild of Letting and Management published eight points to consider around the paying and collection of rent.

We understand that every situation is different, but this seems sound general advice at the moment.

The steps are:

1. Ensure the tenant is aware that rent is still due.

2. If the tenant is having trouble, guide them to the Department of Work & Pensions website where they can obtain the guidance they require regarding pay, statutory sick pay (SSP) and other relevant up to date information. Or check the Government website www.gov.uk/cornavirus for up-to-date information.

3. Ask tenants to put their concerns to you in writing. It is vital you can discuss the matter with all the relevant facts to hand. We have a template letter you can send to tenants to ask them to provide the relevant information you require to process any claim for rent reduction. For a copy email me at sarah@sarahclarkproperties.co.uk

4. Speak to your lender and find out what they are putting in place to help you. If you are eligible for a mortgage payment holiday, some landlords are passing on a discount or "rent holiday" to tenants. But you need to discuss the terms with the tenants and be clear if this deferred rent will have to be paid back in the future. Put all agreements in writing.

5. Speak to the guarantor, where there is one. They should not be left out of any discussions regarding rent payments.

6. Check whether your insurer can offer rent and legal protection. If in doubt speak with us at Sarah Clark Property Consultants, we can put you in touch with insurers.

7. Keep records up to date. Every conversation over the phone, email, must be logged and documented.

8. Any pre-existing arrears (pre-18th March 2020) cannot be factored into this Coronavirus situation. Remember everyone is in the same boat. No one has experienced this before, this is not the same as the 2008 recession and is a public health matter, so it is difficult for all involved on so many levels.

At Sarah Clark Property Consultants we recognise this is a fast-moving situation, and we appreciate due to the uncertainty you may have more questions.

A good rule of thumb is to contact us if you are unsure about what to do next.

Call us on 0117 9112422 or email us at sarah@sarahclarkproperties.co.uk.

We're still open for business and here to help our landlords, tenants and community.

For the latest updates and advice from the Government visit: https://www.gov.uk/coronavirus

And remember: Stay Home – Protect the NHS – Save Lives.