Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

Renting Investment Properties

Options
2»

Comments

  • Options
    #32
    ted1
    Registered Users Posts: 23,536 ✭✭✭✭ted1


    Hammertime wrote: »
    It is completely against the rules of rent allowance to accept monies over the amount paid via the rent allowance, the tenant makes a calculated contribution towards the rent, but additional private payments between the tenant and the landlord are strictly prohibited and will result in the allowance being taken away immediately.

    I would imagine that is what woman driver is trying to explain to you

    No one is hiding the payments, I tell the council that the rent is 950 and I recieve 950, how that rent is made up is none if my buisness.


  • Options
    #33
    Bandara
    Registered Users Posts: 3,282 ✭✭✭Bandara


    ted1 wrote: »
    No one is hiding the payments, I tell the council that the rent is 950 and I recieve 950, how that rent is made up is none if my buisness.

    My comment wasnt directed towards you.


  • Options
    #34
    BostonB
    Closed Accounts Posts: 18,056 ✭✭✭✭BostonB


    Hammertime wrote: »
    It is completely against the rules of rent allowance to accept monies over the amount paid via the rent allowance, the tenant makes a calculated contribution towards the rent, but additional private payments between the tenant and the landlord are strictly prohibited and will result in the allowance being taken away immediately.

    I would imagine that is what woman driver is trying to explain to you

    I couldn't follow that at all. Isn't this what you mean?

    Rent Allowance + tenant contribution = DSP defined Market Rate

    But DSP market rate is not the same as the actual Market Rate. The rules of the RA mean the tenant can't top up the total above with a 2nd payment to bring it up to the actual market rate. So this below is not allowed.

    Rent Allowance + tenant contribution + tenant topup = Actual Market

    See here for an example.
    http://www.askaboutmoney.com/showpost.php?p=1320210&postcount=1

    Basically DSP are trying to control the market rate, by setting lower limits. Meanwhile LPT will eventually push the actual market rate up.


  • Options
    #35
    BostonB
    Closed Accounts Posts: 18,056 ✭✭✭✭BostonB


    MammaZita wrote: »
    Why not entertain rent allowance? It's guaranteed into your bank account every month!


    I don't think "guaranteed" means what you think it means. Guaranteed by whom exactly? Some authorities won't pay the LL directly. Theres always the possibility that a tenant will abuse the system and not pass the RA over. Leaving the LL out of pocket. What Guarantee then?


  • Options
    #36
    MammaZita
    Banned (with Prison Access) Posts: 426 ✭✭MammaZita


    BostonB wrote: »
    I don't think "guaranteed" means what you think it means. Guaranteed by whom exactly? Some authorities won't pay the LL directly. Theres always the possibility that a tenant will abuse the system and not pass the RA over. Leaving the LL out of pocket. What Guarantee then?

    Don't know about other councils, but mine pays directly into my bank account, so on that basis is guaranteed. I know friends who receive cheques each month from their respective councils, so on that basis the rent is again guaranteed.


  • Advertisement
  • Options
    #37
    BostonB
    Closed Accounts Posts: 18,056 ✭✭✭✭BostonB


    Not all do unfortunately.


  • Options
    #38
    MammaZita
    Banned (with Prison Access) Posts: 426 ✭✭MammaZita


    BostonB wrote: »
    Not all do unfortunately.

    It's a pity they don't as it would cut out this perceived risk in renting to tenants in receipt of rent allowance and cut down on the amount of landlord preferring to rent to private tenants on the black market for lower (undeclared) rents.


  • Options
    #39
    BostonB
    Closed Accounts Posts: 18,056 ✭✭✭✭BostonB


    Its another flaw in a deeply flawed process. There's nothing perceived about it.

    Considering its paying below real market rates in some areas, will only make it even less attractive to landlords. Unless they are struggling to find tenants.


  • Options
    #40
    MammaZita
    Banned (with Prison Access) Posts: 426 ✭✭MammaZita


    BostonB wrote: »
    Its another flaw in a deeply flawed process. There's nothing perceived about it.

    Considering its paying below real market rates in some areas, will only make it even less attractive to landlords. Unless they are struggling to find tenants.

    Not necessarily. If the tenant is willing to pay some rent too, to bring the closer to market rents then there's no issue.

    I've rented to both private and RA tenants and from a financial point of view much prefer the latter as the rent is guaranteed, they are much more likely to view the property as a home and stay longer term which means you're not re-advertising it and having to repaint it every year or even have it vacant.

    I do agree that the system is totally flawed though!


  • Options
    #41
    BostonB
    Closed Accounts Posts: 18,056 ✭✭✭✭BostonB


    Isn't that the point? The tenant can't top it up. They risk being cut off if they do. Where do they fund the top up from, except to eat further into their dole. Putting them under further financial stress.

    I think your idea of an increased sense of home is solely your personal experience. It certainly hasn't been mine.


  • Advertisement
  • Options
    #42
    MammaZita
    Banned (with Prison Access) Posts: 426 ✭✭MammaZita


    BostonB wrote: »
    Isn't that the point? The tenant can't top it up. They risk being cut off if they do. Where do they fund the top up from, except to eat further into their dole. Putting them under further financial stress.

    I think your idea of an increased sense of home is solely your personal experience. It certainly hasn't been mine.

    Well as I've stated above my tenant tops it up (from her dole and her lone parents payment) and SW and her CWO are aware of this. She obviously considers it worth the extra payment for a quality well maintained property, and neither SW nor the HSE have any issue with this.

    Sorry to hear that hasn't been your experience, guess tenants differ but I would say that's irrespective of who pays their rent.


  • Options
    #43
    BostonB
    Closed Accounts Posts: 18,056 ✭✭✭✭BostonB


    I'd also add that my experience neither the dsp or hse would communicate with the landlord at all. Simple questions like what's the current backlog in setting up tenant they wouldn't answer.


Advertisement