Join the Residential Landlords Association

Rent advance payment

You are here : Member Forums General Discussion Rent advance payment
MariaMaria
MariaMaria
13 Posts
1 Thanks

Hi all,

Last year I purchased a property with tenants in situ.
I gave them a new 12 month RLA AST and all had been fine.
We agreed that we would let the contract go periodic when the 12 months is up on June 21st next month.

The tenants are both self employed and have had to close their business due to the current pandemic, but have had universal credit paid to them earlier this month (information offered by the tenants as we have a good relationship and communication).
Today they have just paid me 3 months rent, with the explanation that they have just received a 3 month self employment grant, but this has stopped their universal credit, so don't know when they will next receive any income.

It all sounds genuine and I have no reason to not believe their motive for paying 3 months rent at once, but it's not what I would have done in their situation.
Are there any AST related issues that accepting this payment could create, given they have paid the last month of the 12 month AST, plus 2 following months on a rolling periodic basis.
I have not yet responded to their email of this morning to confirm acceptance.

Thanks for any thoughts, and hopefully I'm concerned for no reason and just being overly cautious, but I don't want to fall into any potential traps.
M

21/05/2020 13:29

Want to read more?

This is a members only forum, if you want to read more you need to login to your membership, if you are not a member, click here to join.

Landlord & Investment Show London Olympia 2019
Residently
99 Homes
John Pye Auctions