Rent Arrears: What can landlords do when tenants do not pay rent?

It is not uncommon for clients to approach us with concerns about tenants that are unable or unwilling to pay rent and are now in significant arrears. Naturally, our clients want to know what their options are. This blog takes a brief look at some of the civil remedies and solutions available to a landlord in the event a tenant is unable or refuses to pay rent.

If your tenant has entered into a tenancy agreement or lease, in which a quarterly, monthly or weekly rental payment is set out, they are contractually bound to make the agreed rental payments, on the basis set out in the agreement or lease.

If they fail to do so, they are in breach of contract or covenant. A contract cannot be varied without express agreement from both parties. Therefore, if a tenant does decide to withhold rent, there are very limited grounds for them to do this without the landlord’s consent.

In the first instance, parties may want to attempt to reach an amicable solution to preserve the landlord and tenant relationship. Both parties may be able to negotiate a payment agreement, a temporary reduction to the rent, a rent payment holiday or another arrangement that satisfies both parties. If an isolated incident of rental arrears, the landlord might consider drawing down from the rent deposit as a simple method of quickly recovering the debt.

If no agreement can be reached and a tenant is still unable to pay rent, there are several potential remedies available to a landlord, such as, but not limited to:

If you are having issues related to the above, or a property dispute in general, please do get in touch with our Dispute Resolution Department who will be more than happy to assist. They can be reached at 020 7228 0017 or info@hanne.co.uk.