Paying 6 months rent in advance

[Ali657]

Me and my friend are looking to rent a house together with our 2 children. We are both on universal credits and working and we will be entitled to housing element to cover the cost of renting.

We are struggling to find a landlord who will take us as we are on low income. If we were to borrow money from a relative to pay 6 months rent in advance would we still be entitled to the housing element of universal credit for those 6 months to pay back the relative?

We are struggling to find any advice online about this.

Thanks in advance

@DollhouseBurglar it might do, I don’t have any previous landlords though. No still no luck, just been turned down again today, I told them we have a guarantor so just waiting to hear back but I haven’t got my hopes up.

@CodenameVillanelle oh thank you that’s so reassuring to hear! I called universal credits yesterday and they couldn’t even give me an answer, I’m waiting for someone to call me back

@lastqueenofscotland oh that’s okay, my dad would be happy to give bank statements, thanks for the advice

Universal credit don't know or care that you've already paid the rent - you just upload your tenancy agreement and as long as you're entitled to UC you'll get your rent element paid to you.

@CodenameVillanelle that’s what I thought, I just wanted to be sure before I hand over £4000 of my dads money with no way of paying it back haha, have you done this then?

No, but I know of people who have

@CodenameVillanelle okay that’s great, thanks for your help!

We never provided guarantors but were given places to rent after offering to pay upfront for the duration of the contract plus a double deposit. We could have paid but every time they actually wanted rent monthly.

The 'no DSS' issue isn't necessarily discrimination by the landlord. Some landlords have clauses in their insurance saying they can't rent to people on benefits. It's shit, I know.

Also, if you're renting through an estate agent, they usually expect to see proof that your earnings can cover the cost of renting. Another shitty clause, especially when they don't usually take benefits (which are guaranteed!) into consideration!

I hope you find a home soon, sounds like a brilliant set-up for you all x

Hope you find somewhere OP

As a landlord I can confirm it's true re the insurance policy. Legally we have to have one (& I do, costs approx £1200 year) but it prohibits renting to those on benefits

It was so much easier when benefits were paid directly to the landlord - that was a better guarantee than people with a job sometimes! However, when the government changed it, that's when the insurance rule came in

I have sometimes still rented to those on benefits, but have to get a separate landlord policy for that property and it costs!

I have taken guarantors who are retired too

"Discussion: Rent paid in advance and entitlement to housing costs via UC - Rightsnet" https://www.rightsnet.org.uk/forums/viewthread/16429/#7815.
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