The Rent Deposit Guarantee Scheme - Landlords

I am a private landlord with a property in this District that I want to rent out
Since 2003 the Council has successfully run a Rent Deposit Guarantee Scheme helping over 220 households secure accommodation with a private sector landlord. Instead of a tenant paying a deposit to the landlord, the Council gives the landlord a Deposit Guarantee Bond, which is an amount equivalent to one month's rent. As no cash changes hands the Landlord does not need to be part of a Deposit Protection Scheme. Typically the council will put forward prospective tenants who have a housing need and a local connection.

• I want to let my property to the Council - would South Bucks be interested?  
• What is a Rent Deposit Guarantee? 
• What does the RDG cover?
• What type of properties are you looking for?
• What level of rent can I charge - will the tenant get help with the rent if they need it?
• How long will it take to receive my money from Housing Benefit?
• Can I have access to information about my tenant's housing benefit claim?
• Who will manage the property?
• Who is responsible for the repairs to the property?
• What do I normally need to provide if I want to let my property through this scheme?
• Who will you refer to me?
• Will the Council re-house the tenant at the end of the let?
• How do I get possession at the end of the let?
• Who do I contact to take this further?

I want to let my property to the Council - would South Bucks interested?
The Council may be able to help you to find a suitable tenant, set up a tenancy and provide a Rent Deposit Guarantee if the tenant is unable to afford this themselves. The Council does not actually rent the property from you and the tenants are not the Council's tenants. It is a free service to Landlords and tenants.

What is a Rent Deposit Guarantee?
The Council is able to provide a Rent Deposit Guarantee of up to one month's rent to encourage private sector Landlords to accept as their tenants, applicants introduced by the Council. Because no money changes hands the Landlord is not required to join an otherwise statutory Deposit Protection Scheme. It is a three way agreement with the Council, the Landlord and the Tenant. If a Landlord makes a claim under the RDG the council would recover from the tenant any costs paid out under the terms of the guarantee.

What does the RDG cover?
Like any deposit the RDG will cover the cost of arrears of rent, loss or damage to the property over and above fair wear and tear and other uninsured losses caused by the tenant up to the maximum amount of the guarantee. In the event that costs go above this level the landlord would still have recourse to make a claim for these through the small claims court. Where there is a claim under the Guarantee the Council would then recover the costs from the tenant as necessary and appropriate.

What type of properties are you looking for?
We are looking for all types of property, from 1 to 4 bedrooms, although demands vary from time to time. In particular at the moment we need 2 bedroom houses or flats in all parts of this District.

What level of rent can I charge - will the tenant help with the rent if they need it?
Before the tenancy starts you will be able to assess a reasonable rent level by referring to the Local Housing Allowances published and updated monthly on the Council website.

This information is also used to calculate the tenant's Housing Benefit entitlement and will help them to decide whether they can afford the property. If there is any shortfall between the amount of Housing Benefit payable and the rent you charge, this is the tenant's responsibility.

You can also use the Web Benefits Calculator to get an indication of how much benefit may be payable depending on different variables.

Visit the Local Housing Allowance - Landlord Guide and Housing and Council Tax Benefits web pages to see more information and other FAQ's.

How long will it take to receive my money from Housing Benefit?
Where it is necessary we will advise the tenant how to make a Housing Benefit application. Once the Tenancy agreement is signed your tenant can submit their claim. The process usually takes 2 -4 weeks to set up if the tenant provides all the necessary information with the application. You can register to use the on line claim tracking facility on the Council Website to see certain information about your tenants claim but please remember that Housing Benefit is now paid directly to the tenant four-weekly in arrears.

Can I have access to information about my tenant's housing benefit claim?

• Yes, if you can register for the on line service to see the following details:-
• A list of your current and past tenants that have claimed Housing Benefit.
• A summary of details relating to your tenants claim.
• Next payment details for each of your tenants.
• Previous payment details for each of your tenants.
• Details of any invoices for each of your tenants.

Who will manage the property?
You, the landlord, are responsible for the management of the property. The Council will introduce prospective tenants to you. If you decide to let to them they are your tenants and you are responsible for repairs and management of the property.

Who is responsible for the repairs to the property?
The Landlord and Tenant Act 1985 details the repairs that a landlord is responsible for. These normally include:

• the structure and exterior of the property
• bath, sinks, basins and other sanitary installations
• heating and hot water installations
• water, gas and electricity supply and meters
• common parts
• other repairs agreed between you and the tenant

The Repairs Guide leaflet (Opens new window to external site) produced by Communities and Local Government gives more information about Landlord's and tenants responsibilities for repairs.

What do I normally need to provide to let my property through this scheme?

• An Assured Shorthold Tenancy Agreement for a minimum term of 6 without a break clause.

Assured Short hold Tenancies guide for Landlords(Opens new window to external site)

• A suitable property which is in good lettable condition.
• As a minimum you should provide carpets, curtains - nets and drapes, a cooker and fridge-freezer.
• Smoke detectors to Hall and Landing ceilings From October 2008 EU Energy Performance of Buildings Directive requires that you provide an Energy Performance Certificate - This is a legal requirement. You must ensure that the tenant receives this with their tenancy agreement.A valid CORGI registered Landlord's Gas Safety Certificate - this is a legal requirement. You must ensure that the tenant receives this with their tenancy agreement and you must provide a new one every 12 months.
• A valid Electrical Safety Certificate for the property (NICEIC or similar, Periodic Inspection Report).
• Your contact address and telephone number so that the tenant can contact you if there are any problems.
• Evidence that you own the property - e.g. your latest annual mortgage statement, or a copy of the District Land Registry entry.
• Suitable valid buildings insurance which remains the landlord's responsibility

Who will you refer to me?
This scheme is intended to help local people who are in housing need and on a low income who are unable to secure privately rented accommodation without assistance. It is targeted at people on the Council's Housing Register and key workers, who have been referred by Paradigm Housing Group who operate the Housing Advice, Register and Homelessness service for South Bucks. Typically the council will put forward a prospective tenant who is interested in renting privately; however, you decide whether or not to accept the applicant as your tenant.

Will the Council re-house the tenant at the end of the let?
No not automatically. Your tenant can still be registered on the district housing register at their private rental address so their needs can continue to be assessed but when a private tenancy comes to an end it is the tenant's responsibility to find suitable alternative accommodation for their needs. The council may be able to help them to access other private rented accommodation and they will also have access to Housing Advice provided by Paradigm Housing to discuss any specific needs or difficulties.

How do I get possession at the end of the let?
A guide for Landlords(Opens new window to external site) is a leaflet produced by Communities and Local Government which gives information on how to end a tenancy properly, as well as other obligations that you have as a Landlord. It is your responsibility to ensure that you comply with the law relating to possession and you should get your own independent legal advice if you are in any doubt about what to do.

Before the tenant returns the keys to you an appointment is normally arranged for the Council to inspect the property with you to check the condition and identify any problems for which the tenant may be held responsible.

Who do I contact to take this further?
Please see the details below or use our on line contact form.