Thursday 14 November 2013

The true costs of bad tenants

So here goes, 4 hours later and I've complied all the costs and evidence for my solicitor to attempt to claim damages and costs from the tenants, guarantor and rental agent.

The guarantor is only responsible for costs to the date the tenants left the property, in terms of outstanding rent. The tenants cannot be located and professionals have been hired to track them down. I cannot go into detail too much re the rental agents as I'm pursuing this matter either through my solicitor and/or the small claims court other than to highlight where I feel they've mismanaged the property.

Rent was not collected from November 2012 till I noticed in February 2013 having checked the UK bank accounts. It was then I realised that all payments had been made 2-3 weeks late and not once had the agents enforced the contract by charging an additional 10% for late payments, they however continues to take their 10% management fees on time up to and including after the eviction notice was served. They also gave the tenants 3 months notice instead of the 2 requested. When the tenants finally left after a costly trip to the UK to carry out the eviction procedure myself, I was informed by the neighburs and not the agent, who on entering the property called me to say 'the house was inhabitable and would require fumigating' yet his last inspection report in February 2013 stated 'light cleaning required' only. I was also informed by the agent that the house could not be re marketed while the tenants were in situ due to 'unwillingness of the tenants and the state of the house' yet the last inspection report in February 2013 stated the house required 'light cleaning only'

You can check out the other blog posts here, herehere, here and here with photos showing the extent of the damage and the efforts I went to, to evict the tenants.

Now it can be said we received money for 2 years, which we did, but we had a mortgage to pay, whilst renting a property in South Africa and UK tax to pay. We spent nearly 2000.00 GBP getting the house ready for the rental market and maintained the property during the rental period.

Our actual out of pocket costs are just under 2000.00 GBP, but if you see the list below you'll realise what it whole experience has actually cost and don't forget we carried out all the work, from cleaning to repainting and fixing holes in walls.

My costs to date are as follows:

Outstanding rent       1,900.00 GBP    June and July
                                      245.16 GBP    Aug 1- 8
Rent time house           704.84 GBP     Aug 9 -31
empty due to work        823.33 GBP    Sept 1-26
being done for re renting

Professional cleaning and repairs 
                                       943.15 GBP
Cleaning materials and DIY
                                        380.88 GBP
Personal costs inc phone, transport, postage
                                         433.93 GBP
Replacement to damaged and stolen items
                                          537.42 GBP

Return flights from the UK to evict tenants and carry out work
                                          19635.00 ZAR approx 1309.00 GBP

Total costs                         7277.71
minus deposit                      755.00

Outstanding                       6522.71

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