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Rent Allowance changes

  • 19-01-2012 1:18pm
    #1
    Registered Users, Registered Users 2 Posts: 166,026 ✭✭✭✭


    Hi,
    We're a couple with a child, currently living in a two-bed - our landlord will not lower the rent, and the market in this area is on a level with what our rent is. If we have to move to a smaller place nearby, how does that affect our current rent-allowance status? Will we be re-assessed as new applicants? Incidently, in the time we've been here, the ceiling for rentals was 890, now it's dropped to 625, but there is nothing available for that price and there has been no rental change in the market since 2009.
    Thanks for any input - a bit freaked, like many people I suppose, that we may have to pack up and leave.


Comments

  • Moderators, Business & Finance Moderators, Regional South Moderators Posts: 6,854 Mod ✭✭✭✭mp22


    If I may point out that the forum charter should be read before any reply are made on this thread.

    This warning in no way reflects on the valid question that the op has raised.
    Thanks mp22


  • Registered Users, Registered Users 2 Posts: 6,161 ✭✭✭frag420


    I feel your pain. I was in with local officer this morning and from what I can gather the new rates are applied to new applicants and I believe you would be viewed as a new applicant due to a change in address.

    I had the application forms sent out to me prior to xmas and it took me almost six weeks to find a suitbale place within the threshold and that accepted rent allowance. And when I did find it I am told that the threshold has been cut since the form was sent out to me by almost 25% from €390 per month to €300 Per month.

    Its not ideal OP and I think landlords are taking the pish with some of the prices they are charging. I hope it works out for you.

    frAg


  • Closed Accounts Posts: 13 joe9k5


    We've changed house while being on RA, and this didn't affect the payments. We noticed them in advance.


  • Registered Users, Registered Users 2 Posts: 522 ✭✭✭Lugh Ildanach


    If you are moving house, you will have to find a property that is below the limit. If there are no such properties, then you can make your case to the CWO that there simply aren't properties at this level and ask them to consider exercising their discretion.


  • Closed Accounts Posts: 4 sam2b2


    sorry to hear this i am in the same situation as you i am a single mother of a 2 year old and i am also pregnant with my second child the house i live in at the moment is not suitable for my daughter and i am looking to move. but i cant find anything within my rent limits in my area which was 600euro a month now down to 540euro a month for a single person or family with 2 children.
    looks to me like landlords are not willing to drop their rent prices at all to comply with the changes to the rent allowance.
    and i am now thinking myself and my daughter might have to move to a 1 bedroom apartment but obviously with a baby on the way it will be overcrowded.
    i am going to see my local CWO on friday to get advice on his i will let you know what advice they have.


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  • Registered Users, Registered Users 2 Posts: 656 ✭✭✭keredern


    If you are moving house, you will have to find a property that is below the limit. If there are no such properties, then you can make your case to the CWO that there simply aren't properties at this level and ask them to consider exercising their discretion.

    Unfortunately, there is very little discretion with regard to rent limits as set by the DSP.

    Recipients will be given a maximum of 8-12 weeks to get their rent reduced or to locate a new accommodation within the limits.

    Only in exceptional circumstances can a RS be paid where the rent charged is above the limit for that area & family composition.

    Best of luck with your search.


  • Closed Accounts Posts: 1 ljvilkas


    Hi,

    Similar situation, but in SLigo. our CWO told me to re-negotiate the rent with our landlord, and on top gave me a wrong monthly rate to follow by! He told me the new rate would be 480 p.m., whereas the citizens info website says it is 520. Here is the solution which may work:

    I went to my agent, and asked him to write me a letter stating that our lease does not run out until sometime in May, and that it is a legal binding contract which not even the HSE can break. similarly, we have signed a contract with the HSE for them to pay rent allowance at the previous rate of 540 p.m., which should not change until the lease is up.

    It worked for us, and our CWO is an A-hole to say the least. They simply cannot break contracts...

    Best of luck to yee!!!


  • Banned (with Prison Access) Posts: 31,117 ✭✭✭✭snubbleste


    ljvilkas wrote: »
    Hi,

    Similar situation, but in SLigo. our CWO told me to re-negotiate the rent with our landlord, and on top gave me a wrong monthly rate to follow by! He told me the new rate would be 480 p.m., whereas the citizens info website says it is 520. Here is the solution which may work:

    I went to my agent, and asked him to write me a letter stating that our lease does not run out until sometime in May, and that it is a legal binding contract which not even the HSE can break. similarly, we have signed a contract with the HSE for them to pay rent allowance at the previous rate of 540 p.m., which should not change until the lease is up. It worked for us, and our CWO is an A-hole to say the least. They simply cannot break contracts...

    Best of luck to yee!!!

    That makes no sense. Are you saying you have a document from the HSE stating they'll pay your rent at that rate until end May?


  • Registered Users, Registered Users 2 Posts: 7,920 ✭✭✭cee_jay


    ljvilkas wrote: »
    we have signed a contract with the HSE for them to pay rent allowance at the previous rate of 540 p.m., which should not change until the lease is up.

    !
    You have no such contract - rent allowance is a means tested payment. If your circumstances change, rent allowance will be reviewed, and can be stopped. There is nothing to say you have your rent allowance until the end of your lease. There is no contract involved between you and the HSE for them to pay your rent allowance.


  • Moderators, Category Moderators, Home & Garden Moderators, Recreation & Hobbies Moderators Posts: 22,430 CMod ✭✭✭✭Pawwed Rig


    ljvilkas wrote: »
    I went to my agent, and asked him to write me a letter stating that our lease does not run out until sometime in May, and that it is a legal binding contract which not even the HSE can break. similarly, we have signed a contract with the HSE for them to pay rent allowance at the previous rate of 540 p.m., which should not change until the lease is up.

    This could be a really difficult situation for alot of people who are on fixed term contracts. The landlord is not obliged to reduce the rent and can still enforce the contract that has been signed by the tenant. This could potentially mean that even if the tennt follows the advice of the HSE and moves out the tenant may still be liable for the rent for the duration of the contract. The landlord is obliged to mitigate their losses but as rent allowance rates are cut across the board this may not be completely possible leaving the tenant liable for the difference for the duration of the contract.

    Also even if the landlord agrees to the reduction in rent (if there is a fixed term contract) it is not legally binding (as there is no consideration/benefit for the landlord) in that they can still seek to recover the total amount called out in the original contract.

    The HSE seems to be leaning on the tenants to push through this reduction which I believe is wrong. They should allow the tenants to at least honour the current contracts and renegotiate the rent after the lapse.


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  • Registered Users, Registered Users 2 Posts: 182 ✭✭somegirl2009


    There is a way around this,

    explain to the landlord to write down what ever the correct limit is, but agree to pay him the extra what ever it is,

    its just so you have it down on your form for the cwo, but reassure the landlord that you will pay him exactly what he wants

    im sure it wouldnt be the first time the landlord was asked to do this


  • Registered Users, Registered Users 2 Posts: 656 ✭✭✭keredern


    There is a way around this,

    explain to the landlord to write down what ever the correct limit is, but agree to pay him the extra what ever it is,

    its just so you have it down on your form for the cwo, but reassure the landlord that you will pay him exactly what he wants

    im sure it wouldnt be the first time the landlord was asked to do this

    Appalling advice to give anyone.

    Apart from the obvious fraudulent nature of your advice, how is the OP going to pay extra rent from limited resources & still manage to pay utilities, living expenses, etc?

    OP I would strongly advise against doing anything like this as it will cause you extreme hardship, not to mention the fact that you would be making a fraudulent claim to DSP by misrepresenting the facts of your claim.

    I do hope that you manage to get the rent down or to locate a suitable place within the limits.

    Best of luck.


  • Registered Users, Registered Users 2 Posts: 5,614 ✭✭✭ArtSmart


    RAconcern wrote: »
    Hi,
    We're a couple with a child, currently living in a two-bed - our landlord will not lower the rent, and the market in this area is on a level with what our rent is. If we have to move to a smaller place nearby, how does that affect our current rent-allowance status? Will we be re-assessed as new applicants? Incidently, in the time we've been here, the ceiling for rentals was 890, now it's dropped to 625, but there is nothing available for that price and there has been no rental change in the market since 2009.
    Thanks for any input - a bit freaked, like many people I suppose, that we may have to pack up and leave.
    re bold bit. no.


    but you need to inform the CWO of your situation, intended move etc.


  • Registered Users, Registered Users 2 Posts: 656 ✭✭✭keredern


    ArtSmart wrote: »
    re bold bit. no.


    but you need to inform the CWO of your situation, intended move etc.


    Unfortunately, this is not correct.

    If the OP moves to a new address, then s/he must make a new claim & be assessed accordingly.

    RS CANNOT be transferred when moving address.

    ALL changes in circumstances must be notified to the HEO managing the local Community Welfare Service! :)


  • Registered Users, Registered Users 2 Posts: 5,614 ✭✭✭ArtSmart


    keredern wrote: »
    Unfortunately, this is not correct.

    If the OP moves to a new address, then s/he must make a new claim & be assessed accordingly.

    RS CANNOT be transferred when moving address.

    ALL changes in circumstances must be notified to the HEO managing the local Community Welfare Service! :)
    how are you defining new applicant?

    yes, the new rent must be submitted, new proof of address etc, but the client is not a new applicant.

    unless there is a recent change?

    eta, to clarify, it's a new application, but the client is not a new applicant (where extra info can be/ is usually required)


  • Registered Users, Registered Users 2 Posts: 656 ✭✭✭keredern


    ArtSmart wrote: »
    how are you defining new applicant?

    yes, the new rent must be submitted, new proof of address etc, but the client is not a new applicant.

    unless there is a recent change?

    eta, to clarify, it's a new application, but the client is not a new applicant (where extra info can be/ is usually required)

    Not really sure what you are asking me to clarify as my post is pretty clear? :)

    I think the OP is asking would they need to make a new claim if they change address.

    I didn't suggest the client is new, rather they WILL need to make a new application if they move.

    This will be assessed under exactly the same criteria as a new applicant.

    The assessment & rules do not change in either case, but the OP will not have to worry about satisfying the 6 month rule as their rent history will be available on screen.

    I hope that clears up any confusion! :)


  • Moderators, Category Moderators, Home & Garden Moderators, Recreation & Hobbies Moderators Posts: 22,430 CMod ✭✭✭✭Pawwed Rig


    There is a way around this,

    explain to the landlord to write down what ever the correct limit is, but agree to pay him the extra what ever it is,

    its just so you have it down on your form for the cwo, but reassure the landlord that you will pay him exactly what he wants

    im sure it wouldnt be the first time the landlord was asked to do this

    I agree with keredern. This is terrible advice and is illegal. It specifically states on the form 'the total amount of the payments per month'. It is very common amongst landlords though. I would be VERY surprised if either party could rely on the signed lease in a legal situation where they conspired to defraud social welfare and the Revenue commissioners.


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