Rent-a-Room Reduction

bikeman1

Hi guys,

I'm looking for some opinions on this matter. I rent a room out in my own home to a foreign language student. This an all in type contract with all bills included and in a nice place.

Up to last week the licencee was working part time in two jobs and both of these have ceased for now (restaurant trade) as a result of Covid 19. I looked into the Covid 19 payment and the €350 payment is available to students who were in employment here (legally) which in this case they were. An application has been put in and colleagues have already received their first payment. My guess would be this payment will nearly cover all their wages.

Yesterday, I was approached and asked would I consider a rent reduction as a result of the crisis. I am not cold blooded to say no straight away, but with the supports now put in place they won't be that far behind where they were before. Classes are continuing online now.

As a result, the licencee is now at home all day everyday and thus using the property even more than before, plus more light and heat, wear & tear etc.

I don't feel a reduction of rent should apply, but I don't want to lose the rental and find it hard to get someone in these times.

What do you think?

housetypeb

Coldly thinking.
The licensee would seem to be getting enough to cover his agreed rent,and is continuing his education online, which is why he is there in the first place. While not working might impact his ability to save and put money aside for himself, that should not be your concern.
I'd be holding firm and accept that he may leave.

khaldrogo

bikeman1 wrote: »

Hi guys,

I'm looking for some opinions on this matter. I rent a room out in my own home to a foreign language student. This an all in type contract with all bills included and in a nice place.

Up to last week the licencee was working part time in two jobs and both of these have ceased for now (restaurant trade) as a result of Covid 19. I looked into the Covid 19 payment and the €350 payment is available to students who were in employment here (legally) which in this case they were. An application has been put in and colleagues have already received their first payment. My guess would be this payment will nearly cover all their wages.

Yesterday, I was approached and asked would I consider a rent reduction as a result of the crisis. I am not cold blooded to say no straight away, but with the supports now put in place they won't be that far behind where they were before. Classes are continuing online now.

As a result, the licencee is now at home all day everyday and thus using the property even more than before, plus more light and heat, wear & tear etc.

I don't feel a reduction of rent should apply, but I don't want to lose the rental and find it hard to get someone in these times.

What do you think?

they would find it impossible to get new lodgings at the moment. Feck them I say.

I'm in a similar situation in that my lodger is at home all day, using more electricity etc. I feel I should really charge more but the other half is against it.

WestWicklow1

bikeman1 wrote: »

What do you think?

I'm not in your situation but if I was I would definitely NOT give a reduction. Too many are using the current situation as an excuse for many varied things and as you say this person is probably not at much of a loss.

If they push it, counteract with the prospect of an increase because of the extra electricity, heat etc.

MacDanger

khaldrogo wrote: »

they would find it impossible to get new lodgings at the moment. Feck them I say.

I'm in a similar situation in that my lodger is at home all day, using more electricity etc. I feel I should really charge more but the other half is against it.

Would they though? I'd have thought there'd be plenty of places coming free; there's a thread on here discussing increased availability of accommodation.

For the OP, I guess it's a trade off between how much you value keeping them (if there's increased availability, they may go elsewhere) versus how much you need the money at current levels. Maybe check what availability there is in your area and what the prices are, that should give you a good idea

Samuel T. Cogley

I'd give them a small reduction and explain you have to factor in increased bills.

antix80

Why would you give reduction? The student is probably getting refunded fees, doesn't have travel costs, and if taking social isolation seriously is saving on socialising. They likely won't be visiting their home country for a few months either.

Now, if supply went up and rent costs fell, that's another story. You'd need to be competitive to keep them. Otherwise just explain to your lodger that if they can get cheaper elsewhere you'll be advising them to do that - at least you'll have your space to yourself and when colleges are back you can find a new lodger.

Edgware

Don't give reduction. There's a mood now that landlords etc should start cutting rents and theres plenty going to chance their arm by not paying and then doing a bunk in June/July

Mic 1972

Dont forget that with the new restrictions in place you will be stuck with your lodger in your house whether he pays or not, I'm on the same boat

Samuel T. Cogley

Mic 1972 wrote: »

Dont forget that with the new restrictions in place you will be stuck with your lodger in your house whether he pays or not, I'm on the same boat

It doesn't apply to RAR as far as can be made out.

Mic 1972

Samuel T. Cogley wrote: »

It doesn't apply to RAR as far as can be made out.

Are we sure about that? i'm expecting a lodger to move out on 1st Aptil but i doubt he will. I need to make my homework before i call the garda about the law but i'm not sure the new amendment spares rent-a-room from the eviction ban

Samuel T. Cogley

Mic 1972 wrote: »

Are we sure about that? i'm expecting a lodger to move out on 1st Aptil but i doubt he will. I need to make my homework before i call the garda about the law but i'm not sure the new amendment spares rent-a-room from the eviction ban

Discussed here:
https://www.boards.ie/vbulletin/showthread.php?t=2058065130

bikeman1

Just to give an update on my earlier predicament.

I sat the lodger down and explained the situation, that the bills are still coming on my end and the rent is what it is. I offered a €50 reduction and this was taken. They came up with the rent, but the €350 government Covid19 payment had not kicked in.

That has subsequently come through, so there will be no issues going forward thankfully.