# Rent allowance - Should I let them pay with it?



## Cityliving (14 Aug 2006)

HELP!

I am trying to rent an apt and someone has asked do I accept rent allowance cheques? What are they? Is it like social welfare? Is in a bad sign or good sign and should I just avoid them? I see lots of people with "good" apts say rent allowance not allowed.

I am not trying to judge or anything but I am a novice landlord and need to have things as level as possible,

They are onto me by text as I write this and I want to give some form of informed reply!


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## carolinemurp (14 Aug 2006)

*Re: RENT allowance - Should I let them pay with it?? (Quick reply if possible)*

Rent allowance is paid one month in arrears so you do need to make sure you are getting your deposit and month in advance to cover you.  I'm sure most ppl paying with rent allowance cheques are on the level but do use common sense and get references etc.


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## Cityliving (14 Aug 2006)

*Re: RENT allowance - Should I let them pay with it?? (Quick reply if possible)*

Who offers it to them. I read that its the government regarding a 1982 act? Why cant they just put it into their account themselves and give me the cash as normal?


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## carolinemurp (14 Aug 2006)

*Re: RENT allowance - Should I let them pay with it?? (Quick reply if possible)*

Rent allowance is paid by local health boards.  In some cases it can be paid directly to the Landlord. Alternatively it can be paid to the person renting the property.  I'm not entirely sure of the legalities.
[broken link removed]
Please check the above link which might be more helpfull


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## onlineprint (14 Aug 2006)

*Re: RENT allowance - Should I let them pay with it?? (Quick reply if possible)*

This past thread MAY be helpful 
http://www.askaboutmoney.com/showthread.php?t=6084


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## Cityliving (14 Aug 2006)

Very helpful thank you I see what it is now essentially a help for people with difficult circumstances


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## Howitzer (14 Aug 2006)

Cityliving said:


> Very helpful thank you I see what it is now essentially a help for people with difficult circumstances


 
Not the tenants you were hoping for?


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## Superman (14 Aug 2006)

Just because tenants are on rent allowance doesn't make them bad tenants.  See what they are like in person / get references.  We've been very happy with a number of our tenants who were on rent allowance.


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## miju (14 Aug 2006)

Superman said:


> Just because tenants are on rent allowance doesn't make them bad tenants.  See what they are like in person / get references.  We've been very happy with a number of our tenants who were on rent allowance.



agreed , we have rent allowance and our landlord is happy as chips mainly because we respect his property maintain it and fix simple things ourselves without hassling him and are respectful of our neighbours 

our "difficult" circumstance is that we cant afford to buy a house in the current crazy property market , of course i'm sure there's bad people on the allowance out there but just because people are being "helped out" doesnt mean they're gonna wreck the place on you

BTW you can actually be brought to court for refusing someone with rent allowance due to eqaulity laws on family circumstance so if you decide against accepting rent allowance best to say the property has been taken or something

IMHO alot of landlords wont accept rent allowance because they're not PRTB registered or paying VAT on their rent income which IMO is a case of pot calling kettle black in the way they "look down" on people with RA when they're screwing the VAT man themselves

sorry rant over , best of luck either way to the OP


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## dunkamania (15 Aug 2006)

I have had two RA tenants,one messed me around,and the other is a model tenant.
If you think they are decent ppl,then go for it,I would recommend you insist that the money is paid by by the local authority into your account.


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## Cityliving (15 Aug 2006)

Thatnks everyone for your advice, our family were on Social welfare not so many years ago so I`m certainly not trying to judge anyone it was just that I was worried it may be a more serious issue than I had thought.


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## ClubMan (15 Aug 2006)

madisona said:


> Landlords who accept RA are not required to register with the PRTB


I can't find anything to this effect on the PRTB website. This FAQ doesn't seem to mention the exemption of _RA _tenancies/properties:


> *2. What dwellings are exempt from the tenancy registration system?*
> 
> A number of dwellings are exempt from registration, these include:
> 
> ...


Perhaps you could point to authoritative information on this point?


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## Howitzer (15 Aug 2006)

ClubMan said:


> I can't find anything to this effect on the PRTB website. This FAQ doesn't seem to mention the exemption of _RA _tenancies/properties:
> Perhaps you could point to authoritative information on this point?


 
I believe the point is the other way round, that in order to accept RA cheques you don't need to provide the Health borad or your tenant with your PRTB registration number. Unlike, say, mortgage interest relief where you do need to provide it to the mortgage provider.

This is indeed a big loophole that should, and probably will, be closed off. 

Just to clarify, ALL landlords ARE required to register with the PRTB. Anyone entering into a tenancy with a RA tenant under the illusion that they've exempted themselves from various tax and legal obligations will more than likely find themselves trapped sometime in the future once this loophole is closed off.


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## Marcecie (15 Aug 2006)

I have had RA tenants for a number of years and never had any problems, you can have rent paid direct to your bank and collect their portion of rent yourself. The only draw back is rent is paid in arrears so you will have to try and get deposit and 1 months rent in advance from tenants. I checked with PRTB and they told me property has to be registered even if tenants are on rent allowance.


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## corco2000 (15 Aug 2006)

Madisona, Can you please explain this further?
''Rule of thumb :if you have a good quality place, rent privately. If your place is diliapadated and run down take the govt money.''

Thank you.


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## Superman (15 Aug 2006)

From personal experience I would disagree with Madisona's rule of thumb:

Firstly, RA tenants tend to be able to stay a long time - so if the accommodation is in good condition, they'll stay for years and spare you the hassle of replacing the tenant with all that entails (painting, and my pet hate - cleaning grout in showers etc. ).

Secondly, since a number of landlords do not accept RA tenants, it is actually surprisingly easy to get good quality RA tenants.

Thirdly RA tenants tend to be slightly older - 30's and 40's, and a far better bet than younger (well young Irish in any case) tenants - who tend to have parties, and not know what a vacuum cleaner is.


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## ClubMan (15 Aug 2006)

OK - I get your gist now but thought that you were saying that _RA _landlords were exempt from _PRTB _registration.


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## collie (16 Aug 2006)

miju said:


> agreed , we have rent allowance and our landlord is happy as chips mainly because we respect his property maintain it and fix simple things ourselves without hassling him and are respectful of our neighbors
> 
> our "difficult" circumstance is that we cant afford to buy a house in the current crazy property market , of course I'm sure there's bad people on the allowance out there but just because people are being "helped out" doesn't mean they're gonna wreck the place on you
> 
> ...


 

Miju: Your landlord is very lucky with you.
Why are you on rent allowance? Do you work?
Also I think its complete bull ref court proceeding and rent allowance tenants. Yes their are some good rent allowance tenants but one should always get references and get rent and deposit in advance because if they do a runner and owe money their is nothing the Social will or can do to them.Its the LL decision who he rent to. I also dont agree with your statement that if landlords dont accept R/A the are not paying tax. Oh come on get real, how difficult would it be for revenue to scroll though the papers and take note of ads with no R/A accepted. Big chip on your shoulder dude. Could someone in the legal profession answer the questing about court proceedings please.


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## giddyup (16 Aug 2006)

I've had the same RA tenants for over 2 years now in a brand new apartment.  I dont understand this thing about if you have a nice apt don't rent to RA tenants.  You should choose your tenants on the basis of refs and your own impression of them from meeting them.  My tenants are a lovely family and they are on RA because they are still waiting on the appropriate documentation to allow them to get legal full-time employment here.  I've had no problems with them - they lodge the rent to my bank account every month (the welfare cheque plus a small top-up from their own pockets) and they have been very understanding when we had some major snags about a year into their tenancy where they were seriously discommoded for about 2 weeks as a result of a flood (casued by shoddy Menolly Homes plumbing).

My personal feeling is that this family really appreciates the roof over their heads - it must be hard for them searching on Daft to see so many ads with 'RA not accepted'.  I think a lot of novice landlords just do this based on bad advice or misinformation.


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## liamwoods (16 Aug 2006)

Does anybody know what costs are involved to register an investment property with the PRTB. I have an apartment which I let out almost a year ago. Stamp duty is paid but I am yet to make a tax return in relation to the property (I understand I can wait untill the next tax year?). The current tenant has never asked for my PPS number to claim rent relief. Are there penalties for not being registered? Can I simply register now? I'm new to this and only recently heard about the PRTB.


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## ClubMan (16 Aug 2006)

Funnily enough this information is actually on their website.


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## liamwoods (16 Aug 2006)

Thanks Clubman


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## miju (16 Aug 2006)

first off, i most definitely haven't got a chip on my shoulder , my family have a roof over their heads , we're comfortable enough and very happy where we are so i've no reason for any chip on my shoulder already said why we chose the RA option and yes I do work



collie said:


> I also dont agree with your statement that if landlords dont accept R/A the are not paying tax. Oh come on get real, how difficult would it be for revenue to scroll though the papers and take note of ads with no R/A accepted. Big chip on your shoulder dude. Could someone in the legal profession answer the questing about court proceedings please.



perhaps the revenue have been trawling the papers and are saving it for a rainy day????? LOL

but seriously , i'm not saying all LL who don't accept it are avoiding tax i'm merely suggesting that i imagine a large majority of them are as they are trying to keep "as invisible as possible" to the tax man and to be honest it's not that far of the truth from talking to a few LL i know

PS: heres a brief description of the equal status act (pay paticular attention to the family status part) that anyone could bring against a landlord or anyone if they wished and had good reason , refusal to accept RA would most definitely fit that criteria.



			
				 EQAULITY AUTHORITY said:
			
		

> The Acts relate to discrimination based on the following *9 grounds*: Gender, Marital Status, Family Status, Age, Race, Religion, Disability, Sexual Orientation, Membership of the Traveller community.
> The Acts apply to people who:
> Buy and sell a wide variety of goods,
> Use or provide a wide range of services,
> ...


_
_


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## santiago (17 Aug 2006)

"Family status" can not be stretched to cover things like whether the family is on RA or not. It is very explicitly defined in the legislation and refers to being pregnant, having a child/children or being the carer of someone who's disabled. That's all. 





> ‘‘family status’’ means being pregnant or having responsibility—
> 
> (a) as a parent or as a person in loco parentis in relation to a person who has not attained the age of 18 years, or
> 
> ...


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## miju (17 Aug 2006)

and i think you'll find that the large majority of people on RA would be unemployed people or single mothers


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## santiago (18 Aug 2006)

miju said:


> and i think you'll find that the large majority of people on RA would be unemployed people or single mothers


 Quite possibly. The point I'm making is simply that any case taken under the "family status" component of the equal status legislation would have to relate to discrimination on the grounds that they were a single mother, not on the grounds they were on RA. Hence simply saying "no RA tenants" is not illegal under this legislation.


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## corco2000 (18 Aug 2006)

Madisona, T ax is self compliant...u declare yur own taxes. It aint the Social Welfares job to investigate if u are registered or pay appropriate tax...Irrelevant to them. Seperate departments,roles etc. Tho in theory I know what yur saying and id agree but that sounds like a utopia..


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