Can Landlords Refuse DSS tenants? A Landlord’s Guide

Landlords have the right to choose who you rent your property to. However, when it comes to tenants who rely on benefits, particularly those receiving housing benefits from the Department of Social Security (DSS), the decision to refuse them can be a contentious one.

In this guide, we will explore the legalities and practicalities of refusing DSS tenants, as well as provide alternative solutions to accommodate tenants on housing benefits. So, let’s get started with the question on many landlords’ minds: Can landlords refuse DSS tenants?

Understanding the Legalities of refusing DSS tenants

Many landlords may be under the impression that they have the right to refuse DSS tenants, but is this actually legal? The answer is both yes and no. Legally, landlords cannot refuse a tenant based on their status as a recipient of benefits. Doing so would be considered discrimination, which is prohibited under the Equality Act 2010. Landlords also cannot refuse tenants based on their race, gender, age, religion, or any other protected characteristic.

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However, landlords can refuse a tenant based on their inability to pay rent, as long as this decision is not related to their status as a benefit recipient. For example, if a landlord is concerned that a tenant will not be able to afford the rent because they are on a low income, this would not be considered a valid reason for refusal. However, if a tenant has a history of not paying rent, or if their income is insufficient to cover the rent, then a landlord may have grounds to refuse them.

Alternatives to Refusing DSS Tenants

 While landlords may technically have the right to refuse DSS tenants, it is important to consider alternative solutions before making such a decision. Here are some options to consider:

  • Guarantors: If a tenant is unable to provide sufficient income to cover the rent, a guarantor may be able to assist. A guarantor is someone who agrees to pay the rent if the tenant is unable to do so. Guarantors are often required for students or those with low incomes.
  • Rent in Advance: Another option is to require tenants to pay several months’ rent in advance. This can provide a landlord with the security of knowing that rent will be paid, even if the tenant’s income is not sufficient to cover the monthly rent.

FAQs

Can a landlord ask for proof of income from DSS tenants?

Yes, landlords can ask for proof of income from all tenants, including those on benefits. This can include bank statements, pay slips, and benefit letters.

Can a landlord charge higher rent to DSS tenants?

No, landlords cannot charge higher rent to tenants based on their status as benefit recipients. Doing so would be considered discrimination and is prohibited under the Equality Act 2010. 

Can a landlord evict a DSS tenant for falling behind on rent?

Yes, landlords can evict tenants who fall behind on rent, regardless of their income source. However, landlords must follow the correct legal procedures for eviction.

Conclusion

In conclusion, while landlords may technically have the right to refuse DSS tenants, it is important to consider the legalities and alternative solutions and practicalities of such a decision. Refusing tenants based on their status as a benefit recipient is considered discrimination and is prohibited by law. However, landlords can refuse tenants based on their ability to pay rent, as long as this decision is not related to their status as a benefit recipient.

 

It is important for landlords to consider alternative solutions before refusing DSS tenants, such as requiring a guarantor, rent in advance, or referring tenants to support services. Landlords should also be aware that they can ask for proof of income from all tenants, including those on benefits.

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Sam has a wealth of experience across the private landlord and Build to Rent sectors. He has advised a wide range of clients across the whole of London on how to find great tenants, improve their assets and effectively market their properties for the best returns.

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