Following changes to the way housing associations are funded by the Government, we now have to charge relatively high rents on some of our properties. These rents are known as ‘affordable rents’. Affordable rents are calculated at 80% of the full market rent and are generally higher than social rents.
If you are offered the tenancy of a property that we are letting under the affordable rents scheme, we will carry out a financial assessment with you to evaluate whether you will be able to afford the rent, taking into account your income, family size and outgoings, including any extra expenses. Because the rents are quite high, we (Hexagon and you) need to make sure that – as far as anyone can tell – you will be able to afford the rent and still maintain a reasonable lifestyle.
This is important for you because there is no benefit in you taking on a tenancy that you cannot afford; this will lead to financial hardship for you.
It is also important for us as a landlord, as we need to be confident that our tenants will be able to meet their rent payment commitments.
To start the process, a member of Hexagon staff will arrange a meeting with you. They will ask you to provide information about your income and any ‘extra’ expenses. What this covers will vary but could include:
- Paying off debts or loans.
- Paying off HP or credit agreements.
- Paying off fines.
- Paying off debts to utilities (gas, electric, etc.).
It is very important that you provide all the information that is requested. If you do not, we will take it to mean that you do not wish to be considered for the Hexagon tenancy, and your application will be classed as a ‘refusal’ by you.
You will be asked to provide details on:
|Income Information||Extra Expenses Information|
|Your earnings||Loans or debts|
|Any child tax credits||HP or credit agreements|
|Any working tax credits||Fines|
|Child benefits||Debts to gas and electric companies, etc.|
|Any other benefits||Credit card debts|
|Any other income|
More information about the financial assessment will be given to you when we offer you the tenancy.