Finefair Ltd wants to ensure that its clients remain happy. To this end, we provide the finest services and most reliable information. The areas we specialise in are property management, council leasing, and guaranteed rent. At the same time, we supply details for local housing allowance in Lambeth. If this is what you need help with, carry on reading.
Where did LHA come from?
In 2008, we were introduced to local housing allowance (LHA) by the UK Government. It supplies officials with a way of calculating Housing Benefit entitlement. This is for those tenants renting in private sector accommodation in Scotland, England, or Wales.
The shift to LHA led to a major change to housing benefit payments and restrictions. Most importantly, there was the switch to basing entitlement on the 30th percentile of rental accommodation in the community. Before, we used the 50th percentile or median. The change was substantial.
LHA uses private market rental rates to see what everyone in the area pays. It goes over rates for the same quantity of bedrooms in the building. Due to this, it can ensure tenants in a place can claim similar benefit payments to what people receive if they get social housing.
Setting LHA rates
If you are wondering when they are chosen, it tends to happen in January. Afterwards, they take effect in April. You can see current LHA rates, by postcode and local authority, at the Valuation Office Agency. This is an excellent way of learning about the local housing allowance in Lambeth.
The rent officer produces a list of LHA rates for each broad market rental area (BRMA) every year. They do this for each dwelling category within the area, up to four bedrooms.
Like we’ve already said, LHA rates usually are at the 30th percentile of rents. This is in every size of dwelling on market rents. These are the rents tenants who aren’t getting housing benefit pay. It is a necessity for local authorities to publish LHA rates. Furthermore, they must ensure that they inform all eligible parties of the up-to-date rates.
LHA depends on where it is you are living. So, it is necessary to check locally to find out more about housing benefit. For local housing allowance in Lambeth, there are specific details to take note of. We will go over some of them here to get you started.
Does LHA cover all the rent?
The benefits aren’t always going to cover the total owed. The amount you can claim depends on your circumstances. However, the actual amount you pay to rent the property doesn’t have an impact. So, there can be situations where your rent is more than the benefit amount.
Deductions
Usually, people won’t gain the full LHA rate if they are working or influenced by the benefit cap. People can only claim housing benefit if their income is under a specific level.
The cap is the overall limit on the amount of benefits for working age individuals. It influences multiple families with kids and some single individuals in high rent areas. For those that are affected, their housing benefit or universal credit gets lowered to below the cap level.
Another situation where they won’t receive the full LHA rate is when there are other adults living in the property who should contribute. Money could be taken from the benefit in this situation. It can occur even if they are not contributing.
Check on local housing allowance in Lambeth
We understand the need to give our clients a list of high quality services. This is why we are the foremost business working in guaranteed rent and property management in London. As a result, you can rely on us for anything.
We also go one further by helping landlords to understand various topics. This includes local housing allowance in Lambeth. The info we offer can help you to see any impact on your investments.
So, if you need anything from us, get in contact today.
