Finefair Ltd has always wanted to give its clients the best real estate services possible. At the same time, we see to it that they gain all the information they need. The subjects we specialise in include lettings, management, guaranteed rent, and others. We also know our fair share about local housing allowance in Waltham Forest. If you’re interested in discovering more, please continue reading.

Knowing what LHA is

Local Housing Allowance (LHA) arrived in 2008 originally. It’s a way for council’s to determine the Housing Benefit Entitlement for those in private sector housing. It is applicable in Wales, Scotland, and England.

This change to LHA is something we should discuss. In the past, councils based housing entitlement on the 50th percentile or median value of private rental housing in an area. After the change, they started using the 30th percentile. This is fairer.

The most notable thing about the allowance is that anyone capable of claiming will get a suitable amount for the area. LHA is so good because it utilises similar buildings with the same number of bedrooms to decide benefits.

Local Housing Allowance in Waltham Forest

There are websites containing vital details on LHA in Waltham Forest. The council’s own site is good, and you can also find rates at the Value Office Agency. To get you started, we are going to discuss some of the important points here.

Firstly, you are unable to obtain LHA if you’re a private tenant that is already receiving Housing Benefit as you will carry on getting that. You also won’t get it if you’re a council tenant, or one of a housing association. Other relevant situations include if you reside in bed and breakfast accommodation. Or, you can be in a house boat, mobile home, or caravan.

You also can’t get the benefits if your tenancy began before 1989, or you live somewhere where you receive care. There isn’t an individual claim form for LHA; you use the housing benefit claim form.

Calculating the benefit

As for how the council calculates LHA, they base it on a given fixed rate for your location. It does not come down to how much your rent is. There are separate rates depending on whether you or your household resides in 1, 2, 3, or 4 bedroom housing. If you have rent that is lower than your area’s LHA rate, the council will use the lower amount and the bedrooms to determine what you get.

For anyone with rent higher than the LHA, the council can only use the rate to determine what you get. It will be the tenant’s responsibility to cover any shortfall or arrange cheaper housing.

The actual quantity of benefit you gain comes down to who lives with you, your capital, and income. There can be deductions depending on how much you earn, savings, and people in the household.

Shared Accommodation Rate

This is the maximum the council can pay if someone is single and under 35. Also, they cannot receive severe disability premium and can’t be entitled to LHA.

The rules won’t apply if someone has a partner or a non-dependent adult living with them. It is the same if you have a child in your care and receive Child Benefit for them or if you qualify for particular disability benefits. Plus, if you are under age 25 and have been in care, or you have resided in a homeless hostel for three months or more, the rules won’t apply.

Paying LHA

When the rent is in arrears for eight or more weeks, the council will pay housing benefit straight to the landlord. They encourage landlords to contact the Benefit Service whenever rent has remained in arrears for five weeks. This will give the council time to accumulate information before the tenants reach the eight week mark.

You can count on our team

The people at Finefair Ltd know there is a lot to consider with housing. This can complicate matters for everyone, whether they are investors, landlords, or tenants. There is information out there that can help thankfully. It exists on local council websites. Not to mention, our own team can help with various areas.

We hope the info above gives you a better idea of local housing allowance in Waltham Forest. If you want to learn more, we encourage you to check the council’s website. You can also contact us to discuss guaranteed rent and our other services.