Calculating Your Rent

The Government has set a Target Rent for all properties across the country and have instructed all landlords, including Trafford Housing Trust to move the rent for each property to this Target Rent. The Government have said that this must be achieved by 2012.

The Government have also set a maximum amount that a landlord can raise the rent by each year in moving to this Target Rent.

We must follow these Government guidelines each year in calculating your new rent. These guidelines also keep Trafford Housing Trust within the promises made in the Offer Document at the time of the stock transfer.

The following is a quick guide to how your rent is calculated.

The Government have set a target rent for all properties.

This is based on:-
The value of housing in the area (e.g. a 2 bed flat)
Average earning in the Region (Greater Manchester)

The Government have also set a formula to increase this Target Rent each year.

RETAIL
PRICE + 0.5% = INCREASE IN YOUR TARGET RENT
INDEX

The Retail Price Index used this year was 3.6% as at September 2006.

Changing your Basic Rent to the Target Rent

We have to change your current basic rent to meet the new Government Target Rent. The Government has set a formula to help us calculate your new basic rent and as explained in the Offer Document at Transfer, the Trust cannot increase your basic rent by more than this:

RETAIL PRICE      +       0.5%        +         £2.00      =        INCREASE IN YOUR INDEX BASIC RENT

The Retail Price Index used this year was 3.6% as at September 2006.

This will move the Basic Rent nearer the Target Rent but it may take several more years for them to be at the same level.

Do you have any service charges to pay?

Charges for specific services now have to be specified and charged separately. These are called service charges and apply to tenants who benefit from communal maintenance and services such as:-

• Communal lighting 
• Caretaking 
• Warden service
• Communal heating charge 
• Gardens maintenance
  

How are these charges increased each year?

Service charges are determined by the Trust on an annual basis and tenants will be advised of these increases. The charges reflect the actual cost of providing the service.

The following services are increased by inflation:-

• Communal lighting 
• Caretaking 
• Warden service 
• Communal heating charge

The cost of Garden maintenance is determined by price increases set by the contractor.

Your total rent is:

BASIC RENT     +      SERVICE CHARGES*      =       TOTAL RENT

*where applicable

If you are experiencing difficulties paying your rent you may be able to apply for Housing Benefit.

For more information on Housing Benefit, please click here.

If you are being charged for the Warden Service you may be entitled to Supporting People payments to help with this.

For more information on Supporting People, please click here.