St Albans: The Most Expensive City to Rent Outside of London

At the top of the list for rental costs is St Albans, where renters face an average price of £2,307 per month. This figure is a staggering 71% above the national average, making St Albans the most expensive city outside of London. Located just 20 miles north of the capital, St Albans is renowned for its historic charm, excellent schools and quick commutes to London. These factors make it a desirable location for families and professionals alike, pushing up demand—and with it, prices.

For those who are considering a move to St Albans, it’s important to note that the appeal of this cathedral city comes with a hefty price tag. Renting in St Albans might be financially challenging for some, but the high quality of life, beautiful surroundings and easy access to London keep it popular despite the soaring costs.

University Cities: Rising Rents Driven by Student Demand

With the new academic year underway, university cities across the UK have seen a significant rise in rental prices. Many of these cities have experienced a five-year rental growth of over 40%, making it increasingly difficult for students to find affordable accommodation. For example, cities such as Bristol, Edinburgh and Manchester—all major hubs for higher education—have seen a steady increase in rental demand as students flock to these popular study destinations.

For students and graduates, the cost of living in these cities is becoming a critical factor in decision-making. Many students are now choosing universities not just based on their academic reputation but also on the affordability of surrounding areas. Graduates, too, must consider rental prices when deciding whether to stay and work in the city post-graduation. In cities where rental prices have surged, students may find themselves moving to neighbouring towns or opting for shared accommodations to manage costs.

Carlisle: The Most Affordable City to Rent

On the other end of the spectrum is Carlisle, where the average rent is £791 per month, 41% below the national average. Nestled in the far north of England, close to the Scottish border, Carlisle offers a significantly more affordable rental market compared to the rest of the UK. While it may not have the same high-profile appeal as larger cities, Carlisle boasts a rich history, stunning natural landscapes and a strong sense of community.

The affordability of Carlisle makes it an attractive option for renters looking to avoid the high costs associated with more southern locations. Whether you’re a remote worker, retiree or simply looking for a quieter pace of life, Carlisle could provide a quality living experience without breaking the bank.

The Growing Divide Between North and South

The rental market in the UK shows a growing divide between the north and south. Southern cities, particularly those within commuting distance of London, tend to command significantly higher rents than their northern counterparts. For example, Oxford and Cambridge, two cities known for their prestigious universities and cultural appeal, also rank high on the list of expensive rental markets.

Meanwhile, cities in the north, such as Sheffield, Hull and Newcastle, generally offer more affordable rental options. However, even northern cities are not immune to rising rents, especially in university towns where student demand is high. While they may not rival the prices of southern hotspots, these cities are gradually becoming more expensive.

Factors Influencing Rental Prices

Several factors contribute to the disparity in rental prices across UK cities:

• Proximity to London: Cities like St Albans, which are within commuting distance to London, tend to have higher rental prices due to their location.
• University Demand: Cities with large student populations, such as Manchester and Bristol, experience rental price surges due to consistent demand for accommodation.
• Economic Opportunities: Cities with strong job markets and economic growth attract more professionals, driving up demand for rental properties.
• Quality of Life: Areas offering excellent schools, cultural attractions and transport links, such as Oxford and Cambridge, also see higher rents due to their desirability.

The Impact of Rental Prices on Lifestyle Choices

The stark difference in rental prices across UK cities has a profound impact on where people choose to live, study and work. As rents in southern cities continue to rise, many young professionals and families are looking further afield for affordable living options. Northern cities, with their more budget-friendly rental markets, are becoming more attractive as they offer a balance between affordability and lifestyle.

Similarly, students are now factoring in rental prices when choosing their universities. In cities where accommodation costs have risen sharply, students may opt for alternative locations that offer a more affordable living experience, both during their studies and beyond.

By keeping a close eye on the UK’s rental market and its ongoing changes, you can make a more informed decision when it comes to choosing your next rental property. Whether you’re after the prestige of St Albans or the affordability of Carlisle, understanding the landscape of UK rents is key to securing the right home for you.

Are you looking to rent in one of the UK’s top cities? Whether you’re seeking a rental in a bustling university town or a quieter, more affordable area, it’s essential to stay informed about the latest rental market trends. At Northwood, we provide expert advice and support to help you find the perfect rental property for your needs. Contact us today to learn more about our available properties and to find your next home!

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Recent Trends in Rental Price Growth

Over recent years, rental prices in the UK have experienced substantial increases. In June 2023, annual rental growth peaked at 10.4%, reflecting a sharp rise in the cost of renting a home. However, as of now, this growth has moderated slightly to 7.9%. This deceleration is a welcome sign for many renters who have been grappling with escalating costs.

The high rental growth in previous years can be attributed to various factors, including increased demand for rental properties, limited housing supply and rising property prices. These factors have collectively exerted upward pressure on rents, making it more challenging for renters to find affordable housing.

Affordability Concerns

Affordability has become a critical issue in the rental market. In April, renters were spending an average of 33.3% of their income on rent. This high percentage underscores the financial strain faced by many households. The situation has worsened over the past year, with affordability weakening across all UK regions.

The North East and Wales have seen the most significant declines in renter affordability. In these regions, the proportion of income spent on rent has risen considerably, exacerbating the financial burden on renters. This trend highlights the need for more affordable rental options and policies that address the root causes of rising rental prices.

Regional Variations

While affordability has generally weakened across the UK, there are notable regional differences. The North East and Wales have experienced the most pronounced declines in affordability, but other regions are also feeling the pinch. For instance, London, traditionally one of the most expensive places to rent, continues to see high rental prices, although the rate of increase has slowed slightly.

In contrast, some regions have seen more moderate rental growth. For example, areas in the Midlands and the South West have experienced lower increases in rental prices compared to other parts of the country. These variations reflect the diverse economic and housing market conditions across the UK.

Future Outlook

Looking ahead, rental growth is expected to remain relatively high in 2024, albeit lower than the rates seen in recent years. According to Dataloft, rental growth rates are anticipated to moderate further, aligning more closely with long-term earnings growth. By 2025 and beyond, annual rental growth rates are projected to be around 3%, which is more sustainable and reflective of historical trends.

This moderation in rental growth is likely to be driven by several factors. Economic conditions, changes in housing supply and government policies aimed at improving housing affordability will all play a role in shaping the rental market. Additionally, as the cost-of-living crisis continues to affect many households, there may be increased pressure on landlords to keep rent increases in check.

Implications for Renters and Landlords

For renters, the expected moderation in rental growth is a positive development. It offers some relief from the rapid increases of recent years and provides a more stable environment for budgeting and financial planning. However, given that affordability remains a concern, renters should continue to explore all available options, such as negotiating rents, seeking out more affordable areas, or considering shared housing arrangements.

For landlords, the changing rental market presents both challenges and opportunities. While the potential for high rental income may decrease slightly, maintaining good tenant relationships and ensuring properties are well-maintained will be crucial for long-term success. Landlords should also stay informed about policy changes and market trends to adapt their strategies accordingly.

Rental price growth in the UK has moderated from its peak but remains a significant concern for affordability. Renters are spending a substantial portion of their income on rent, with regional variations highlighting the diverse impacts across the country. As we move further into 2024 and beyond, rental growth is expected to align more closely with long-term earnings, offering some relief to renters.

At Northwood, we are committed to helping renters and landlords navigate these changes. Whether you are looking for a rental property or need advice on managing your rental portfolio, our team of experts is here to assist you. Contact us today to learn more about our services and how we can support you in the evolving rental market.

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The Speed of the Market

The rental market is moving at a rapid pace. Less than 6% of properties are currently on the market for more than two weeks, compared to 14% at the start of the year. This swift turnover means tenants need to be prepared to act quickly. With the majority of properties being let within a week, it’s clear that timing is critical. Prospective renters must stay alert and ready to make swift decisions to secure their desired home.

Tenant Preparation

Given the competitive nature of the rental market, it’s essential for tenants to present themselves as the ideal candidates. Here are some tips on how to make a positive impression on landlords and agents:

1. Have Your Paperwork Ready

Before beginning your property search, ensure you have all necessary documentation prepared. This typically includes:

• Proof of income (such as pay slips or bank statements)
• Employment references
• Previous landlord references
• Identification (passport or driving licence)

Having these documents ready to present shows you are organised and serious about renting.

2. Understand Your Budget

It’s crucial to know exactly what you can afford. Consider all associated costs, including rent, utility bills, council tax and other living expenses. Being clear about your budget helps you avoid wasting time on properties that are beyond your financial reach and demonstrates to landlords that you are financially responsible.

3. Be Ready to Act Fast

With properties being let so quickly, you must be prepared to act decisively. This means being available for viewings, responding promptly to communications from agents and being ready to make an offer when you find a suitable property. Delays can result in missing out on a potential home.

4. Create a Positive First Impression

First impressions matter. When attending viewings, dress smartly and arrive on time. Being polite and respectful can go a long way in creating a favourable impression with both landlords and letting agents. Remember, they are not only evaluating your suitability as a tenant but also how you will maintain their property.

5. Prepare a Tenant Profile

Consider preparing a tenant profile that includes a brief introduction about yourself, your employment situation and any other relevant information. This can help landlords and agents get to know you better and understand why you would be an ideal tenant.

Understanding Market Trends

Despite a decrease in demand for rented homes by 20% over the past year, the competition remains high due to the limited availability of rental properties. With more than 15 enquiries for every available rental property, tenants must differentiate themselves to stand out. Being well-prepared and presenting yourself as a reliable and responsible tenant can make all the difference.

The Importance of Flexibility

Flexibility can be a significant advantage in the rental market. If you can be flexible with your move-in date or are willing to consider properties in different locations, you may increase your chances of finding a rental home. Being open to a range of options can provide more opportunities and potentially lead to quicker success in your search.

The rental market is currently characterised by rapid turnover and high competition. To secure a rental home, tenants need to be prepared, organised and proactive. By having all necessary documentation ready, understanding your budget, acting quickly, making a positive first impression and preparing a tenant profile, you can increase your chances of successfully securing a rental property.

For those navigating this competitive market, staying informed and prepared is key. At Northwood, we are committed to helping you find your ideal rental home. Contact us today to start your search and let us guide you through the process with ease and expertise.

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Understanding Your Role in Reporting Repairs

It’s important to recognise that reporting repairs is not a bother to your estate agent or landlord, but rather a necessary part of maintaining the property. You should advise us of any repairs or maintenance needed as soon as it arises. We will contact your landlord and discuss next steps. If the landlord is on our managed service, we will take responsibility for liaising with any appointed contractors. Many of our offices have an online repair and maintenance reporting system to speed up the reporting process.

Recognising What to Report

The scope of repairs that should be reported includes:

• Electrical issues like faulty wiring, flickering lights, or malfunctioning sockets.
• Plumbing problems such as leaks, blocked drains, or inadequate water pressure.
• Issues with heating and hot water.
• Damaged fixtures or fittings.
• Structural problems like damp, mould, or cracks in the walls.
• Broken appliances provided with the property.

Remember, normal wear and tear are expected, but any damage affecting the property’s functionality or value should be reported​​.

The Importance of Reporting Small Repairs

Reporting even minor repairs is vital for several reasons:

1. Prevention is Better Than Cure: Minor issues can escalate into major ones. Prompt reporting allows for quicker resolution and prevents bigger problems.
2. Protecting Your Deposit: Reporting repairs helps maintain the property’s condition, safeguarding your deposit against deductions for damages or deterioration.
3. Maintaining a Safe Environment: Reporting issues like faulty electrics or mould growth ensures the property remains habitable and safe​​.

How to Report Repairs

The process generally involves:

1. Assessing the Problem: Understand the issue and its severity.
2. Documenting the Issue: Take pictures and write a brief description.
3. Contacting Your Landlord or Estate Agent: Ideally in writing, detail the issue and include any supporting documentation.
4. Following Up: If there’s no response in a reasonable time, follow up​​.

Your Responsibilities as a Tenant

As a tenant, you’re expected to:

• Keep the property reasonably clean.
• Conduct safety checks on your electrical appliances.
• Maintain gardens and outside areas.
• Ensure good ventilation to prevent condensation.
• Perform minor maintenance like changing light bulbs or smoke alarm batteries​​.

Note that you might be liable for repair costs for damage you caused, even if your landlord would normally be responsible.

Landlord’s Responsibilities

Landlords are responsible for:

• Repairs to the property’s structure and exterior.
• Maintenance of basins, sinks, baths, and other sanitary fittings.
• Ensuring functioning heating and hot water systems.
• Maintaining gas appliances, pipes, flues, and ventilation.
• Upkeep of electrical wiring​​.

Effectively reporting repairs is not a hassle but a responsibility that ensures the longevity and safety of your living space. Don’t hesitate to communicate any issues to your landlord or estate agent.

If you’re facing any issues with your rental property, please report them to us as soon as possible. Whether it’s through our online system or directly contacting our office, we are here to help ensure your rental experience is smooth and secure.

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What Is the ‘Right to Rent’?

The right to rent refers to the requirement for landlords to check that all adult tenants (or occupants) can legally rent residential property in England. This means verifying that these individuals have the necessary immigration status or citizenship to be eligible for private renting in the UK.

Why Was the ‘Right to Rent’ Introduced?

The UK government introduced this scheme to discourage illegal residency in the country. By placing the onus on landlords to make these checks, it reduces the chances of individuals without proper documentation from accessing housing. This procedure ensures the legitimacy of everyone in the private renting sector, providing a safeguard against potential abuses.

Right to Rent for Immigrants

If you’re an immigrant, your right to rent in the UK is contingent upon your immigration status. Here’s a simple breakdown:

1. Unlimited Right to Rent: If you’re an EEA, Swiss national, or have indefinite leave to remain, you have an unlimited right to rent.
2. Time-Limited Right to Rent: If you’re in the UK on a valid visa with an expiration date, you possess a time-limited right to rent. This means your ability to rent will be tied to the length of your visa.

Remember, landlords are legally obligated to conduct these checks. So, be prepared to provide the appropriate documents that display your immigration status.

Right to Rent for UK Nationals

If you’re a UK citizen, you automatically have an unlimited right to rent. However, it’s crucial to note that you will still be asked to provide proof. This could be in the form of:

1. A valid UK passport.
2. A birth or adoption certificate, combined with a driving licence or recent government letter.

How Can I Prove My ‘Right to Rent’?

Whether you’re an immigrant or a UK national, proving your right to rent involves a few steps:

1. Documentation: Present the necessary original documents to your prospective landlord. These could range from passports and birth certificates to visas and residence permits. The government has provided an exhaustive list, which can be found here.
2. Check in Person: The landlord must check the documents in the presence of the holder to ensure authenticity.
3. Record Keeping: Landlords are expected to make copies of the documents, noting the date of the check. They must retain these copies for a year after the tenancy has ended.
4. Follow-up Checks: For those with a time-limited right to rent, landlords should conduct follow-up checks. If a tenant’s permission to stay expires during the tenancy, landlords must report this to the Home Office.

Utilising Certified Identity Service Providers (IDSPs)

For enhanced convenience in this digital age, there are Certified Identity Service Providers (IDSPs). These third-party providers have achieved a Government standard, allowing them to carry out digital Right to Rent checks on British and Irish citizens with a valid passport, including Irish passport cards.

However, it’s essential to note that while IDSPs provide a streamlined process, not all landlords and agents will have the capability to offer Right to Rent checks through an IDSP.

The Home Office Share Code System

Overseas nationals with an authenticated Home Office immigration status have another seamless option at their disposal. Instead of a plethora of documents, you can simply furnish a share code, coupled with your date of birth, to your letting agent. With this information, agents can instantly access the Home Office’s real-time system, subsequently generating your Right to Rent decision without requiring any additional documentation.

What If I Don’t Have the Right Documents?

If you can’t provide the standard documents, you can request the Home Office to conduct a ‘right to rent’ check on your behalf. They will then provide your landlord with a ‘yes’ or ‘no’ answer regarding your right to rent.

Penalties for Non-Compliance

Landlords can face stiff penalties if they rent to someone who doesn’t have the right to live in the UK and haven’t conducted the necessary checks. This underscores the importance of this process for all involved parties.

Navigating the right to rent in the UK can seem daunting, but with the correct information and preparation, it can be a straightforward process. Whether you’re a landlord or tenant, it’s vital to understand the requirements to ensure a smooth renting experience.

Before making any decisions or seeking a property to rent, always ensure you’re well-versed in the latest legal requirements. For a detailed guide, visit the government’s official page. And always consider seeking advice from professional estate agents who are updated on the latest regulations and can guide you through the process seamlessly.

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As the UK property market continues to evolve, a new trend is emerging. Renters, it seems, are looking to set down roots in their rented properties for longer durations. The Dataloft Inform data for Q2 2023 throws light on this recent shift. In this article, we’ll dive deeper into the data and explore the potential reasons driving this change.

Initial Rental Contracts: An Extension in Duration

Historically, the rental market witnessed initial rental contracts averaging around 10.5 months during Q2 2019. Fast forward to Q2 2023, and this number has seen a significant bump up to 12.7 months. Such an increase can’t merely be brushed off as a statistical anomaly; there’s more at play here.

One of the major factors cited is the existing low levels of stock, which inevitably leads to rising rents in the open market. When potential renters are faced with limited choices, they’re more inclined to stay put, especially if their current living situation is satisfactory. Rising rents, on the other hand, act as a deterrent for those considering a move.

The London Scenario: Tight Competition and Long-Term Stays

Nowhere is the trend more evident than in the bustling metropolis of London. The city’s rental market is renowned for its fierce competition. As demand perennially outstrips supply, renters find themselves in a high-stakes race to secure a property that aligns with their needs and budget.

In such a climate, it’s hardly surprising that renters in London are leaning towards long-term stays. Once they’ve secured a property, the thought of re-entering the competitive rental market is daunting, to say the least. Hence, tenants tend to prolong their stay, enjoying the stability amidst the ever-fluctuating market.

The Impact of the Renters (Reform) Bill

Recent legislative proposals also seem to be playing a pivotal role in influencing the rental duration. The Renters (Reform) Bill, which has been making headlines, proposes a significant change: the cessation of fixed term Assured Shorthold Tenancies (ASTs).

The idea behind this is to introduce open-ended renter contracts, ensuring greater flexibility for renters. Without the constraint of a fixed term, renters can enjoy more autonomy in deciding the length of their stay. This not only reduces the hassle of frequent moves but also gives them a sense of security and continuity.

The Way Forward: A New Rental Landscape

What does this mean for landlords and estate agents? While the longer rental periods might appear as reduced opportunities for new lettings, they offer a different advantage: stability. With tenants staying longer, the turnover is reduced, which can lead to consistent rental income and fewer void periods.

For tenants, longer stays can mean a stronger sense of community, familiarity, and the chance to truly make a rental property feel like home. With fewer worries about imminent moves, they can invest time, effort, and even money into their living spaces.

Embracing the Change

For agents and landlords alike, it’s time to adapt and embrace this new landscape. While the focus has traditionally been on frequent lettings, the emphasis should now shift to long-term tenant satisfaction and retention. Happy tenants who feel secure and valued are more likely to stay put. Offering services, resources, and advice that help renters make the most of their long-term stays could be the way forward.

If you’re a landlord eager to understand these market shifts and how they impact you, get in touch with our team today. We’re here to guide, advise, and ensure you’re well-prepared for the changing tides of the rental market.

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1. Understand the Tenancy Deposit Scheme

In the UK, your landlord is legally obliged to protect your deposit under a government-approved Tenancy Deposit Scheme (TDS) if you’re in an assured shorthold tenancy (AST) that started after 6 April 2007. The scheme ensures that tenants will get their deposits back if they meet the terms of the tenancy agreement, don’t damage the property, and pay rent and bills.

Your landlord must provide you with details of the scheme they are using within 30 days of receiving your deposit. This information will also include the process to follow if there is a dispute over the deposit. Familiarise yourself with this so that you understand fully what is at stake.

2. Conduct a Thorough Inventory Check

The inventory check at the start of your tenancy is crucial. This inventory will serve as a benchmark for the condition of the property when you moved in. Your inventory checklist should be detailed, and usually includes photographs as proof of the property’s condition. As this is going to be compared when you eventually move out, make sure any differences or discrepancies with the condition report are raised at the time you move in. Otherwise, you could end up footing the bill.

At the end of your tenancy, compare the condition of the property with the initial Inventory Check. This will help you identify any potential issues that could lead to deductions from your deposit. If there are issues sort them out before the final check out is done.

3. Keep the Property Clean and Well-Maintained

Regular cleaning and maintenance are essential to get your deposit back in full. Ensure you keep all areas of the property, including the garden if you have one, in good condition.

If the property was professionally cleaned before you moved in, it might be a requirement of your tenancy agreement to have it professionally cleaned when you move out. If this is the case, remember to keep all your receipts as proof.

4. Report Damages Promptly

If something is damaged or broken, report it to your landlord or letting agent immediately. They may be able to repair or replace it before it becomes a bigger more costly problem. This is usually more cost-effective than deductions from your deposit at the end of your tenancy.

5. Pay Your Rent and Bills On Time

Ensure that all rent and bills associated with the property are paid up to date. Unpaid bills can be deducted from your deposit.

6. Understand the Timescales

At the end of your tenancy, your landlord has 10 days to return your deposit if there are no disputes. If there is a dispute, and it’s taken to the deposit protection scheme for resolution, the process could take a few weeks.

7. Agree on the Deposit Deductions

If your landlord proposes deductions from your deposit, they should provide you with a breakdown. If you disagree with any deductions, contact your landlord or letting agent to discuss it. If you can’t agree, you can use your deposit protection scheme’s dispute resolution service. This is a free service designed to settle these kinds of disputes.

Receiving your full rental deposit back at the end of your tenancy is easy, if you understand the process from the start of your tenancy, take good care of the property, and fulfil the terms of your tenancy agreement. Start as you mean to go on, and you’ll find the process of reclaiming your deposit far less daunting.

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Zero Deposit Schemes

Zero deposit schemes are an insurance policy. The tenant pays a much smaller sum to a third party provider who then covers them for the 5 or 6 week’s deposit. The fee that is paid is typically around 1 week’s rent. So, the upfront outlay is significantly less for a prospective tenant and the landlord is covered. There are, however, some significant downsides to a zero deposit scheme which anyone looking to take advantage of the lower upfront costs should consider:

• Quite often these schemes have either monthly or annual charges for renewal. This means that, over time, the amount a tenant pays increases
• The fees that are paid are non-refundable, just like any other insurance policy
• The tenant is still liable at the end of the tenancy to pay for any damages or unpaid rent. The insurance cover will assist with any disputes and will settle, in the first instance, any claims by the landlord, but ultimately the provider will look for repayment directly from the tenant. Typically, this would come out of the security deposit.

Whilst a Zero Deposit Scheme significantly reduces the upfront costs of moving it is important to understand that there might be further fees as time goes on and that the tenant is still personally liable to pay for any damage or unpaid rent.

What about the tenant fees ban?

Under the tenant fees rules a landlord cannot insist on a payment to a 3^rd party as a pre-condition for a tenancy to be granted. How, then does, a tenant paying a fee to a 3^rd party zero deposit insurance provider work as this type of fee seems to be legally banned.

It is quite simple, as long as the tenant has the choice of either paying a full deposit or taking out the insurance and it isn’t forced upon them by a landlord or their agent, then the fee payment is perfectly acceptable.

Zero deposit schemes can be very advantageous to help tenants find a suitable rental property whilst not requiring them to find a larger security deposits. There are some downsides though and tenants should make themselves aware of this and a Landlord who offers this as part of the tenancy has to be aware that, to avoid falling foul of the tenant fees act, they need to make it a choice rather than a requirement of the tenancy.

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Check the Inventory

The main basis of the end of tenancy inspection is the report that was generated at the start of the tenancy (usually called an inventory). This would have been a detailed report, with photos of the condition of the property when the tenancy first started and a list of all the fixtures, fittings and contents. Make sure you have your copy of that report to hand.

Who will do the inspection?

When the check out inspection happens, it can be carried out by the landlord, their agent or even a 3^rd party check out service provider. The tenant doesn’t need to be present, but it is highly recommended that they are.

What will the inspection cover?

Using the initial report as a basis, every room will be carefully inspected for cleanliness and the condition will be noted. Photos should be taken to record everything and a discussion should be had where it appears there is a difference in condition or cleanliness between the check in report and the check out condition.

Some important tasks that should happen:

• Meter readings should be taken for gas, electricity and water. The tenant will need to settle these bills.
• All lights will be checked to make sure that they work.
• Smoke detectors and Carbon Monoxide detectors will be tested to ensure that they are in working order.
• The inside of the oven will be checked for cleanliness and the oven checked to make sure it works.
• All white goods will be checked including the internals. Remember that if a washing machine is supplied, the detergent drawer will most likely also be checked.
• Walls, doors and windows will be checked for condition, scuffs and operation.
• Taps will be run in all sinks and baths to check that the waste systems are not blocked.
• If any crockery, pots and pans or cutlery has been supplied this will be checked to ensure it is all present.
• For furnished properties all furniture should be checked to ensure there is no damage.
• The external aspects of the property will be inspected along with any outbuildings.

It is important that any concerns are discussed during the inspection and that fair wear and tear is considered when looking at and logging the condition of the property.

At the end of the check out inspection, a report will be generated with all the appropriate information, comments and photos. This will then form discussions between the tenant and the landlord (or their agent) in order to agree the return of the deposit.

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How to handle rent increases

It is always advisable that rent increases are dealt with within the tenancy agreement, which will should specify how often rent will be reviewed, the process of advising the tenant about a rent increase and how the increase will be calculated. The agreement must, however, follow Government guidance.

How often can rent be increased?

This depends on the tenancy type, for Assured Shorthold Tenancy Agreements:

1. If the tenancy is still in the fixed term then there are two options:
   1. The landlord can request a rent increase from the tenant, but the tenant has the right to refuse, unless it has been written into the original Tenancy Agreement. If it is agreed, the there needs to be a written and signed document to that effect.
   2. The landlord will need to wait until the fixed term has ended and then renew the contract with an increased rent.
2. If the tenancy is a periodic tenancy, then typically, rent can only be increased once a year.

What notice period is needed?

If the rent is paid weekly or monthly, then the typical notice period for a rent increase is 1 month. If, the tenancy is either a 1 year fixed or paid annually, then 6 months’ notice is required.

By how much can rent be increased?

There are no definitive rules on how much a rent can be increased by, the Government only states that the increase must be fair and realistic, which means in line with average local rents. Typically, rents rise in line with inflation, but the real test of reasonableness is whether the new rent amount is in line with average local rents. As such a landlord cannot reasonably ask a tenant to pay £900 for a property when the average in the local area for a similar property is £800. Be aware that if your current rental figure is well below the current average a big jump might cause your tenant to seek cheaper accommodation, you will need to weigh up the advisability of a large rent increase and every circumstance will be different.

Rent increases can be tricky and they are best dealt with in the contract. As long as they are done properly, with the right notice periods and in keeping with the average rents in the area for similar properties, then they shouldn’t be too onerous to manage.

Help managing your rental properties

If you need assistance managing any aspect of your rental property portfolio, from rent increases to inventory and check outs, or just a tenant find service we have a landlord service to suit. We have dedicated in-branch property experts, to find your nearest office please see here.

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Changes are being made to the process though, to change how rent arrears payment are paid to landlords.

Current System

Under the current system a landlord can apply for a direct payment of rent and this typically occurs 7 days after the claimants assessment period has ended. This simply means that once the landlord has applied for direct payments and the current period of payments to the claimants has ended, the payments will be made directly to the landlord 7 days later.

With rent arrears, however the system takes a lot longer. The landlord needs to apply for a creditor reference number from the department of work and pensions. Payments of the rent arrears can then take up to 9 weeks to process and be paid.

New System

Under the new system, which came into effect in February 2022, the application for a direct payment process will stay mostly the same but any rent arrears payments will be processed at the same time as the direct rent payments. A landlord will no longer need to apply for a creditor reference number which will significantly speed up the process of starting to repay any rent arrears by reducing them to the same 7 days as for direct rent payments.

It is important to note that the new system will only be valid for new rent arrears claims and existing landlords who have a creditor reference number will still continue to be paid using the old system.

The changes to the way Universal Credit payments are made to landlords who are claiming for rent arrears payments is relatively small in the grand scheme but will significantly reduce the amount of time between applying for the payments and actually receiving them. Although the payments of rent and rent arrears will remain as separate payments, they will be processed in the same way and with the same speed, which is a significant improvement for landlords.

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What is Tenants Insurance?

Simply put, Tenants Insurance is a contents insurance for anyone renting accommodation who would like to protect their personal belongings. A good policy should protect against such events that cause personal property to become damaged or removed, such as floods, fire or theft. Research carried out by Nationwide earlier this year found that of over 1,000 tenants who took part, only 52% had any kind of contents insurance to protect their belongings, all of which poses a question – could you afford to replace everything you own in the event of a fire or flood in your rented accommodation? 19% of the tenants who took part in the research believed that it was their landlord’s responsibility to arrange contents insurance, which could be a costly misconception indeed. As outlined previously, it is the responsibility of the landlord to insure the property itself and any contents that they own, such as carpets, any built-in wardrobes, bathroom and kitchen etc. This can also include white goods that are included in the rented property such as washing machines.

What Does A Tenants Insurance Policy Cover?

Each policy will vary according to what is offered by the individual insurer, but a good policy should cover damage to personal possessions from such events as:

• Burst pipes
• Leaks
• Fire
• Flood
• Storms
• Theft
• Earthquakes
• Vandalism
• Subsidence
• Riots
• Theft (there must be signs that entry has been forced).

Depending on the insurer, you may find that some policies cover replacing spoilt food if there is a power cut to the property and the fridge or freezer stops working. It might also cover the same eventuality in the event of a fridge or freezer breakdown.

What Might Not Be Covered?

Your policy documents will outline for you what isn’t covered under tenant’s insurance so it’s very important that you read through everything before taking out a policy. Typically, exclusions might include:

• Any damage caused if the property has been left unoccupied for more than 30 days
• Any damage caused by usual wear and tear
• Any theft of items or damage not caused by forced entry to the property, such as leaving doors unlocked or leaving windows propped open, allowing entry. Similarly, if you allow a person to enter and they steal or damage your personal possessions, this is unlikely to be covered.
• Any items taken from outside the property such as jewellery, mobile, tablets etc. (This can normally be added as an extra cover – usually called Personal Belongings Away From Home)
• Your policy will likely have a single item limit for theft or damage – that is the maximum that any single item will be covered for.
• Any theft or damage to any items used as part of a home business (usually covered under your business insurance policy)

What if I Accidentally Break Any of the Landlord’s Property?

This would be covered if your policy includes tenant’s liability insurance. This would then cover any repair or replacement costs of any items that have become broken accidentally such as any furniture left for the use by tenants or white goods etc.

Final Reminders

• You are responsible for insuring your possessions as a tenant.
• Although it is not a legal requirement to have contents insurance as a tenant, it certainly makes very good sense, unless you can afford to potentially replace everything you own.
• Give your items in each room a replacement value in today’s market, not what you originally paid.
• Don’t overvalue or undervalue anything – you might end up with not enough to replace an item or paying too much for your premium.

Renting really is no different to owning a property in terms of the need to insure your possessions and it is highly recommended to take out a tenant’s insurance policy along with tenant’s liability insurance. The peace of mind will be worth it should the worst event happen.

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