GROWING DEMAND FOR UK GUARANTORS
13th June 2017
Rising rent prices, poor credit ratings and mounting household debt is leading many young people to struggle to secure rental accommodation. International students and working professionals with a poor or zero credit rating are often asked to pay 6-12 months in advance to secure their rental property.
According to Housing Hand, the average deposit for student or young professional accommodation in London is £1,044 based on an average monthly rent of £696. Based on these figures, potential tenants without a UK guarantor would have to find £5,220 to cover the deposit and six month’s rent.
Even if potential tenants can pay in advance, they may still need a UK guarantor. This can be a huge worry and for many, a real obstacle to them leaving home for university or work.
Jeremy Robinson, Managing Director of Housing Hand comments: “Many landlords and letting agents will turn down tenants that fail credit checks as they are concerned about rent arrears. However, if you are a student, or working professional from the UK or abroad, Housing Hand can be your UK guarantor, so that you can pay your rent monthly.
“We stand as guarantor for tenants from 141 countries and have over 50,000 applicants. Housing Hand helps international students, graduating university students, professional school students entering the workforce, employed non-UK residents, self-employed persons and UK students with responsible parties to secure rental accommodation.”
Housing Hand charges a one-off fee paid at the start of the tenancy. Prices start from just £295 for up to 12 months cover. The exact fee depends on several factors including the rent amount. Applicants receive a free, no obligation quote by making an application. The student fee will be between 60-95 % of their share of the monthly rent, subject to a minimum of £295. Fees can be paid via eight monthly instalments, from £42 per month, ensuring the upfront cost of renting is kept to a minimum.
There are added benefits to students who can expect a percentage of their fee back at the end of their tenancy as a rebate. This ‘money-back’ offer increases year on year with users of the service entitled to 15% of their fee back after one year of using the guarantor service, doubling to 30% in year two and 45% in year three.
Housing Hand provides the UK’s only secured and reliable insured UK guarantor service for students and working professionals who require a UK guarantor and works with in excess of 3,000 accommodation providers.