Whilst in the first year of university study it is likely a student will live in halls of residence offered and sorted out by the university. After completing the first year and progressing on to subsequent years, likely, these halls of residence will not be available to non-first year students and therefore students must consider private accommodation and rent. There are essential things a student must know, and these include:
Tenancy deposit protection scheme
Deposits must be protected. After receiving a deposit, a landlord is given 30 days to put it into a tenancy deposit scheme. If they fail to do this, the tenant could be entitled as much as four times the amount back.
Letting agent fees and signing the contract
Finding a place to rent requires using a letting agent – they rent out properties as an agent to the landlord. Letting agents are known to charge unreasonable prices for their services, a tenant should always check for any extra fees or charges first. Registration charges are prohibited, and so are charges placed on viewing a list of properties available to rent, so letting agents cannot charge for these things. Otherwise, they’re free to charge any fees they like – for example, for credit checks, admin, and even releasing your deposit. Always ask before you commit.
Once you get the contract, read it carefully before signing. Check it includes how much the deposit and rent is, when it’s due, and what it covers (e.g. council tax, utility bills, and other dos and don’ts, whether you’re allowed pets to smoke or sublet). Discuss points you disagree on or don’t understand, with the landlord or letting agent. If they agree to change it, don’t just take their word. Ensure the contract’s changed too, so you’ve got proof in writing.
Tenants’ rights
The type of tenancy agreement a tenant has will affect their rights, it is essential to check. ‘Assured shorthold tenancy agreements are the most common type when renting with a private landlord.
An assured tenant has the right to stay in their accommodation unless their landlord can convince the court in litigation that there are reasonable grounds for eviction, such as missing rent payments or damage done to the property, or a breach in the terms of the agreement.
Bills
Rent payment is reflected in whether it is billed inclusive or not, this is highly worth considering. If the rent payment is not billed inclusive utilities such as internet, water, gas etc must be obtained independently. Tenants will have to find meters upon moving in and take readings. Tenants responsible for meter readings must submit them in the year to ensure they are not overcharged.
When living as a tenant with other people it is worth considering dividing the bills between the other tenants, so that they can calculate any extra each individual is owed once all bill payments have been made.
This must be done with great caution. If tenants own a joint bills account with each other then their credit history and records become linked and failure on one tenant end to make payments can have negative implications for all the tenant’s credit scores. If one of the tenants already has a bad credit score it is worth keeping your finances strictly separate.
Paying your rent on time can boost your credit score
Tenants renting privately can partake in the free Rental Exchange scheme, this records any rental payments and forwards the results to the credit reference agency, Experian. As a result of this, the tenant’s credit score can be boosted which serves as a positive advantage in future, if and when they apply for things like credit cards, loans, and mortgages.
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