I have formally reject the tenant’s application, via email, due to referencing failure on insufficient funds. However, they are seemingly eager to rent the apartment and have suggested the following:
- To pay 6 months’ rent in advance
- To present a Guarantor for referencing
- To forward, to the landlord, bank statements and employment contracts.
- To pay the full deposit
My question is may I put the 6 months advanced rent in the letting contract and will OpenRent collect and would the above be a safe way to proceed?
Yes you can collect six months’ rent in advance of the tenancy commencing.
And yes, OpenRent’s tenancy setup service can accommodate this and collect the rent.
The steps you lay out in your message are all common and sensible ways to proceed where a tenant fails referencing checks.
You can email our team at https://www.openrent.co.uk/faq#i-have-more-questions if you wish to get more support in creating this tenancy.
Yes, I would like some help in creating the ASTA because I will have to put a clause(?) in to the rent, e.g.,
Deposit to be paid in advance…
Six months will be paid in advanced and then on the 7th month one month’s rent will be paid in advanced thereon until the end of the 12 month contract.
I have read that is must be written correctly so as it doesn’t get confused with a deposit.
Pamela Donaldson, BSc (Hons)
+44 7956 980028
A journey of a thousand miles begins with a single step.
If they have insufficient funds to pay the rent, why are you considering them. 6 months rent and a guarantor wont help much at the moment.
…because they were extremely eager to rent the apartment and allowed me to peruse 12 months of bank and saving account statements. Therefore, their savings were far above twice the annual rent.
You might have mentioned the savings earlier as that would changed opinions fundamentally.
Thank you for showing interest in my question, you’re the only person that did. I hadn’t got that far, perusing the bank statements, I was trying to find help and advice. Obviously, if I’d known then, at the time I asked the question, what I know now, I would have not asked the question.
Fair enough. I’ve taken someone with over £20k of savings in the past. He promptly gave up his job and although he paid all the rent, moved out when the 6 month term expired. I would do it again though.
how they run their life is up to them as long as they pay their way
Yes, it’s an unprecedented mine field now with COVID-19! One could receive the finest references for a tenant and through no fault anyone concerned things could go tits-up! Even going with one’s gut isn’t relevant now as things can change within weeks and months.
Absolutely! No argument with that comment!