A letting agent has expressed concern over the impending cap on tenancy deposits.
According to the Queen’s Speech, a new Bill will cap deposits to the equivalent of one month’s rent.
Andrew Sanderson, of Derby firm AKS Residential, said: “This Bill is going to have major implications for tenants, particularly those with anything less than perfect references or those who have pets.
“At the moment, someone who may be viewed as a higher risk can mitigate this by paying a higher deposit so that the landlord is still happy to accept them as a tenant.
“If people in this circumstance can no longer pay a higher deposit, then there is a lot less chance that a landlord would want to accept them.
“The proposed changes will also impact on people who wish to rent with pets.
“Tenants who have got pets always pay a slightly higher deposit to protect the landlord against the extra risk of damage to their property caused by their pet.
“Even as it is, the majority of landlords don’t accept pets, so if you can’t collect a higher deposit then there will be even fewer landlords who would allow pets.”
Comments (2)
This just in to our inbox on the subject:
“I am interested in viewing this property. Before I do, I have to ask, would the landlord be willing to accept pets?
For this, I am happy to pay a larger deposit and will, of course, guarantee the flat stays clean.
I am finding it difficult to find a place to rent in Xxxxxxxx that accepts pets. Therefore, I would really appreciate any help in looking up other options where landlords are willing to consider pets.”
The tenant is ready, willing and able to offer more than a month’s rent in deposit. What will the alternative be? To pay an increased non-refundable rent?
Hello ….. landlords will want assurances or it is very simple …… tenants will be refused. Most I have spoken to are not interested in insurance because they see it as after the event, costly, takes too long to settle, repair and re-let and exclusion clauses. Many are considering if it is really worth the hassle and may consider selling up. They will if they get burnt by the new regime. Now that did help the housing problems!!!!