Things you need to know

Deposits

There’s much more information on this topic in a later lesson, but as a rule of thumb, most agents/private landlords will want at least a month’s rent to hold against damages. Many will ask for the equivalent of six weeks’ rent. This should be held for you (and always remains your money) until the end of the tenancy. This is a big topic and one about which you’ll find a whole lesson later in the guide.

Advance rent

All landlords and their agents expect tenants to pay for their accommodation in advance. Usually the required amount is a month (or four weeks’ rent) and rent needs to stay in advance at all times to satisfy your lease.

How is it valued?

The biggest inclusion of all here is location, which can add or subtract huge sums to or from the rent. It’s a simple fact that there is now property right across the range and to suit all pockets. The less you have to spend, the further you’ll walk to the shops. Know what you are looking for, and where you can afford, because careless mistakes can haunt you in the lettings game.

What’s included in the rent

Rent is just that – unless it specifically provides for inclusions (which should be clearly stated). Rent does not include council tax, water rates or TV licence and it certainly won’t usually include electricity or gas costs.

Facilities

When trying to work out what seems a reasonable rent, take into account what is being included. And make sure that you learn the shorthand. P/F means part furnished; C/H means central heating; S/C means self contained.

U/F

Unfurnished accommodation is for the serious renter and provides nothing but the building, facilities (kitchen/bathroom) and a heating system. It may include carpets. It is expensive to equip and, unless you have a number of personal possessions, this is probably not for you. Unfurnished is also a real rarity – there are historic reasons for this that I won’t bore you with. If renting U/F look for a long initial ‘fixed term’ – it simply isn’t cost effective to move in and out of this type of unit twice a year.

P/F

Many, many properties are offered part-furnished (P/F), which usually means carpets, curtains, cooker, fridge. Some landlords and many agents prefer it because there are strict requirements on the safety of supplied beds, sofas, etc in furnished units (which will be detailed later in Lesson 2). Again, it takes a great deal of money to equip these units and the P/F rent can often look attractive because less is being offered. That can make P/F much less cost effective in the long run, whereas fully furnished (F/F) will cost a little more. Always make sure you that are comparing like with like when doing your research.

F/F

F/F means fully furnished and should include all furniture, carpets, beds, curtains, etc that you need to live comfortably, but won’t usually include items like crockery, bed linen and small kitchen appliances like kettles and toasters. This is by far the most common type of rental. It’s a hugely popular arrangement and the most widely offered because moving in and out is cheap and yet tenants can ‘personalise’ a bit.

Note

If you choose to take a furnished unit, and then want it unfurnished so that you can take your own furniture, it can actually cost you more, because you will have to pay for removal and storage of your landlord’s belongings. Check the cost implications of this before you arrange it.

F/F eqpt

Rarely, properties come fully furnished and fully equipped (F/F/eqpt) and these should have everything you need (furniture, crockery, and sometimes even linen – everything including the kitchen sink!).

Any tenant considering taking on a high spec unit where every item is provided should seriously consider engaging an independent inventory service – easily found in any Yellow Pages. Private landlords will usually (but not always!) split the costs with you as this is of shared benefit. You simply have no idea how much hassle two sensible people can create over a single broken wine glass. Get it in writing!

What should you pay?

Obviously, the more you are being offered, the higher the rent will be. But don’t try to economise on what you need. It isn’t much of an economy to rent part-furnished and then have to spend a fortune buying beds and sofas. After all, most tenants do not actually own a houseful of furniture. Never take a property without real thought which doesn’t come complete with carpets. Only the very rash would seriously consider carpeting a house or flat on the basis of six months’ guaranteed security.

How the rent can be calculated

Whoever you choose to rent from, watch how the rent is actually calculated. If the property is advertised as a rent ‘pcm’ (per calendar month) you will make 12 monthly payments in any one year. If the rent is weekly, you will make 52 weekly payments in any year. This can actually make quite a considerable difference – many landlords have 13 lots of four weeks in their years!

Check it this way. If you are being quoted a weekly rent, multiply it by 52, then divide that total by 12 to check out the calendar month costs. The rent on what actually sounds cheaper could in fact be quite a fair bit higher, and most experienced landlords and many longstanding agencies do not use pcm rents for this very reason. It’s the basic retail £1.99 rather than £2.00 strategy. Most agencies on the other hand do prefer pcm rents because it makes their monthly accounting process easier. Plus people who are paid on a pcm basis can sometimes prefer it too.

As this very clearly shows, there can be a difference of £400 per year between these rents due to the thirteenth month. Yet to the inexperienced, they can sound broadly the same.

A word about negotiation

Prospective tenants are often advised to negotiate over rent. This can be much easier to say than to do. Most landlords/agents will not even consider price negotiations. Some will. It will depend absolutely on market conditions and how they are affecting supply at the time. Only you can be the judge of that from your basic research. If dozens of two-bed flats within a mile are constantly advertising, it may be worth a shot.

However, in a market where good, or even half decent mid-range property is going fast, the reality is that your attempted negotiations may not be appreciated. Many landlords are actually pretty uncomfortable about attempts at negotiation. They may even take it personally; feel that you are trying to ‘knock down’ a property they think is delightful. Try it by all means, but don’t be especially surprised if you’re shown the door.

One genuine exception to this advice is for the cash-rich tenant (admittedly a bit of a rarity). If you’re in a position to pay your rent for several months in advance, this provides an excellent negotiating opportunity. Landlords who can’t see the benefit in this arrangement are rarer than cash-rich tenants. For the majority, it is unfortunately a matter of looking around carefully for the best available unit, and paying, except in unusual circumstances, the rent asked for.

For students

Those of you lucky enough to have money in the bank at the beginning of term may well be able to secure property not usually let to students by offering to pay ‘upfront’. It may be painful, but it can really help secure a better unit from a more nervous landlord.

Choosing a property

If you decide to find property through the classifieds

You need to be organised before you pick up the phone. You need a pen and paper, and a list of sensible questions will save you time and disappointments (suggestions are given later in this Lesson). Any responsible landlord will be more than happy to discuss these with you before you traipse miles for a viewing. It can be really frustrating trying to get information on the phone, but persevere.

If the private landlord you are trying to reach is permanently unavailable, or their partner doesn’t know the answer to any of your questions, or indeed if the landlord simply cannot be bothered to chat to you on the phone for a few minutes, ask yourself how interested they’ll be when the boiler breaks down in January. Find a helpful, organised landlord who sounds as if they know what they’re doing.

The real decision is yours

It can often seem much easier on balance to use an agency than to start ringing around the classifieds. Others of you will either not be willing or able to afford the kind of charges that agents routinely levy on tenants. Each tenant must balance the factors and whether or not they can afford an extra few hundred pounds that agencies charge to set up a tenancy, whereas with a private landlord those costs should be minimal.

In addition you must decide whether or not you would prefer to know, and have direct access to, your own landlord, or whether you would be happier dealing through a third party. Not everyone finds the same circumstances comfortable. However, if the agency you called for details doesn’t get around to sending them, or hasn’t the time to discuss a big revenue earner like this on the phone, ask yourself again, just how reliable are they likely to be when that boiler breaks down in January? Find another agency.

The only guarantee in this business

I can confidently guarantee that any conscientious landlord or agent will be responsive and helpful from the outset. If you are having difficulty communicating before you sign the contract, things are unlikely to improve once you have done so.

Some sensible questions to ask before you make an appointment to view any property

• How much is the rent?
• What, if anything, does it include?
• Is it payable weekly or monthly?
• How much deposit is required?
• How much rent is required in advance?
• How is this to be paid – cash, cheque, banker’s draft?
• Are references/credit references required?
• How much will these cost each?
• What is included in the rent – e.g. is there a washing machine (include what you need).
• How much are the water rates and council tax per month?
• How is the property heated?
• Is there an inventory charge, and/or a vacating check charge?
• What are you responsible for – gardens, hallway cleaning, etc?

Please note

If you do make an appointment to view, either keep it or cancel it. Don’t just leave landlords standing outside a property waiting for you to turn up. It is unfair, discourteous and regrettably very common. Personally, I won’t now go to any arranged viewing unless the prospective tenant rings an hour before to confirm that they still intend turning up – and I never wait longer than 15 minutes.