Renting a property
tenants checklist

Securing your new home

1. Lets assume that you have finally located the property that you want to rent, what typically happens next? In order to state your intention to rent the property and to get the property off the market you need to put down a holding deposit. The letting agent will then begin the administrative process of requesting references from you and a full deposit.

2. To ensure that you are a suitable tenant and that you have the ability to pay your rent, the landlord will next require references. They also need to make sure that if you have rented a property in the past, there have been no problems with your tenancy. The letting agent will organise this if instructed, and at this point, they are likely to ask for the administration fee, along with your permission to conduct the relevant searches.

At this point you may need to provide the following if requested; references from previous landlords, you may be asked to give the details of where you have lived within the last 3 years; a credit check, this will allow them to see if you have a good history of paying your bills; your bank details, including bank name, account number and sort-code; and details of your employment, your employer, job title, payroll number, salary, previous employer.

A guarantor may be required if the information obtained shows any potential risk to the landlord. A guarantor will be contractually liable, both financially and legally, should you fail to pay the rent during your tenancy or in the event of damage to the property.

3. To secure your new home a deposit will be required amounting to between one and two months’ rent and is held for the duration of the tenancy. New legislation was introduced to the Housing Act 2004 in April 2007 to help protect all parties with regard to the return of deposits. The deposit is a security for the landlord to guard against the cost of replacing or repairing property damaged by the renter.

Landlords are required to join a statutory tenancy deposit scheme, if they take deposits and this will mean that your deposit is safeguarded. You will get all or part of your deposit back, if you have kept the rental property in good condition and are entitled to get the deposit back. In addition, the scheme also offers alternative ways of resolving disputes which aim to be faster and cheaper than taking court action.

4. One of the most important documents in the renting process is the inventory. It can also often be the deciding issue of how much of your deposit you get back at the end of your agreement. The inventory is a list detailing every item contained within the property and the condition of each item listed on the day you move in.
You should therefore be extremely thorough and give the inventory your full attention. This may be prepared by either the letting agent or the landlord. You should go round the property with the landlord or agent and agree the state of each item before signing anything. If necessary, it makes sense to take photographic evidence to give you extra protection and to avoid any unnecessary disagreement at a later stage. You will be expected to sign the inventory and initial every page, along with the landlord or letting agent.

You may also find that regular three monthly inventory checks at the property are conducted by the landlord and letting agents in order to assess any damage that may have occurred. It is important to find out if regular checks will take place and when they are likely to occur. On the day you are scheduled to move out, it usual that there will be a final inventory check.

5. The tenancy agreement is a contract between you and the landlord. It specifies certain rights to both you and the landlord, such as your right to live in the home for the agreed term and your landlord’s right to receive rent for letting the property. An Assured Shorthold Tenancy agreement (AST) is the most common form of tenancy agreement and sets out the duties of both tenant and landlord. The responsibilities of both parties are likely to be detailed within your tenancy agreement, although some conditions may vary between properties and landlords.

Under the agreement the landlord has the right to repossess the property at the end of the agreed term. There is no minimum term specified either, although the renter has the right to remain in the property for at least six months. The landlord is obliged to provide the tenant with two months’ notice if they want to terminate the agreement. If the fixed term is for three or more years, however, a deed must be drawn up and a solicitor employed to do so.

A typical agreement will usually incorporate the following; your name, your landlord’s name and the address of the property which is being let; the date the tenancy will commence; the duration of the tenancy from the start to the agreed finish of the occupation; the amount of rent payable, how often it should be paid, when it should be paid and when it can be legally increased; the agreement should also state what the payments are expected, including Council Tax, utilities, service charges; what services your landlord will provide, such as maintenance of common areas; and on the termination of the tenancy the notice period which you and your landlord need to give each other.