FAQ - Tenants
Q. Why is the monthly rent higher than the weekly rent multiplied by four?A. Because there are just over four weeks in each month. Calculation as follows:
- 52 weeks / 12 months = 4.333333
- Weekly rent * 4.333333 = Monthly Rent
- £500.00 per week * 4.333333 = £2,166.67 per month
Q. What is a realistic budget for finding property in London?A. Prices are generally lower in peripheral postcodes than they are in central (Zone 1-2). For example, we recently let a two-bedroom flat for £350.00 per week, however, this property was in Chiswick, W4 rather than Mayfair, W1. As ever, there are always exceptions, but the prices below are representative of general rents in central London (2020). Exceptional properties in all categories command higher rents.
- One-bedroom = £400.00 - £750.00 per week (£1,733.33 - £3,250.00 per month).
- Two-bedroom = £600.00 - £1,200.00 per week (£2,600.00 - £5,200.00 per month).
- Three-bedroom = £900.00 - £1,600.00 per week (£3,900.00 – £6,933.33 per month).
Q. What fees do you charge?
A. Following the introduction of the Tenant Fees Act 2019, landlords/agents are limited in the fees they can charge to applicants. Previously, our tenants were charged for inventory check- out costs and end-of-tenancy cleaning, however, this is no longer the case. The only payments made to us now are the Security Deposit and Rent. There are charges for amending tenancy agreements (i.e. changing the name of a tenant) and loss of keys, but we do not charge fees for admin or tenancy renewals. For further information please see: here.
Q. If I want to make an offer on a property, what should be included?A. Conditions or requests of the landlord should be included as part of an offer, otherwise the property is taken ‘as seen’. Offers should be submitted in writing (preferably by email) and include the following. All offers should be submitted ‘Subject to Contract’: the contract becomes binding on both parties at a later stage.
- Rent Offered.
- Length of Term
- Tenancy Start Date
- Break Clause Calendar
- Number of Occupants
- Tenant’s Job Title
- Employer’s Company Name and Address
- Number of Pets
Q. Which payments are required to let a property?A.
- Holding Deposit (Equal to one weeks’ rent)
- Security Deposit (Equal to five weeks’ rent less Holding Deposit)
Example – A flat is rented for £400.00 per week. Payments are:
- £2,000.00 - Security Deposit (=£400.00 * 5)
- £1,733.33 - Rent (=£400.00 * 4.333333)
- £3,733.33 – Total
Please note: For properties with annual rents of £50,000.00 plus, the Security Deposit is equal to six weeks’ rent.
Holding Deposits are taken to reserve a property while an offer is processed. Once the Holding Deposit is received, viewings of the property are suspended for new applicants.
Q. Which forms of ID do I need?
A. Landlords and agents are legally required to perform Right to Rent checks. This involves inspection and/or copying of some of the following as appropriate (in the presence of the holder): passport; visa; work permits; UK birth certificate; UK driving license (full or provisional).
Q. Do I need references to rent a property?
A. Yes. Normally, one employer’s reference and one landlord’s reference (where applicable). For those who are self-employed, the employer’s reference can be substituted for a reference from an accountant and/or solicitor. Council tax bills should also be provided.
Q. What happens with my deposit?
A. For Assured Shorthold Tenancies in England and Wales, there are three government-backed schemes for lodging deposits. These are: Deposit Protection Service (DPS), Tenancy Deposit Scheme (TDS) and MyDeposits. Birch & Co uses the Deposit Protection Service (DPS). Once a deposit is lodged with an approved scheme, the funds are then controlled by the scheme. The fastest way to have a deposit returned is for the landlord and tenant to reach agreement over any charges. Failure to reach agreement means that the case goes to arbitration - with the arbitrator’s decision being final. There is no appeal to the arbitrator’s decision. For further information, please see: here