Renting first flat: Guarantor Credit Check advice?

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    Renting first flat: Guarantor Credit Check advice?

    Hello there,

    My partner and I are wishing to rent our first flat together. We have found the perfect property, but demand is extremely high. The estate agents have said that 10 people will be making offers to the landlord. So we are doubtful that we will get it, but we wrote a letter to the landlord to explain why we would make good tenants, and to tell them about ourselves.

    My partner is a US citizen, with the right to live and work here until 2025. I am a British Citizen.

    We are both postgraduate students, with high paying jobs lined up for after the courses are complete. Our living costs and course fees are funded by our big name companies (finance).

    As we live in a very expensive city, our income won't pass the credit check. The landlord told me this was 30x monthly rent. I asked if I could have a guarantor and she seemed fine with it, but said "of course I assume you have savings". I have enough money in the bank for two years rent for the entire place, before my maintenance grants come in from my firm.

    On closer inspection of the application, it says that the guarantor has to earn 3.75 times the annual rent. As my dad is semi-retired he doesn't meet this figure. He owns his own home, and some other family properties. The same goes for my mum, she owns half of the family home, but also owns a smaller house in which a family member lives rent free. Together, their income is above the 3.75 times annual rent, but either on their own, fall just short of this. (Annual rent is £22,800 or £1900pcm, so individual salary would need to be £85,500!)

    I spoke to my grandfather who also rents out a house or two, and he said 3.75 times for the guarantor is the highest he has come across. His estate agent uses the same formula as the tenant credit check. But it makes sense for it to be higher, as a guarantor would have their own living costs. It's annoying, as we definitely have the financial means, but because it is not on paper as income, then we would fail the credit checks.

    My partner cannot use his parents as a guarantor as they live in the US.

    This seems like a hurdle that might make the landlord pick another couple over us.

    Is it possible for both of my parents to be guarantors?
    Can I send a screenshot of my savings to show affordability?

    We have told the landlord that we are willing to pay the full rent upfront. Is there anything else we can do?

    #2
    £1900 a month is a substantial rent for a couple of students, (and yes I did read your post). I am writing this whilst waiting for a viewing in my high-spec 2 bedroom flat in NW London, which is on the market for £1350 a month. I suggest you find something you can afford rather than arguing about affordability calculations.

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      #3
      Thanks for your response. I wonder where in NW London your two bed is for £1350, as that sounds terrific value, even considering the current market. Probably not in an area that we are looking at.

      I would argue that we can afford it, as the rent would be about 30-40% of our budget for the year, but I appreciate your concern. We are fortunate to have considerable help from family members/inheritance. How we choose to spend that is up to us.

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        #4
        If you really want the property, you could inform the LL that you are willing to pay upfront 3-6 or even 12 months in-advance, plus your UK guarantor who is a home owner. This would reassure me if you were a prospective T. But if the LL has 10 offers, he's most likely going to pick the easiest T's that pass the checks as quickly as possible.

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          #5
          Originally posted by blueboy View Post
          I wonder where in NW London your two bed is for £1350, as that sounds terrific value
          Its in Wembley, which has some of the best transport links in London and my flat is a fairly typical rent, (although not for the new purpose built blocks which are much more expensive).

          Comment


            #6
            So why did you do a reverse thread asking exactly the same question?

            Comment


              #7
              I replied to your other post, thinking it was the landlord posting... Now I see this one. My advice is don't get so massively hung up on this particular flat. There will be others. There are thousands and thousands of flats in London.

              Comment


                #8
                As a landlord, I'd choose a tenant who could more clearly afford the rent. Guarantors are all very well but I wouldn't want to be in the position of having to put a charge on the guarantor's property in order to get any arrears cleared. That's the worst case, of course, but I'd want to avoid that.

                Comment


                  #9
                  See https://forums.landlordzone.co.uk/fo...65#post1155365
                  I also post as Mars_Mug when not moderating

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