The total number of new deposits being taken from renters has dropped by 17% compared to 2018, according to Landlord Today. This is thought to be the result of longer tenancies and also the fact that the Tenant Fees ban that came into force in June, caps the number of weeks rent that can be taken as a deposit.
The average deposit paid by renters has also fallen from £1,366 to £1,299 in the last 12 months. But deposit payments are still 7% higher than in 2015. This is a big chunk of money for people to find, on top of the other costs involved in moving into a new property. So deposit alternatives and even no-deposit renting are becoming increasingly popular with landlords wanting to give their properties extra kerb-appeal for renters.
If this is a route you fancy taking, our PlanetRent app makes it really easy to offer deposit-free renting to your tenants. We use deposit-alternative provider Reposit, which is FCA regulated and offers landlords insurance to cover them in case tenants default on paying for end of tenancy breakages etc and damages can’t be recovered.
Using PlanetRent is as easy as this:
· Set up your properties, ticking the box to offer deposit-free renting
· Invite tenants to enter their referencing information
· We feedback the decision and offer a deposit alternative
If tenants want to go ahead, they pay one week’s rent and the landlord gets eight weeks rent protection.
If you use an agent you can invite them to the app so you can offer deposit-free renting via their website/shopfront – and if you self-manage, PlanetRent gets rid of the paperwork and the risk for you.
So why not click here to download details of how it all works and get started today – it’s free!