Renting A House - Self-Employed

Vegeta

I would like to rent (with considerable savings) a house from a private landlord who has advertised house for rent with an estate agent.

I am self-employed with a fluctuating income.

How could I prove my yearly income to the private landlord?

Would bank statements showing my monthly deposits, interest received and the total balance suffice?

This would be my first time renting so any other advice would be great.

Thanks.

Colincbayley

Do you not have 3 years worth of accounts?

If not, then your approach of bank statements showing your income and or an accountants letter should do the job.

Mini_Bear

or offer to pay 3 months rent in advance plus deposit, i personally wouldnt put 6months rent down anymore (we used to) your landlord could be in financial difficulties and run away with ur ££ leavin u homeless.
I think as long as ur honest and perhaps pay a slightly larger deposit you should be ok.

claireac

My husband had only been self employed for a few months when we rented our house.

We paid 6 months up front, and then they had no problem putting us onto monthly payments.

Don't forget you can still get housing benefit/lha if you're self employed. We just regularly complete a form showing dh's earnings etc so the amount is correct.

Radsteral

hell no. 1 months deposit , plus some extras since you renting via estate agent will be quite a bit of rent. Knowing how notirious are some landlords with deposits , i wouldnt put no 3 months and no 6 months worth of deposit.
leter from accountant and also if you got any saving, just a statement of that would be enough.
they ll credit check you aswell i think.
but if they are making it like you are buying the house, walk away and find some one else

claireac

Do you have someone who would be prepared to act as a guarantor?

Vegeta

claireac wrote: »

Do you have someone who would be prepared to act as a guarantor?

Yes. What would it involve? Would it complicate the process of renting a house?

theartfullodger

How could I prove my yearly income to the private landlord?

Simple: Show him your last 3 years tax returns... no problem eh??

Cheers!

Lodger

princessamy86

Vegeta wrote: »

Yes. What would it involve? Would it complicate the process of renting a house?

A guarantor is somebody who earns enough to cover both their own rent/mortgage payments, in addition to yours. They need to understand that to sign as your guarantor they are signing to say that in the event of you defaulting on a payment, they will be the ones who will pay the money. It's a big undertaking, but if you know that you will not default on payments, and if they trust you, then everything is usually ok. With regards to your self employment, if you were renting through the agency I work for we would need to see the last 12 months worth of accounts. If you don't have this, we would ask for a guarantor or an upfront payment, so just choose whichever is best for you. Make sure the agent can tell you exactly where your upfront payment will be kept-as another poster has said you don't want to take the risk of the landlord running off with your money.

Fire_Fox

I don't see what the worry is with anyone 'running off' with upfront payments. You will have to sign a six month tenancy agreement which is binding on both sides. Just get an official receipt for the payment, which clearly states what it is for (which part is deposit, which part is rent and what dates). If the letting agent goes bust that is the landlord's problem to chase them for the money, if the landlord goes bust you just live in the house for the rest of the contract and move on.

princessamy86

I think the worry is that if the landlord goes bankrupt and the property gets repossessed (for example), then it would probably mean the end of your upfront payment. I think also some people don't consider what will actually happen to the money, and don't get a proper receipt.