Paying 6 months upfront for new rent

dantek

We are looking to rent a smaller house, but we both have bad debts that are being dealt with through Stepchange so our credit history is shot.
If we cannot get accepted for a rental, would most agencies accept 6 months up front rental?
and if they do, does that mean we dont pay anything for those 6 months, or is the 6 months upfront considered a deposit?

HappyMJ

dantek wrote: »

We are looking to rent a smaller house, but we both have bad debts that are being dealt with through Stepchange so our credit history is shot.
If we cannot get accepted for a rental, would most agencies accept 6 months up front rental?
and if they do, does that mean we dont pay anything for those 6 months, or is the 6 months upfront considered a deposit?

If you're not accepted for a rental then paying rent up front isn't an option.

How bad is your credit? If all you have is a few late payments and half a dozen defaults but creditors have not yet taken court action against you and have not got a CCJ then you'll be fine.

dantek

No CCJ just a debt plan but the debts are big.

HappyMJ

dantek wrote: »

No CCJ just a debt plan but the debts are big.

Your credit is fine then. Letting agents and landlord use credit referencing companies and they can only see public information like CCJ's, DRO's, IVA's and Bankruptcies.

It doesn't matter how much you owe. Rent is your first priority so you would make lower repayments to your unsecured creditors to make sure your rent is paid.

G_M

dantek wrote: »

...... would most agencies accept 6 months up front rental?
and if they do, does that mean we dont pay anything for those 6 months, or is the 6 months upfront considered a deposit?

It depends on the length, and terms, of the contract.

eg
* 6 month contract with a single payment of 6 months rent

* 12 month contract, with 6 months rent payable in advance at the start, and then monthly payments for next 6 months.

* contract of any length, with a deposit = to 6 months rent, and rent payments paid monthly in advance (though a deposit = 6 months rent creates a new type of tenancy so only a mad L would do this)

Note: if the payment is described as 'rent', it is rent. If it is described as a 'deposit', or is refundable, then it is a deposit and must be protected

Mossfarr

You may find you have to shop around for an agency / Landlord willing to risk taking you on.
As a landlord myself, in addition to the usual references etc I always ask for 3-6 months bank statements which I go through with a fine toothcomb to make sure prospective tenants manage their money and are able to afford the rent. I make no excuses for this - this is a business arrangement and I have a valuable asset to protect (my house).
I'm sure it won't be a popular response to some posters on here but given the circumstances you have outlined I personally would consider you too much of a risk.

HappyMJ

Mossfarr wrote: »

You may find you have to shop around for an agency / Landlord willing to risk taking you on.
As a landlord myself, in addition to the usual references etc I always ask for 3-6 months bank statements which I go through with a fine toothcomb to make sure prospective tenants manage their money and are able to afford the rent. I make no excuses for this - this is a business arrangement and I have a valuable asset to protect (my house).
I'm sure it won't be a popular response to some posters on here but given the circumstances you have outlined I personally would consider you too much of a risk.

Seriously?

Well that's one good reason I keep my banking in different accounts.

You're welcome to 6 months of my Santander 123 account. It consists of the monthly funding, 2 direct debits (credit cards) and the money being sent back out again.

theartfullodger

dantek wrote: »

We are looking to rent a smaller house, but we both have bad debts that are being dealt with through Stepchange so our credit history is shot.
If we cannot get accepted for a rental, would most agencies accept 6 months up front rental?
and if they do, does that mean we dont pay anything for those 6 months, or is the 6 months upfront considered a deposit?

Many landlords, me included, assume there is a good chance if offered 6 or 12 months rent upfront that someone is planning to run a brothel or a cannabis farm.... It happens, oh yes, it happens...

Had someone 'phone me from 200+ miles away for a rental: Offered 12 months upfront without even seeing the place. He's either very stupid or dodgy so I said no...

Mossfarr

originally posted by HappyMJ:
"Well that's one good reason I keep my banking in different accounts.
You're welcome to 6 months of my Santander 123 account. It consists of the monthly funding, 2 direct debits (credit cards) and the money being sent back out again"

It would be pretty obvious to even the most trusting LL that you hadn't provided details of your main account. No evidence of day to day living expenses, utilities, salary deposits, insurance, car expenses, telephone accounts etc etc - That would simply raise the question - what are you trying to hide?
Most Landlords have learned the hard way what they need to look for so it really would take something a bit more intelligent than that!