Agents unexpectedly wanting guarantor (and a £120 referencing fee)

nearlynomadic

Agents on my new property have, quite unexpectedly, come to me and said that they want a guarantor as I'm still in the probationary period at work. I haven't been asked for a guarantor since I was a student, am established in my career and earn a salary that's significantly above the UK average, so I was rather surprised by it.

Unfortunately the only guarantors I could come up with are either aged 97 (it's a 12 month fixed term...), retired with no visible source of income, or on a low income. It's not clear that any of the above would be acceptable to the agents; I remember having a similar battle when I was a student.

I strongly suspect they just want the £120 guarantor referencing fee. They've got me bent over a barrel - I've paid £330 in non-refundable tenancy fees, and the tenancy agreement isn't signed yet. Having pets means I wasn't exactly overwhelmed with available properties.

What's the best way to get around this as I don't want to be ripped off for the £120 guarantor fees - I've heard offering 6 months rent upfront is considered dodgy? I can show bank accounts with five-figure savings in them, but I'm trying to work out what they'll accept in lieu.

ag120

I wouldn't consider offering 6 months rent in advance dodgy - I think it'd be quite appealing for most landlords as they would have half a year without worrying if their tenant is going to pay the rent. If it via an agent they may still request proof of where those six months worth of rent came from (due to money laundering) but a bank statement should be enough.

If it gives you a benchmark, I moved in to a new flat last week due to starting a new job and needing to relocate. I had to provide 2 x bank statements, my employment contract, reference from a previous landlord, and confirmation statement from my new employer. A background credit check was also done on me. Job done.

Mela322

The same thing happened to us nearly 2 years ago. We had 10 years rental history and both of us have excellent credit history. We still needed a guarantor because my husband was in a new job with a probationary period. Our family signed for us.

We are now getting ready to move again and my husband is in another new job, just 6 months in but because it's not probationary, no guarantor is needed.

As high as the fees are, this one isn't about the fees. They want to know that your job is secure and when it's probationary, it isn't and they can let you go for any reason.

Adereterial

Mela322 wrote: »

As high as the fees are, this one isn't about the fees. They want to know that your job is secure and when it's probationary, it isn't and they can let you go for any reason.

For a start, you can’t be let go for ‘any reason’, even in a probationary period, you still have protection against dismissal if the ‘cause’ is discriminatory under the Equality Act.

And secondly, you don’t have any real rights against dismissal (except contractural or under the Equality Act) for the first two years with any employer. Most probationary periods are 6 months. Being in a job six months and one day offers you no more protection than being in the job a single day.

If the letting agent is doing this just because the OP is in their probationary period then they’re idiots.

PasturesNew

Unfortunately, these unexpected cons increasingly crop up. They should've hit you with the money side of things before you viewed.... bar stewards.

Every time there's a new cost, a new fee, another hurdle to jump over.

The fees are endless... you've the "booking in" fee to come yet - and the "checking out" fee....

Mela322

Adereterial wrote: »

For a start, you can’t be let go for ‘any reason’, even in a probationary period, you still have protection against dismissal if the ‘cause’ is discriminatory under the Equality Act.

And secondly, you don’t have any real rights against dismissal (except contractural or under the Equality Act) for the first two years with any employer. Most probationary periods are 6 months. Being in a job six months and one day offers you no more protection than being in the job a single day.

If the letting agent is doing this just because the OP is in their probationary period then they’re idiots.

You knew what I meant.

Asking for a guarantor when on probation is common. We were denied an application for one house for that very reason and we had to secure a guarantor just to get this one. 2 different agents. We felt it was wrong as our background proved we paid our rent and bills on time. This time around, my husband has just been in his job for 6 months and no guarantor needed. I was just stating the facts on our situation.

Adereterial

Mela322 wrote: »

You knew what I meant.

Asking for a guarantor when on probation is common. We were denied an application for one house for that very reason and we had to secure a guarantor just to get this one. 2 different agents. We felt it was wrong as our background proved we paid our rent and bills on time. This time around, my husband has just been in his job for 6 months and no guarantor needed. I was just stating the facts on our situation.

Yes, I did. Which is why I corrected you. Not everyone will know why you meant.