Renting - Self Employed

flatulantyounggoat

Is it typical for agents to require 6 months up front for self employed? PLUS deposit. Seems like an outrageous ask. I run my own business and I don't quite have a full year of accounts just yet.

Any thoughts? I doubt their 'referencing' is anything more than a facebook search on the prospective tennent. Half tempted to just run with Employed.

need_an_answer

Its something that is requested by agents however it is entirely at the discretion of the individual LL whether to take a rent payment upfront or a guarantor or whatever.

G_M

Different landlords will do different checks, or require their agent to do them for them. These might include:
* previous landlord reference
* employer and salary
* credit search and credit history

* general background search (as you say - social media)
* interview and gut feeling
* some/all the above for any guarantor
or more


As for 6 months upfront - again depends on the landlord. Some are wary of this as it's what is often offerred by cannabis farmers and brothel owners. An alternative is a guarntor.



Or a landlord may go on gut feeling and general check on the self-employed busines.

need_an_answer

Although can I ask why you think it is an "outrageous" ask to request a deposit which is required to be held in a scheme for the duration of the tenancy and 6 months rent upfront if that is the duration of the initial tenancy period?

Surely the LL would want to know that you would be able to pay the rental payments as during that initial tenancy you know very little about eachother.

With respect the LL has a lot invested in the property and would want to secure a tenant they were happy with. Thoughts on referencing via FB...well that's not the way I do it!

theartfullodger

Just supply your last 3 years tax returns , no problems

sal_III

last SA302 (or whatever it's equivalent nowadays) has always worked just fine for me in the past for income proof. Company books/accounts are much more difficult to decipher.

On one occasion I was asked for 6m rent in advance, I was happy to pay it. It makes little difference you will have to eventually pay it. As a Self employed you really ought to have 3-6m of living expenses saved anyway.

If you state employed, they will ask you for a couple of payslips or P60. As long as your business can supply them and they show significant income - go for it, otherwise it will blow back.

The LL have the right to demand 6m rent in advance and you have the right to refuse to rent their property.

LandyAndy

flatulantyounggoat wrote: »

Is it typical for agents to require 6 months up front for self employed? PLUS deposit. Seems like an outrageous ask. I run my own business and I don't quite have a full year of accounts just yet.

Any thoughts? I doubt their 'referencing' is anything more than a facebook search on the prospective tennent. Half tempted to just run with Employed.

theartfullodger wrote: »

Just supply your last 3 years tax returns , no problems

That could be a problem if they were previously employed.

theartfullodger

LandyAndy wrote: »

That could be a problem if they were previously employed.

The employed may complete a tax return. Other income etc etc etc

WeAreGhosts

No, I found this too. But also found that the landlords would not rent to me because they were suspicious about it. Apparently people who want to use the place as a drugs den pull this trick so they know the landlord won't bother them for 6 months at least.
The estate agents were then exasperated because I'd supplied bank statements and I clearly wasn't a drug dealer.
I gave up in the end.