Rent in advance

[naomifisher]

My brother is a student who has signed the tenancy agreement for his flat for his next year. He has paid a holding fee and has now been asked for £540 which is the first months rent and £190 admin fee. He does not take over the flat until the 1st September. He has only been given 2 days in which to pay this money and neither him or his other potential housemates have the money to pay at such short notice. I was wondering if it is legal for them to ask for that much money over 2 months prior to the beginning of the tenancy and with only 2 days notice. If anyone can help it would be greatly appreciated. Thank you

[Eloise01]

Re: Rent in advance

I am afraid that this is common practice in student accommodation - there is usually a lot more demand than supply, especially for the better places. Let's put it this way, it isn't illegal for them to ask this, and if he wants the place then he doesn't have a lot of options. I'm afraid that if he doesn't pay they will just move on to the next person who will. I don't live in a university town, but on the border between two of them, and the best accommodation is often snapped up and deposits paid for by January!

[seduraed]

Re: Rent in advance

As a landlord I always take an advance payment having lost too much money in the past through not doing so. I'm not sure that £190 is a fair amount for admin but it's cetainally legal. With the current housing shortage there are tenatns aplenty.

[PlanB]

Re: Rent in advance

a student who has signed the tenancy agreement for his flat for his next year. He has paid a holding fee and has now been asked for £540 which is the first months rent and £190 admin fee. He does not take over the flat until the 1st September. He has only been given 2 days in which to pay this money and neither him or his other potential housemates have the money to pay at such short notice. I was wondering if it is legal for them to ask for that much money over 2 months prior to the beginning of the tenancy and with only 2 days notice.

The due date of the first rent payment should be written into the tenancy agreement which your brother has already signed, so the legal position would be he has to comply with the terms of his AST or he'll be in breach of contract. If there's a deposit to be paid (there always is with students!) then the date that money is due to be paid must also be written into the tenancy agreement.

It's most unusual for a Landlord to receive rent prior to the start of a tenancy, but it's not unusual for the Landlord to receive the deposit (typically the equivilent of one month's rent) so could this be the case with your brother? The Landlord then has to protect the deposit in a Government backed scheme within 30 days and notify the tenant of the scheme rules etc.

If your brother has already signed the tenancy agreement then the Landlord cannot under any circumstances let the property to anyone else because he too has entered into a legally binding contract (unless either side breaches the terms)

[PlanB]

Re: Rent in advance

As a landlord I always take an advance payment having lost too much money in the past through not doing so. I'm not sure that £190 is a fair amount for admin but it's cetainally legal.

I'm a Landlord too, well a Landlady to be more precise :yo: I'm also the mother of a daughter who wrecked more student accommodation while at uni than a hotel room occupied by a heavy metal rock band on tour :rockon: I never ever got back the deposit.

I expect the £190 admin fee is the agent's costs for out-sourced references, tenancy agreement, signing up the guarantor (most students need a rent guarantor who is also referenced). However the agent (or the Landlord if no agent is involved) can't legally charge any *admin* fee unless that too has been written down in a contract signed by the person renting the accommodation. If your brother hasn't signed anything then he and his housemates don't owe anything :nono: