Most tenants completely unaware about guarantor services
Summary
LRG reports that most tenants are unaware of professional guarantor services, despite these becoming more relevant in the rental application process. The research also suggests landlords are increasingly likely to ask for guarantors where affordability is marginal, with rent guarantee insurance emerging as a growing alternative.
Why it matters
For residential property surveyors involved in lettings, valuation or advisory work, the findings highlight a shift in landlord risk management and tenant access to housing. Understanding guarantor and rent guarantee insurance options can help inform market commentary and client advice.
Key points
- 74% of tenants surveyed had never heard of professional guarantor services.
- 51% would seek a cheaper property if they needed a guarantor; 16% would stop searching.
- 54% of landlords said they are now more likely to request a guarantor where affordability is weak.
- 37% of landlords already have rent guarantee insurance, and 19% are considering it.
- The article links the trend to the Renters Rights Act and reduced reliance on advance rent as a safeguard.
Organisations:
LRG, Leaders
Regulations:
Renters Rights Act, rent guarantee insurance
Locations:
England, Wales
Read the original article
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