What Are The Rules For Taking Rent In Advance?
We’ve put this handy guide together detailing everything you need to know about paying rent in advance. So read on and see whether it’s a serious option for you.
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Can a landlord take rent in advance?
A landlord can ask for rent in advance, and there is no legal limit on how much they can ask from you. However, they are not allowed to charge you more than the rental amount.
For example, if a landlord requests three months’ rent in advance and your rent per calendar month is £600, you will pay £1,800. No more. They cannot use rent in advance to disguise hidden fees.
When might a landlord request rent in advance?
A landlord may ask for rent in advance to cover the first few months of a tenancy, the last few, or the first and last month.
This approach is generally taken to ensure the tenant stays for the duration of the tenancy, as this means the landlord does not have to find someone to take their place.
Why might a landlord request rent in advance?
The most obvious reason that a landlord may request rent in advance is for their own financial security.
However, as previously mentioned, it may also be because they do not want the hassle of having to find another tenant. Requesting rent in advance means that you are much less likely to leave, as you have already paid.
When to be careful
As a tenant, paying rent in advance is probably not your first choice. Yet, if you’ve found the perfect property, you may very well be tempted.
It is, however, important to know that if you have already paid rent, it will be a complete hassle to try and get compensation/ out of the property if the landlord ends up not being great.
Perhaps they won’t make repairs, or they never respond to any questions you have. You’ll feel irritated that you paid all that money in advance when actually you sort of want to leave the property (after giving the correct notice, obviously).
However unlikely this is to happen, it is something to keep in mind when considering paying rent in advance.
It is also worth noting that rent in advance is NOT the same as a deposit. Make sure you get separate receipts so that you don’t end up paying more than what you bargained for.
So, while it is perfectly legal for a landlord to ask for rent in advance, it may be worth taking a step back and ensuring that you are 100% sure before committing to anything.