HOW TO PASS REFERENCING IN 5 EASY STEPS
Your prospective new landlord will be keen to make sure that you are a suitable tenant and that you have the ability to pay your rent, while also making sure that you have rented a property without any major problems in the past. If instructed, Rentwithus.online will organise this, and at this point, we will ask for the administration fee, along with your permission to conduct the relevant searches. Be aware that should you fail any of the necessary checks, you will not get your administrative fee back.
If you agree, some, or all of the following documents may be requested by RentWithus.Online
References from previous landlords – you may be asked to give the details of where you have lived within the last three years
A credit check – this will allow us to see if you have a good history of paying your bills
Your bank details, including bank name, account number and sort code
Details of your employment, including your employer, job title, payroll number, salary and previous employer
In the event that the information highlights any potential of risk to the landlord, you may be asked to provide a guarantor. A guarantor will be contractually liable, both financially and legally, should you fail to pay the rent during your tenancy or in the event of damage to the property.
THE 5 EASY STEPS
1. BE HONEST Your prospective new landlord understands that each tenant’s situation will be different and unique. Depending on your circumstances, the Landlord may be flexible, allowing you to pay rent in advance, or be willing for you to provide a guarantor.
2.BE PROMPT AND RESPONSIVE To get the process started, it is best to fill out your referencing application form as soon as possible. Bear in mind, the landlord wants you in the property so they can start collecting rent. If you delay with getting the process underway, the landlord may opt out for someone else.
It should be noted, the company carrying out the checks might contact you to request further information. This might include bank statements, letters, or proof of identity. If this is the case, please be sure you get in touch or provide them with what they need as soon as you can. This will avoid unnecessary delays to your application.
3. LET YOUR REFEREES KNOW Most referencing companies will carry out 1 – 2 telephone and e mail and will only be in the position to process a reference application until they receive an answer from either your employer or previous landlord. Without their answer, the application can’t go any further.
4. APPORTION THE RENT APPROPRIATELY To pass referencing you must have a household income of 2.5 times the annual rent. In most cases tenants will be referenced against an equal share of the rent. For example, it might be that two tenants split the rent 50:50.
Before you begin, work out who’ll be paying what. That way, you can make sure you are referenced for the correct amount to see you through the application and avoid any delays.
5. WORK OUT IF YOU NEED A GUARANTOR, AND HAVE THEIR DETAILS READY If you think you’re unlikely to pass referencing based on affordability, perhaps you’ll have a close friend or relative who wouldn’t mind acting as a guarantor for you – providing they earn at least three times the annual rent. Referencing your guarantor alongside your own referencing application will save a lot of time. It’s better than waiting for a failed report to come back when you already know you don’t quite earn enough.
Nevertheless, it’s good to have a potential guarantor lined up even if you think you earn enough – just in case any unforeseen issues arise. Perhaps you didn’t realise you were on a temporary contract at work, or that you hadn’t fully paid off your CCJ (County Court Judgement). Whatever the situation, having a guarantor ready means they can be referenced as soon as such issues arise.
Both scenarios save you and the landlord time and will help you secure your place in the property. It should be noted that the same process for tenants also applies to guarantors.