Renting a property in the UK can feel confusing if you’re new to the country or the rental process itself. With deposits, guarantor requirements and upfront payments, costs can quickly add up. For international tenants and students in particular, the process can feel even more overwhelming.
At Housing Hand, we’ve helped thousands of renters navigate this process smoothly.
In this blog, we’ll explain what fees you can expect to pay when renting in the UK, what costs are now banned under government legislation, and how to avoid unnecessary upfront charges, especially if you don’t have a UK guarantor.
What are the costs of renting in the UK?
Typical fees that new tenants in the UK can expect to pay include deposits, rent and guarantor fees.
Tenancy deposits
Most landlords or letting agents will ask you to pay a refundable deposit at the start of your tenancy. As per current government regulations, this is usually capped at 5 weeks’ rent if your annual rent is under £50,000 (or 6 weeks if it’s higher). Your deposit must be protected in a government-approved deposit protection scheme. You can check this on the UK Government website here.
A holding deposit
A payment must be made to reserve a property while your references and paperwork are processed. The maximum you can be charged is one week’s rent, which should be returned to you or deducted from your first rent payment. But if you decide not to be processed or the information you provide isn’t accurate, you could lose this fee.
Rent in advance
It’s standard practice in the UK for tenants to pay the first month’s rent upfront.
But if you don’t have a UK rent guarantor or have a poor credit history, you may be asked to pay more upfront (maybe 6-12 months of rent in advance). This can be financially challenging for many. Housing Hand’s rent guarantor service can help you with this.
Guarantor fees
Lastly, while this isn’t technically a fee, if you don’t have a UK-based guarantor you might need a professional guarantor service. Our fees are transparent and tailored to your situation, you can get a free quote here.
Fees that are now banned in the UK
The Tenant Fees Act 2019 was introduced back in 2019, and now, most rental fees are illegal in England. This includes:
- Referencing fees
- Admin fees
- Inventory fees
- Credit check fees
- Check-in & check-out fees
These charges cannot be passed on to tenants anymore.
If a letting agent or landlord still charges these fees, they are breaking the law. So always double-check your contract and don’t be afraid to challenge anything that seems unfair.
Considerations for international tenants
If you’re moving to the UK from abroad, be aware of these extra hurdles:
- Guarantor requirements: Most UK landlords ask for a UK-based guarantor. You may be asked for 6–12 months’ rent upfront without one.
- Credit checks: You may not have a UK credit history, which can complicate referencing.
- Document verification: You’ll need a valid passport or visa and sometimes proof of income or enrolment.
What if I have a bad credit history?
If you have a bad credit history or are using a guarantor with a bad credit history, you may be asked to pay your rent upfront.
That’s where we come in. Housing Hand doesn’t run credit checks on users or their co-signers, which makes it easier to rent confidently, even with limited credit history.
What about the Renters’ Rights Bill?
It’s important to note the Renters’ Rights bill in the context of international students renting in the UK, too. This bill will introduce a transformative new tenancy system which will make renting in England fairer and more secure for international students and professionals by ending ‘no fault’ evictions, turning all tenancies into flexible rolling contracts, and introducing stronger standards for property conditions and fairer rent increases.
Tenants will also gain more rights like the ability to challenge unfair rent hikes and request pets, and a new database will help identify bad landlords. But you will still require a UK-based guarantor, which is where we can help.
Need help with a guarantor application? Get in touch today.
