Annie
30th Oct 2024
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4
minutes
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Tenants could spend hundreds or thousands of pounds extra each year just because it takes so long to get a property. New research by rental app tlyfe reveals that the average tenant sees costs climb by £235 during their search for a rental property. Availability versus demand, and the continued rise in rents each month on available properties, mean every delay costs more.
The Rise of Renting
The costs of renting make it seemingly impossible for some tenants to move home, the research reveals. On average, every month the rise in renting costs an extra £8. While the average tenant takes 2.5 months to find a new property, there are over 52% who take between 2 to 6 months to find a property. This means extra costs every month they are searching: taking six months with a rise of £8 a month means rents will be around £48 more a month by the time a new tenancy agreement is signed. That’s an extra £576 in rent a year, just because it’s so tough to get a property!
And let’s not forget those who take longer than six months to find a property – if it takes a year, that’s a £1152 increase on their next rental property, just because time passed.
Why Does It Take So Long?
When asked why it takes such a long time to move into a rental property, the main factor was that properties were being let out by the time tenants applied for it. The demand is so high, properties are let before they can be seen by tenants, leading to a frustrating and time-consuming search.
Another problem with high demand is for those tenants who were able to view in time and apply, but multiple applications meant they lost out to another tenant. Landlords can pick and choose their tenants in times like this, which means those who can afford to pay over the asking price or provide ‘sweeteners’ like six months’ rent up front are able to secure tenancies faster. This significantly disadvantages those on a lower income or in receipt of benefits, too – especially when you consider the third problem listed by tenants in the survey was that they were priced out of the property they wanted due to multiple people applying driving the rent up.
The tylfe app is created by OpenBrix. Their CEO Adam Pigott said of the findings:
Tenants face a number of obstacles when looking to secure a rental home and whilst the cost is certainly a sizable one, the initial struggle is their ability to find a property in the first place in what has become a very fast moving, competitive market.
This means that not only is the average tenant having to apply for multiple properties before they are successful, but their search can drag on for months on end, as they no doubt view a whole lot more than they actually apply for.
At the same time, the cost of renting continues to climb meaning that by the time they do secure a property, it’s even more expensive to rent, seeing them pay hundreds of pounds more over the course of their tenancy – sometimes even thousands of pounds more.
How Can You Make Renting Easier?
There are some things tenants can do to make themselves a more attractive proposition for a landlord. The first is to boost their credit score as much as possible, to ensure they pass credit checks. They can also get references from their current or previous landlord. Finally, a good tip is to look a little below your affordable monthly rent – as you then have a little wiggle room to negotiate, or nab a bargain which allows you to save extra in coming months for your next home.
Finding a property is time consuming, and requires lots of paperwork. That’s why tlyfe was invented.
The app is currently used by over 75,000 tenants, and it is designed to support the entire lifecycle of a rental tenant. It’s a unique app that gives tenants a voice while also streamlining the paperwork required to rent properties to make it easy for landlords to choose them. Why take weeks arranging checks when they are already done and the property can be filled immediately?
The ‘Rent-Ready’ function allows tenants to complete things like an affordability calculator, verify their ID, right-to-rent checks, and references all in one place. As soon as their ideal property comes available, the information is immediately to hand – meaning they can be approved for a property faster than those who haven’t done these checks yet.
The app includes a credit builder function too, which allows tenants to record their rent payments to credit reference agencies. This helps build a credit picture of a reliable tenant who pays on time, every month.
Tenants can use Tylfe to demonstrate affordability for their first mortgage in the future. Additionally, Tylfe offers a variety of resources for renters, including a marketplace and home concierge service. Find out more about this app that can help you save money on rent by visiting https://www.openbrix.co.uk/introduction.