How much does it cost to rent?

If you’ve found a property to rent and want to move in, you’ll be expected to pay some upfront costs, such as:

A tenancy deposit

This is held by the landlord in case there’s damage or unpaid rent.

Your landlord can ask for a maximum of five weeks’ rent (or six weeks if your rent is over £50,000 a year).

Your deposit must be protected in a government-approved tenancy deposit scheme.

You’ll be given written confirmation stating which of the three existing schemes your money is in.

Rent in advance

Most landlords will ask for one or two months’ rent upfront.

There’s no legal limit on how much rent in advance you can be asked to pay.

But it’s more likely that you’ll be asked to pay more upfront if you have a poor credit history, you’re on a low income or you don’t have a guarantor.

A holding deposit

You might be asked to pay up to one week’s rent to reserve the property while checks are carried out.

If the landlord decided not to rent it out to you, you’ll get this money back.

They can only keep it if you pull out, fail a check, or give false information.

Your landlord can only legally charge you for:

• your tenancy deposit
• a holding deposit (if you choose to pay one)
• utility bills, council tax, or a TV licence
• replacing lost keys
• late rent payments (after 14 days or more)
• changes to the tenancy that you ask for
• ending the tenancy early, if you decide to leave

If you’re asked to pay for anything else, such as admin fees, cleaning charges, or credit checks, it might be illegal.

So before signing a tenancy agreement, it’s worth asking your landlord or letting agent for a full list of any costs in writing.

That can help you avoid unexpected charges and hopefully make any disputes over payment less likely.

Your deposit is your money, and if you’ve paid rent on time and looked after the property, you’re entitled to get it back when you move out.

This money should be protected in one of three government-approved tenancy deposit schemes:

• the Tenancy Deposit Scheme (TDS)
• the Deposit Protection Service (DPS)
• MyDeposits

Landlords must use one of these schemes to protect a tenant's deposit for an assured shorthold.

They’ll let you know which scheme it’s in and how you can get it back when the tenancy ends.

If they don’t give you all the money back and you don’t believe they have a good reason for doing so, you can challenge it through the tenancy deposit scheme’s dispute process.

It’s free and independent.

Instead of asking for a traditional deposit, some landlords now offer what’s called a ‘zero deposit’ or ‘deposit replacement’ scheme.

At first, these might sound like a simpler or cheaper way to move in, but it’s important to know how they work before you make any decisions.

With these schemes, you usually pay a non-refundable fee rather than a deposit you can get back.

This might be a one-off payment or an extra amount added to your rent each month.

And you could still be asked to pay for damage or unpaid rent, and sometimes there are extra costs if there’s a disagreement with your landlord.

Some schemes also charge renewal or yearly fees if you stay in the property longer.

If you can, it’s usually better value and more straightforward to pay a traditional refundable deposit.

So if a landlord tells you that you have to use a zero-deposit scheme, that could count as an unfair tenancy fee.

If you can’t afford to pay the deposit or rent upfront, then there some options available.

Speak to your local council

Most councils have rent deposit or rent guarantee (bond) schemes.

These can lend you money for your deposit or rent in advance and you’ll have to pay it back in small amounts.

They can also guarantee your deposit to the landlord, so you don’t have to pay it yourself.

Some councils also have homelessness prevention funds to help people under pressure to move or facing eviction.

Find your local council’s contact details here so you can see what’s available in your area.

Apply for a discretionary housing payment

If you have rent arrears and your housing costs are covered by universal credit, you may also be eligible for a discretionary housing payment (DHP).  

DHPs are designed to help with rent or housing costs.

You can apply for one if you get either: 

• the housing element of universal credit
• housing benefit

Apply through your local council.

They’ll decide whether to give you a DHP, how much you’ll get and how long you’ll get the payment for.

Crucially, you don’t need to pay DHPs back, so they’re not an extra debt that you’re taking on.

Charity grants and extra funding

Check if you’re entitled to any grants to help with the rising cost of living.  

Enter your details in the Turn2us grant checker and see if there are any you can apply for.

A guarantor is someone who agrees to cover your rent if you’re not able to.

Having a guarantor can make it easier to get approved for a rental property, especially if: 

• you’re on a low income
• you’re a student or new to renting
• you have poor credit history

If you have a guarantor, you might be in a stronger position to negotiate a lower deposit or secure a tenancy that could have gone to someone else.

Your guarantor will usually be a family member or a close friend.

But before they sign anything, make sure they understand what responsibilities they’re taking on.

Possibly, but obviously it depends on which landlord or letting agent you’re dealing with.

If they’re happy to be flexible, you might be able to negotiate a lower rent or ask for bills to be included.

Or they might agree to reduce your deposit or rent in advance if you have a guarantor.

If you’re able to reach an agreement, make sure you get it in writing, so you have proof in case there’s a dispute in the future.

If you can’t find a home to rent that’s within your budget, then there are options available.

Apply for council or housing association homes

These might have lower rents than homes on the private rental market.

Find out what benefits you can claim

You might qualify for universal credit or housing benefit.

If you’re not sure what benefits you might be eligible for, you can either give us a ring and we’ll check for you.

Or use our free benefits calculator to see what help is available.

Search for charity grants

Head to the Turn2us website to see what grants you might be able to apply for.