What is a guarantor for rent?

A guarantor, when it comes to renting, is someone who steps in to pay the rent if the tenant is unable to do so. They're often a family member or close friend of the tenant and provide assurance to the landlord that they won't face financial loss if the tenant's circumstances change. Typically, a guarantor agrees to cover the entire rent outlined in the tenancy agreement, not just a portion if there are multiple tenants.

When might you need a guarantor?

Having a guarantor can be handy if you anticipate difficulty meeting your rental obligations. This could be due to various reasons like starting a new job, uncertain income, being a student, or having a low income.

Landlords aren't obligated to request a guarantor, but they might do so if they're uncertain about a tenant's ability to pay rent. For instance, if you have a poor credit history or are new to the UK from abroad, a landlord might ask for a guarantor.

Who can be a guarantor for rent?

Typically, close friends, parents, relatives, or family members are preferred choices for guarantors, although it's not a strict requirement. Landlords usually look for individuals with good credit histories, UK residency, property ownership, and a stable income or substantial savings. Retired individuals or those living abroad may find it challenging to be accepted as guarantors.

Landlords often conduct credit checks on potential guarantors to assess their creditworthiness.

What are the obligations covered by a guarantor?

A guarantor agreement outlines the responsibilities a guarantor undertakes, primarily covering rent arrears and property damage costs. This agreement typically applies to all named tenants in the tenancy agreement. The duration of the guarantor agreement usually aligns with the tenancy period, although there's flexibility in this aspect.

What are the rights and responsibilities of guarantors?

During the term specified in the guarantor agreement, the guarantor is liable for any outstanding rent or property damage expenses.

Before signing any agreements, a guarantor should receive copies of both the guarantor and tenancy agreements and not be coerced into signing. Any changes in the tenancy terms, such as rent increases, could affect the validity of the guarantor agreement unless explicitly stated otherwise.

Tenants should also familiarize themselves with their rights. For further information, visit our page dedicated to tenant advice.

What happens if a claim is made against a guarantor?

If tenants fail to pay rent or cause property damage, the landlord can make a claim against the guarantor. In the event the guarantor refuses to pay, the landlord can pursue legal action, including obtaining a county court judgment (CCJ) against both the tenant and guarantor.

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