Holding Deposit – Equivalent of 1 week’s rent (to show commitment whilst your application is being processed & references checked. Applications must be completed within 14 calendar days, & if your application is successful, your holding deposit will be deducted from the move-in balance (consisting of 1st month’s rent & deposit). Your holding deposit may not be refundable if you provide false or misleading information, simply withdraw your application or your application is not completed within the 14 day timescale & you have not made every effort to avoid this happening. Full details of circumstances under which the holding deposit is and is not refundable will be provided before the holding deposit is paid)
Rent – Usually 1 month’s rent (to cover the 1st month’s rent due for the tenancy. Rent is usually payable monthly & in advance)
Security Deposit – Ususally equivalent of 1 month’s rent (but up to 5 weeks’) (to cover damages or defaults on the part of the tenant during the course of the tenancy)
Unpaid Rent – Bank of England base rate plus 3% (to pursue non-payment of rent, payable from rent due date to the date rent payment is received. N.B. this charge is not levied until 14 days after the rent due date)
Lost Key or Security Device – Actual costs incurred, plus agent’s time @£15.00 per hour if needed (agents/landlords have no statutory or contractual obligation to assist with this, so tenants are responsible for making the agent/landlord whole again for any time or actual costs incurred)
Contract Variation at tenant’s request - £50.00 (to cover the costs associated with liaising with the landlord & taking their instruction, plus preparing & executing a new legal document)
Change of Sharer at tenant’s request - £50.00 (to cover the costs associated with liaising with the landlord, referencing the new tenant, Right to Rent checks, deposit registration and preparing & executing a new legal document)
Early Termination – Letting Agency Fee usually payable by landlord, plus all rent due until new tenancy commences (to make the landlord whole from any costs incurred or loss of rent. Early termination is a breach of tenancy as the tenancy clearly outlines the rent the landlord will receive and the period in which you have possession of the property, and so the landlord should not incur any losses or costs)
Upon application to commence a tenancy, the Holding Deposit will become payable and you will be required to complete the associated application forms. Then, upon successful completion of referencing, the security deposit will be payable. The holding deposit will be redunded to you by way of deducting the amont paid from the balance due for the Security Deposit. The 1st Month’s rent will become payable at the start of the tenancy term, on or before the key collection.
Jacob Craig t/a JCR Property Co is a member of The Property Ombudsman (TPO) who provide redress. Client Money Protection is provided by Propertymark.
