I'm just putting my previous flat on the rental market, and am looking to start a new relationship with a letting agents.
Could the forum provide some insights in the area of 'surety' vs. a secured deposit.
I already have a tenant couple lined up, but am asking the letting agent to manage to move-in process to ensure everything is done right as I'm completely new at this. They're charging a pretty penny for it, but rather safe than sorry.
The couple I am wanting to move in is a freelancing husband (with a low / irregular income stream) and a wife who is a highly paid specialist in the financial sector (income over £65,000 / annum). They've been together for 5 years now.
The agent is proposing to structure the tenancy as a single tenancy with the wife on the agreement, and the husband as a 'permitted occupier'.
The letting agent is also proposing a 'surety' of 6 weeks rent on top of the standard 6 weeks rent secured deposit. I'm being told this surety can be held by myself rather than in a protected scheme.
The reason for the 'surety' is that they state a security deposit can't be used towards rent arrears should they arise.
So, I have two questions:
Is a surety held by me legal given the secured deposits legislation? Or is it simply another security and I'm breaching the law by holding it?
Does it give me more or less protection by adding the husband as a 'permitted occupier' on the lease?
I don't anticipate any issues with the couple as tenants, as I'm sure they'd be in a position to buy a property if her work didn't require some flexibility to move internationally.
Any advise and help much appreciated!