Average end-of-tenancy charges - including arrears, cleaning, and damages - were significantly lower last year in the student rental market than the rest of the PRS.
They worked out at £788 compared to £1,131 in the wider PRS, according to Reposit, which reports that average damage costs were £472 in student lets, compared with £563 for other renters. However, the average cleaning charge for students was £283, which was higher than the £220 incurred outside the sector.
Although the average overall end of tenancy charge among graduates was lower, these charges occurred more frequently among student renters, with 63% of tenancies ending in a charge compared to 48% elsewhere. Cleaning was the most common reason for charges among student tenants, followed by damages and then arrears - the same trend seen in the wider PRS.
Its data reveals that 54% of student tenancies ended with a cleaning charge in 2024 compared to 34% of non-student tenancies, while damage rates were broadly similar at 29% in the student sector and 24% outside of it.
These elevated rates in the sector illustrate the importance of investing in processes to support end-of-tenancy management and reduce administrative burdens, explains Reposit. Gurman Bains, head of new business, says one of the biggest time drains in traditional deposit schemes is negotiating disputed charges. “With Reposit, supporting evidence can be uploaded instantly, allowing for faster resolution or direct tenant acceptance,” he adds.
“We’ve also tailored our process for student partners, offering more time to submit charges during the busy move-in/move-out season, and adjusting our referencing criteria to allow guarantor-based checks instead of referencing students directly.”
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