Tenant Guarantor FAQ
Below is a list of Landlord FAQ's related to the topic Tenant Guarantor FAQ. If you have the brains or the curiosity, feel free to answer or add additional answers to the questions.
QUESTIONS
UNANSWERED
QUESTIONS
Landlord FAQ Categories
Search for keywords like "Fence" or "Oven" if you have a question related to either topic.
If you're returned with 0 results, it's worth manually looking through the appropriate section for your answer.
If the answer to your question is not in the FAQ directory, then feel free to ask the question by clicking on the "Ask Quesions" button above.
Tenant Guarantor FAQ
How much does a Guarantor have to earn? I was looking at a £850pcm property and was told my Guarantor had to earn around £25.800 a year.
ANSWER 1:
The standard amount tends to be three times the annual rent. Slightly higher than tenants, generally because they have their own dependencies/financial obligations. So, for your rent of £850, I'd suggest just over £30,000. The most important thing is getting them to sign a Deed of Guarantee, should the rent be missed.
I'm standing guarantor for my daughter's flat rental. But why do I have to give my National Insurance number and my bank account details to the agents? Is that required?
ANSWER 1:
Normally yes, they require your N.I. number to validate your claim as to who you are (and that you're a legal citizen) and the bank account details to show that you can prove that you have the income required to cover the rent if your daughter defaults.
Is it normal practice for a guarantor to guarantee everyones rent in the house not just the person they are representing, even though the other sharers are strangers to the guarantor?
ANSWER 1:
Yes, it is normal. You are jointly and severally liable for the rent. This can be problematic, particularly with students.
How do I stop being a guarantor?
ANSWER 1:
As a guarantor, you would have signed and entered a contract with the landlord. Assuming the contract has been drawn up correctly, a contract can only be broken in 4 ways: agreement between both parties (e.G the landlord lets you off), performance (e.G the tenancy agreement has come to an end by way of a relevant section 21 notice), breach (e.G one of the parties violates the terms but this must be shown in court) or finally frustration (e.g. Someone dies). If you want to stop being a guarantor, the best option you would have is to contact the landlord and come to an arrangement but until that happens you are contractually obliged to fulfill the terms of the agreement.
Do I need a guarantor for my tenant?
ANSWER 1:
Having a guarantor is the landlord's personal choice. 'Need' is therefore a matter of perspective.
Can my tenant's guarantor also be a tenant in the same property?
ANSWER 1:
There's nothing to legally stop a guarantor being a tenant as well. However as a tenant they are jointly and severably liable for the rent already so if they default on the tenancy agreement by not paying rent, by definition, so has your guarantor !. So you should always have a guarantor who is seperate from your tenant they are guaranteeing. Ie. You want belt and braces, not just belt or your trousers may well end up around your ankles !.
QUESTIONS
UNANSWERED
QUESTIONS
I initially started this website because I wanted to document my every step from property idiot to property landlord,
in hope that people would find my site and help me along the way. I literally didn't have a clue about being a landlord
when I started this website.