Average London renters need to find over £3000 as tenancy deposit according to Dlighted

March 28, 2018

Recent research from deposit-free renting firm Dlighted has revealed that the average London tenancy deposit could now stand at £3014 – even when capped at the equivalent of 6-weeks rent by the government’s draft Tenant’s Fees Bill.

Dlighted states: The recently published English Housing Survey revealed that 30% of homes in the capital are now privately rented, with private rented homes overtaking owner-occupation as London’s most popular form of housing tenure.
With 862,000 households in London living in the private rented sector at the time of the last census, this could mean £2.6bn sitting in tenancy deposit accounts lost to the capital’s economy.

Ajay Jagota is Managing Director of Dlighted said: “Recent research showed that a quarter of UK families have no savings, and another quarter have less than £100 in the bank. Asking them to find more than £3000 just to become your customer is simply terrible business.
“It’s obvious: Restricting potential renters to people who have thousands of pounds in the bank, or risking renters getting into a huge amounts of debt just to rent with you costs you customers. Deposit free renting makes it easier to find and keep good tenants, whilst offering you 200 times more protection against damage and rent arrears.
“It’s also bad for the wider economy to have £2.6bn of Londoner’s money gathering dust or gathering interest for someone else when it could be used to help them get a foot on the property ladder, or to save for the future”.

Read the research report from Dlighted in full click here.

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Kerb appeal
Estate Agent Talk

Why November and December are the best and most affordable months to buy

Buyers and sellers looking for the right time to move can consider top reasons from property experts to start the process this November and December. The autumn and winter months may not be the first that come to mind when considering a move, but potential buyers and sellers can be reassured by the experts that…
Read More →
Breaking News

Farmers protest outside Westminster today in anger at the IHT ongoing debate – expert legal view

With today’s news about farmers set to protest outside Westminster in anger at the IHT ongoing debate, Tom Gauterin, Director at national law firm Freeths, said: “Although it is good to hear Mr Reed last week suggest that the Government is listening to farmers, today’s protests would suggest otherwise with the extent of their concerns…
Read More →
Love or Hate Rightmove
Breaking News

Bank Rate cuts boost optimism for 2025 despite Budget pause

Average new seller asking prices drop by 1.4% (-£5,366) this month to £366,592, a bigger fall than the usual, seasonal 0.8% drop seen at this time of year, likely due to pre- and post-Budget jitters However, despite the dampening effect of the Budget, market activity remains stronger than last year as Bank Rate falls: The…
Read More →
Breaking News

How to market to Estate Agents UK

The UK’s property sales and letting industry is quite sizable in both volume of work and those employed within. Some 25 million dwellings in England alone exist and there were estimated to be approximately 55,500 estate agents working in the United Kingdom as of the second quarter of 2024. Up and down the country, in…
Read More →
Letting Agent Talk

Preventative Measures to Reduce the Risk of Emergencies in a Rental Home

Ensuring that a rental home is safe and well-maintained is essential for both landlords and tenants. Emergencies in a rental property can lead to significant stress, financial loss, and potential damage. However, by implementing preventative measures, landlords and tenants alike can reduce the risk of emergencies and create a safer living environment. This guide provides…
Read More →
Estate Agent Talk

Understanding the Metrics Used by Estate Agents to Determine Your Home’s Worth

Determining the value of a property can sometimes feel like a complex process shrouded in mystery. However, understanding the various metrics and considerations that estate agents use to assess your home’s worth can demystify the process and empower you as a homeowner. This blog will provide a comprehensive guide to the key factors estate agents…
Read More →