At Taylor Robinson, we work with an extensive range of clients and we understand that there are many different opinions to what constitutes an acceptable deposit for tenants in West Sussex and beyond. The Housing, Communities and Local Government Committee is arguing that a five-week cap is sufficient but groups representing landlords have called for a six-week cap to be in place.
Landlords are calling for a larger deposit cap
One argument that has been put forward is that if landlords don’t have a suitable deposit in place, some tenants will be denied access to property. A popular example being stated with this outcome is tenants with pets. A landlord may be willing to accept a tenant with a pet with a six or seven-week deposit but if the deposit cap is set at four or five weeks, some landlords will feel that this doesn’t cover the cost of improving a property if a pet damages it.
It is believed that the Government is siding with a six-week deposit cap. While it is hoped that there is announcement about this as soon as possible, there is a chance that the matter could continue until 2019.
When it comes to West Sussex deposit caps, what would be an acceptable level to pay?
According to the home.co.uk website, the average rent in Crawley stands at £1,051 per calendar month, which amounts to £242.54 per week. The following information outlines how much deposit a tenant would have to provide in Crawley depending on the size of the deposit cap:
- A four-week cap creates an average deposit of £970.16
- A five-week cap creates an average deposit of £1,212.70
- A six-week cap creates an average deposit of £1,455.24
- A seven-week cap creates an average deposit of £1,697.78
In Horsham, matters are slightly more expensive. The home.co.uk website states that the average Horsham rent stands at £1,304 per calendar month and this equates to £300.92 per week. The deposits required in Horsham per week would be:
- A four-week cap creates an average deposit of £1,203.68
- A five-week cap creates an average deposit of £1,504.60
- A six-week cap creates an average deposit of £1,805.52
- A seven-week cap creates an average deposit of £2,106.44
For a seven-week deposit cap, the difference in deposit between Horsham and Crawley is £408.66. This is on top of the fact that the average monthly rent is around £250 more expensive. Before you know it, fees can add up quickly and this means that your choice of location can be important, especially if you have a limited budget for rent.
At Taylor Robinson, we know that there is a lot of pressure on tenants and landlords. If you are looking for support and guidance with the rental market in West Sussex, come and speak with the specialists.