Joint tenancies can be fun and a great way to expand your social circles. They also help reduce your monthly outgoings and spread the financial risk for landlords.More people are renting in the UK than ever before. Tenants are looking at exploring various rental agreements that suit their needs. A joint tenancy, where multiple tenants rent a property together, has benefits, drawbacks, and legal implications, so here are a few things to consider.

What is a joint tenancy?
A joint tenancy is a rental agreement that involves two or more tenants sharing a single tenancy agreement for a property. Each tenant is equally responsible for the entire property, including rent and any obligations outlined in the tenancy agreement This arrangement is ideal for professionals, groups of friends, students, or couples who wish to live together and share the responsibilities and costs associated with renting a property.

Pros of joint tenancies

• Shared bills
  Sharing rent, utility bills, and other living expenses makes life easier. This frees you from a larger financial burden, giving you a higher disposable income. So, whether you are saving to buy a property or want to enjoy life, you can. 
  
  
• Less administration
  With a joint tenancy agreement, administrative processes become more straightforward. With only one agreement, any correspondence with your landlord or letting agent can be carried out together.

• A good social scene
  Sharing a tenancy agreement is often a great way to live with your friends and enjoy a more full social scene. And if you don’t want to live alone, it could also create the opportunity to make new friends or companions. 
  
  

Cons of joint tenancy

• Shared responsibility
  The downside is that if one or more tenants fail to pay their share of the bills or break the terms of the tenancy agreement, the others may be held responsible. This can cause friction among housemates.
  
  
• Damage to the property
  In a joint tenancy, all tenants are collectively liable for each other's actions. If one tenant damages the property or breaches the agreement, all tenants could be held accountable for the costs.
  
  
• Disagreements
  Potential issues can include disagreements over chores, noise from music or guests, and respecting each other's space, to name a few.. Disagreements can arise, and this may cause arguments or a fallout.
  
  
• Legal considerations
  It’s vital that you know where you stand legally.
  
  
• Ending your tenancy
  If one tenant wishes to leave the property, the tenancy usually continues for the remaining tenants. However, arrangements can sometimes be made to replace the departing tenant or end the tenancy altogether.
  
  
• Deposits
  The deposit provided by tenants is often held collectively. When the tenancy ends, the deposit is returned to all tenants jointly, which could cause issues if there are disputes over damages or cleaning costs.

Tips for tenants to consider when entering a joint tenancy:

• Communicate
  Discuss important issues with your housemates.. You may not like to set ground rules, but a quick chat about who is responsible for what can prevent friction.
  
  
• Your tenancy agreement
  It's crucial for all tenants to understand the terms and conditions of the agreement, as it is legally binding.
  
  
• Prepare for the unexpected
  It’s important to plan and ensure that your housemates can cover the rent in case of unexpected circumstances.. Be prepared for unexpected circumstances, like one of your housemates leaving unexpectedly.
  
  
• Exit Strategy
  If one tenant wishes to leave the property, the tenancy usually continues for the remaining tenants. However, arrangements can sometimes be made to replace the departing tenant or end the tenancy altogether.
  
  
• Choose a property through a letting agent
  A shared tenancy has many advantages, but if you want to safeguard yourself from the pitfalls of this kind of living arrangement, a good letting agent is the way to go. From replacing a tenant, understanding your agreement to maintenance, you will be in a better place using an agent. If you're a landlord, opting for a fully managed letting service can significantly simplify your responsibilities..
  
  

Contact us today, whether you are renting or letting, to see how we can help

 

Improving your buying power has never been more important. With the increase in the cost-of-living, fluctuating interest rates, and high inflation, you need to pay attention to the details that can counteract these current challenges. A new home could be more affordable than you realise. With that in mind, here are a few things you can do that may put you in a much better position to buy the home you desire.

Pay your bills on time
Reduce any debts, from credit cards to monthly insurance payments to car loans, if you can. Late payments can reduce your credit score, so ensure you don’t miss any payments.

Build up your credit

 It’s important to use your credit card or have some borrowing history because this shows your potential mortgage provider that you have the ability to pay back debts.

Access your credit report

Keep an eye on your report, checking details such as your address history, payment history, settled accounts, and whether you are on the electoral register. Any errors should be corrected immediately, as they could affect your ability to borrow.

Reduce your debt-to-income ratio
Lenders closely examine your monthly outgoings in comparison to your earnings. So, if possible, pay off any existing debts and do not take out any more new loans. It’s equally important to be disciplined and monitor your spending.

Get in touch with a good mortgage advisor
Good estate agents will put you in touch with a good mortgage advisor. There are many options when it comes to mortgages today that help counteract the effects of high interest rates.

Porting your mortgage

This means if you are an existing homeowner, you could move home without needing a new mortgage. If you are currently paying a more favourable interest rate, then this could save you significantly in costs.

Longer mortgage terms

Lenders are now offering much longer-term mortgages, which means you will pay more interest overall, and also it will reduce your monthly payments.

Interest only

Instead of paying a capital and interest mortgage, you could opt to buy the home you want with an interest-only mortgage, which costs far less per month. Then, in a few years, if you decide to remortgage, you could change your mortgage product.

Increase the size of your deposit
It’s a bit cheeky, but there is always the bank of mum and dad to help increase the size of your deposit. This reduces the amount you need to borrow, but it’s also often one of the biggest hurdles to getting your first or even second home. Create a savings plan and stick to it. You can save money by being savvy with food shopping and socialising at home.

Earn more money
It may be worth considering taking on a second job or negotiating a pay raise. The more you earn, the better. It’s important to be realistic; don’t overdo it. Your earnings have to be sustainable, and your well-being comes first.

Be resilient and resourceful
Don’t give up. Keep searching for the home you want. There is plenty of room for negotiation right now. Sometimes you have to be patient. Your agent will have a deep understanding of your local property market and can put you in touch with a good mortgage advisor.. Sometimes they will be aware of properties about to arrive on the market before they are advertised.

Talk to your agent
Your agent will have a deep understanding of your local property market, be able to put you in touch with a good mortgage advisor, give you the right valuation for your home, and help you find the home of your dreams in the right location by making good use of the equity in your property.

Contact us today for all your home moving needs.

 

Contact us today for an accurate appraisal of how close you really are to living in the home you deserve

 

There are some amazing properties to rent in the UK today. Whether you are a successful business owner, a student, or a young professional, there is no end to the possibilities when it comes to property. Renting offers the freedom from mortgage responsibilities and being tied down, making it a great way to experience everything from flats in the city and suburban homes ideal for raising a family to country retreats.

The necessary steps to take

• Think about how much you can afford
  Do the math and consider not only monthly rent but also additional costs like utility bills, council tax, and energy bills.
  

• Property search
  This is a legally binding document outlining the terms and conditions of your tenancy. Read it carefully before signing and ask for clarification if needed. The agreement will include details like the rent amount, duration, notice period, and responsibilities of both the tenant and landlord.

• Book property viewings
  Going on viewings is exciting. Your agent will guide you through all you need to know while showing you properties in your desired location that best suit your needs.

• Tenancy agreement
  This is a legally binding document outlining the terms and conditions of your tenancy. Read it carefully before signing and ask for clarification if needed. The agreement will include details like the rent amount, duration, notice period, and responsibilities of both the tenant and landlord.

• Deposit
  Your deposit is held in a government-backed tenancy deposit scheme to ensure fair handling and will be paid before you move in; typically, it’s about one month's rent.

• Bills
  These may be included; if not, get in touch with utility companies when you move to ensure a smooth transition. Remember, if you pay for your utilities, you can change suppliers. Check when your council tax payments and rent are due and set up a direct debit.

Top tips for renting

• Take care of your home
  your new home in good order. Clean it, avoid causing damage, and follow any rules outlined in the tenancy agreement. Talk to your agent or landlord about decorating, find out what’s permitted, and enjoy where you live.
  
  
• Report any issues
  Resolving a problem before it becomes expensive is important. If your property is managed by an agent, all you have to do is call, and their maintenance team will sort it out swiftly.
  
  
• Get insured
  It’s always a good idea to get insured in case your belongings get damaged or stolen. Your agent will be able to recommend a good insurance broker. Another advantage of renting is you do not have to insure your home.
  
  
• Plan for the future
  Your landlord could be more than happy if you decide to renew your tenancy. This can provide stability and save you from the hassle of searching for a new property.
  
  
• Find a great agent
  Using a letting agent to find your property has many advantages. If the property is managed by them, they will always be just a phone call away. If you have a maintenance issue or want to look for a new property, the process is easy. Moving into your new home is exciting, and it’s comforting to have an expert to take care of everything for you, from your deposit, references, and any queries about your agreement to finding your ideal property in the first place.
  
  

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