Guarantor for 2nd year accomodation....insurance policy?

[Acacia123]

Just signing as a guarantor for son's second year accommodation which is a shared house (4 students in total). I've read the agreement from back to front several times so I'm reasonably confident as to what I'm agreeing to - but it makes me slightly nervous.

I wondered whether it's possible to take out an insurance policy....a quick google is not giving me anything, so I think it's unlikely....just wondered if it's possible?

Thanks!

There are companies who will be guarantors for a fee, like Housinghand.

When I looked into it for a friend it was not cheap. But then she had a CCJ. Might be different for students.

I was guarantor for DD's second year house as were parents of the other house sharers. Didnt get insurance but I would recommend the following:

• on taking up the house get DS (or do this yourself) to take photographs of all less than perfect cleaning/maintenance
• raise any and all problems immediately with landlord
• keep records of all of the above
• on exit clean to a very high standard and photograph afterwards.
• remove everything which wasnt there at the start. Empty all cupboards.
• share photographs with other house sharers

Shared space is always a problem. DD cleaned the kitchen on exit but wasnt last to leave and fellow sharers werent as conscientious. However DD was able to prove to her fellow sharers that she had done her part so they were able to come to an agreement on who paid for which deduction from the deposit.

It is scary I know!

If there's 4 of them ensure you are only liable for a fourth if any liability. Some try and word it that each person is liable for the whole as a precaution if any others don't pay up

Agree with taking photos on moving in and make a plan when moving out to ensure everything is clean and no one else leaves a mess.

ONe way to get around being a guarantor on a joint and several liability basis (ie you could be liable for every tenants Rent for the duration of the tenancy) is to pay your child’s rent up front. This is what we have done, and is what most agencies insist on for overseas students whose parents do not have domestic credit ratings etc

The taking photos thing is to ensure return of the deposit. The guarantor however is liable for the rent, and sometimes for all the tenabts’ Liabilities. All the photos in the world will not get round that liability for the guarantor

Gnome, it is worth checking with the agency about whether a professional inventory will be carried out. If so rather than take photos, tenants should go through the inventory carefully when they arrive, and note any discrepancies, perhaps with photos. You need to get this back to the agent within about 10 days. It is also worth checking whether a professional clean will be carried out (alternatives are good domestic clean, or simply unclean). If the former, the landlord will probably expect the same on exit.

But these are deposit issues. Probably the best chance of negotiatiating out of being a guarantor probably on a joint and several basis (worst case you could end up responsible for everyones rent) is to offer to pay rent six monthly in advance. Its what overseas students who dont have guarantors, often do.

I agree MrsSnitch but as I was already paying the rent this was kind of a moot point. Mtce loan was less than the rent so DD transferred it to me on receipt and I then paid rent.

The photos help to manage the risk of unscrupulous landlord seeing the deposit as free money. Being able to demonstrate that the accomodation was left in good order mitigates that risk.

Just trying to be helpful based on my own experience of a similar situation.

If parents can't afford to pay rent up front (we certainly can't) then it is about mitigating risks. Choice of house sharers was discussed clearly with DD. She understood that we were taking a risk.

What does is cover exactly? That you will pay the rent and cover a lost deposit?
Would you want the insurance for the deposit?
Or does it leave you liable for something else?

I said I would pay up front for the year but not guarantee (as most of the guarantees are of the whole house not just my child's rent) but they wanted to do what their friends did I think and they got their other parent to guarantee (I pay, he guarantees so I've probably got the more expensive end of the job).

Choose those whom you share with carefully, take photos.
I have one child's tenancy from September but the other has not got a copy and has not sent me one (the one of his friends who arranged the house has it apparently - they all signed it). They know my views - get a copy, print it out, save it electronically too, read it all.

There is a legal requirement that deposits are protected. If the letting agent does not send a copy of the certificate, ask for it. And dispute over the return of a deposit then goes to arbitration. Students probably rarely bother but they should. The burden of proof on deposit deductions lies with the landlord and everything needs to be receipted etc. It is a real faff so my guess is that if challenged 9 out of 10 landlords would settle. The agent is also required to give tenants a booklet on tenants rights. Failure to do that, provide an up to date gas certificate, have a professional inventory, or, if applicable, be registered as an HMO, would probably weaken or invalidate a landlord's claim from a deposit.

Any dispute..

I think it is quite important for the sharers to come to an agreement about the departure process well before hand. While they all tend to arrive within a few days departure can be staggered with there being some weeks. My DD's sharers all agreed up front so that the last one out wasn't left with all the cleaning. Equally you don't want to do a load of cleaning and then find that the last one out has a final night party which all the sharers end up having to pay for in terms of cleaning costs. Nothing legally enforceable but recognising the moral obligation amongst themselves.