LANDLORDS - New ‘Tenancy Deposit Cap’ and other Rules apply from 1st June

From 1st June 2019, the maximum Deposit landlords will be able to request is a

security/damage deposit of five weeks’ rent and agents will only be able to request a

holding deposit of one week’s rent when tenants apply to rent a property.

The holding deposit must be put towards the rent if the application is successful.

Landlords will NOT be able to charge a higher tenancy deposit than the maximum 5

weeks even when allowing for pets for example.

Any Deposit amounts that are currently held above the 5 week maximum amount

will also have to be refunded to tenants when renewing. Calculating the correct deposit

amount to ask is straightforward at 1 month’s rent x 12 / 52 = 1 week’s rent. Multiplied

by five, gives the accurate allowable security deposit amount.

As professional and experienced letting agents we cover the pet situation pretty

thoroughly in our tenancies anyway with professional carpet cleaning clauses and a

very thorough Photographic Inventory Record and, in our experience, damage by

pets is rare. Whilst an additional ‘pet’ deposit is not allowed, landlords are not prohibited

from seeking and advertising a slightly increased rent for accepting pets. For professional

lettings advice contact you local Adams Office.