Applying for a rental property with a group of friends?
My objective here is to help you get your rental application approved.
Firstly I should point out, there are so many factors an agent takes into consideration when reviewing your application however essentially they need to prove you can pay the rent and look after the property.
This blog only focuses on getting your application approved if you are renting with a group of friends (more than two adults) and typically no children.
If you're not sure how relevant this is to you click here.
It's a free tool that tells you what you need to do to get approved based on your own situation. If you have not done that already I recommend you stop reading this and click the link above before reading this. You will get taken back here if it's relevant.
When you rent with a group of adults you pose greater risk in the following areas:
This is the big one. When you apply for a property with 2 or 3 other adults it takes a lot longer to screen your application. For example, if they need to verify 3 or 4 lots of income vs just one or 2. That's double the time to screen.
Why is this a problem: You may not even make the shortlist if a Couple with good renting history also apply for the property, this is because an agent will approve the best application they can in the shortest period of time. It's a business.
Ultimately it means an agent needs to spend more time managing the property and the landlord may take on extra risk.
For example, there is more likely to be changes to the lease agreement and potentially the bond if housemates move out and you bring another one in. This is extra risk for the landlord and time for the agent to manage.
As an ex property manager if felt like if a group of friends didn't make changes (eg change of housemates) they would move out sooner, requiring me to find new tenants again and for the landlord to pay the fees.
The more adults there are living in a property, typically the more wear on the property.
This equates to additional maintenance costs to the landlord.
You are more likey to have parties and unwanted guests as opposed to a couple applying for the property.
This can mean additional time to manage the property and potentially costs to the landlord if they can't prove you negligently damaged the property.
I bet you're thinking, this is such a generalisation. It is but the problem is, as people we use shortcuts every hour to make quick decisions in our lives. A person is reviewing and making a decision on your application - not a computer.
Make sure everyone completes their part of the application straight after the first person
Offer to sign a 2-year lease on the application. This will create more stability to your application. You can always break the lease later.
Offer higher rent to reduce their risk (eg 5%)
Rent Affordability: This will save the agents time having to verify your income and calculate your affordability to pay the rent.