Reposit: The tenancy deposit alternative
A new way of renting without the hassle of a deposit
With the tenant fee ban approaching, letting agents across the UK are looking for ways to reduce costs and increase efficiency. One way agents can not only save time but actually make money is by using Reposit instead of a traditional tenancy deposit scheme.
Over £4billion of tenants' deposit money is tied up in deposit schemes, causing a headache for agents and landlords and a financial burden for tenants. Luckily, these are no longer the only options available. Here's a quick look at how Reposit is making renting faster, fairer and more simple.
What's the problem with using a traditional deposit scheme?
For property managers, the schemes are admin-heavy and inefficient, and in the case of the insured scheme, carry costs which could easily be avoided. Aside from the joining and late registration fees, deposits are an old-fashioned way of letting property which come with a mountain of paperwork hassle not in keeping with the digital age. The £4billion tied up in the system could be put to much better use in the UK economy.
Deposits are a waste of time: 97% are returned without dispute, proving tenants can generally be trusted to be responsible and treat a property like their own home.
Reposit: how and why is it different?
Tenants save and can move faster
With Reposit the tenant pays one week's fee instead of up to six weeks' rent, so they save money and can often move in sooner. There's no need to worry about registering a deposit or release at the end of tenancy, meaning tenants can move faster with less financial pressure.
Up to six week’s rent for damages and arrears
Repsoit offers up to six weeks’ rent for damages and arrears, just like a deposit. We will continue to do so despite the four weeks' rent deposit cap. Reposit also offers free tenant referencing and incentivises tenants to reduce their fee over time through good property care - if a tenant leaves a property with no charges outstanding their next Reposit fee will automatically reduce along with their personal risk.
Earn money as a Reposit Partner
Most importantly, unlike the traditional schemes, the agent/landlord earns commission for each Reposit. For a property with a £1000PCM rent, instead of paying an average deposit of £1500 on top of rent and other moving costs, a tenant would pay a Reposit fee of only £230 and the agent/private landlord would receive £50. It’s a win-win for everyone
Find out more on the Reposit website here including our latest partners and testimonials
In the past 20 years the UK private rental sector has exploded! The sector has grown from under 10% of housing stock in 2000 to now over 20%. In the capital the trend is even more striking; in 2000, 60% of Londoners were homeowners, but by 2025 this will have reversed, 60% will be renters with just 40% owning their own home. Despite a slight wobble in early 2017, UK rents have been on a steady rise, proving there’s much to gain from renting property in 2017 and beyond.
The UK is home to an estimated 2 million private landlords owning approximately 5 million properties. With a ban on tenant fees meaning agents will no longer earn money from tenant services, landlord perspectives are more important to letting agent revenues than ever before!
However, very little is known about UK landlords’ attitudes toward the lettings market and their relationships with their own agents. What makes a landlord leave an agent, and do they feel their fees are fair? Would better service elsewhere tempt them away, and would they leave if fees increased after the tenant ban?
We asked our partner agents about the questions that mattered and surveyed over 600 UK landlords to get their perspective on agency service, fees and legislation.
● Over 50% of landlords say they are willing to leave their current agent! Learn how to keep your landlords happy and exploit your competitions' failures to win new business
● Two-thirds of landlords have paid unexpected costs through letting property: improve your transparency and avoid having a landlord leave over your fees
● 41% of landlords have left an agent in the past: discover the top reasons landlords leave agents to avoid losing your vendors
● Plus find out how landlords prefer one-off or monthly payments, what makes a landlord choose an agent and if landlords are expecting their fees to rise as a result of the tenant fees ban
Questions about the report? Email firstname.lastname@example.org