What is Deposit Free Renting?

Deposit-free renting is an alternative to traditional security deposits, designed to help make moving into a new home cheaper and easier for both landlords and tenants. Rather than paying thousands for a cash deposit, deposit-free renting is a deposit replacement which can offer tenants pay a fraction of that price*.

How does deposit free renting work?

Deposit free renting allows you to rent a property without a cash deposit. Instead, renters may bee asked to pay a fee equivalent to a week’s rent, which is spread between tenants if there is more than one renter. Tenants are still responsible for any damage or unpaid rent on your rental property and will have to repay any outstanding costs at the end of their tenancy.

The information provided should be used as a general guide, so remember to check with your provider as deposit-free renting differs from company to company.

Zero Deposit gives you, the tenant, freedom from having to pay deposits. The Zero Deposit scheme replaces your traditional deposit with a one-off payment which is equivalent to a week’s rent.

• Fewer Upfront Costs: Paying a one-off Guarantee instead of a deposit means that the start of renting is more affordable than having to pay an expensive deposit and a week’s rent at the same time.

• New and Existing Tenants: You can apply for deposit-free renting whether you’re a new tenant about to move in or an existing tenant who’s looking to free up the cash from their current deposit.

• Partner Agents: Foxtons, Your Move and Sequence, including many more.

Canopy’s DepositFree™ insurance is a great option for renters who don’t want to pay the high prices of cash deposits. Canopy replaces the cash deposit with an insurance premium which is designed to benefit the renter and cost less than the high rates you would pay on a traditional cash deposit.

• Renters are covered: If you find yourself in a situation where you’ve lost your job or have become seriously ill and your rent is affected, the insurance premium means that Canopy will cover your expenses and pay your landlord or letting agent on your behalf.

• Cost: The cost of DepositFree Insurance starts at 10% of a cash deposit for a 1-year lease + Insurance premium tax + a 10% Canopy Admin Fee.

Flatfair offers a fantastic form of deposit-free renting through its Flatfair membership. Rather than paying a costly security deposit, a Flatfair membership fee requires you to pay a one-off payment equivalent to one week’s rent and then you’re free to move in.

• Rewards: If you’re a great tenant you’ll be rewarded with a tenant score that will help you shine on future rental applications. In addition, you could even be eligible for discounts!

• Flatfair’s Online Platform: With everything online you can sort every aspect of your tenancy. So if there’s a dispute that needs to be resolved, or if you’re just about to move in - everything is accessible on the platform.

• End of Tenancy: All charges for possible damages are made online, where you’ll also have the opportunity to dispute them should you need to. There is no need to go back and forth as everything you need will be on the platform.

• Partnered Agents: Haart, Hunters, Greystar and more.