Renting a home can be an exciting step, but it’s essential to be fully aware of the costs involved. Beyond the monthly rent, there are various expenses you’ll need to budget for to avoid any financial surprises. Whether you’re a first-time renter or moving to a new home, here’s a detailed guide to help you plan your budget when renting a property in Sussex.
Holding Deposit
Before finalising your rental agreement, you may be required to pay a holding deposit to secure the property. This is usually one week’s rent and shows your commitment to proceeding with the tenancy. The holding deposit is typically deducted from your first month’s rent or security deposit.
Security Deposit
The security deposit is a refundable amount that serves as protection for the landlord against any damage to the property. In England, this deposit is capped at five weeks’ rent for properties where the annual rent is under £50,000. It’s returned at the end of your tenancy, provided there’s no damage beyond normal wear and tear. Ensure your deposit is protected in a government-approved deposit protection scheme, as required by law.
First Month’s Rent in Advance
When you sign the lease, you’ll typically be required to pay the first month’s rent upfront. This is standard practice and ensures that your rent is covered for the initial period of your tenancy.
Agency Fees
In most cases, letting agency fees for tenants have been banned under the Tenant Fees Act 2019. However, you might still encounter some fees, such as charges for lost keys or late rent payments. Always clarify any potential charges with your letting agent.
Moving Costs
Don’t forget to factor in the cost of moving your belongings. Whether you’re hiring a professional removal company or renting a van for a DIY move, these costs can add up.
Utilities and Council Tax
Once you’ve moved in, you’ll need to budget for utilities, including electricity, gas, water, and internet. Depending on your lease agreement, you may also be responsible for council tax, which varies based on the property’s location and valuation band.
Contents Insurance
While your landlord will insure the building, it’s your responsibility to protect your personal belongings. Contents insurance covers your possessions in case of theft, fire, or damage. Consider tenant liability insurance, which covers accidental damage to your landlord’s property.
TV License
If you watch live TV or stream live broadcasts, you’ll need a TV license. This is a legal requirement, and failure to comply can result in fines.
Regular Maintenance
While landlords are responsible for major repairs, tenants may need to handle minor maintenance tasks. Budget for things like lightbulb replacements, gardening (if required), and general upkeep.
End of Tenancy Costs
When your tenancy ends, there may be additional costs such as professional cleaning, which is sometimes required by the landlord to restore the property to its original condition.
Homes to Rent in Sussex
Renting a home comes with various costs that extend beyond the monthly rent. By understanding these expenses and budgeting accordingly, you can ensure a smooth renting experience. At Alexander Philips, we help tenants navigate the rental market in Worthing and across Sussex to find the perfect home to rent.
