Internal data released by London agency Foxtons indicates that nearly two-thirds of its rental property applicants originate from overseas. These figures, disclosed in a joint statement with Zero Deposit, highlight challenges for letting agents in the capital when processing applications from tenants who lack UK-based financial references or traditional guarantors.
This international demand is suggested to contribute to London’s rental market pressures. Rents in the capital average £2,294 per tenancy, which is 50% higher than the average across the rest of Britain.
In response to this applicant profile, Foxtons has partnered with alternative deposits provider Zero Deposit to offer Guarantor+. This service is designed for tenants who cannot meet conventional guarantor requirements. More than 25% of properties across letting agents and Build to Rent operators now accept this product.
Sam Reynolds, Chief Executive of Zero Deposit, stated that 77% of London tenants choose Guarantor+ when it is offered. Gareth Atkins, Managing Director of Lettings at Foxtons, noted that international renters, students, and the self-employed often struggle with traditional referencing criteria and form a significant part of London’s rental market.