When it comes to renting a property, one of the most crucial factors landlords consider is your ability to afford the rent. At Property Genius, we have specific income requirements to ensure that prospective tenants can comfortably manage their rental commitments alongside other living expenses.
Basic Income Criteria
As a general rule, your gross annual income should be at least 30 times the monthly rent. For example, if you're interested in a property with a monthly rent of £800, you should be earning at least £24,000 per year. This ratio ensures that you can afford the rent without financial strain.
Proof of Income
To verify your income, you'll need to provide:
Recent payslips (usually the last three months)
An employment contract
Bank statements showing regular income deposits
Optionally, opt into Open Banking
Self-employed applicants may need to provide additional documentation, such as tax returns or an accountant's reference. In additional, you must have been self employed for longer than year.
Affordability Checks
Our online portal, facilitated by Goodlord, will conduct an affordability check as part of the referencing process. This assesses your income against the rent and may also consider any existing debts or financial commitments.
Guarantors
If you don't meet the income requirements, you may still be eligible to rent by providing a guarantor. This is someone who agrees to cover the rent if you're unable to do so.
By understanding these income requirements and affordability checks, you're better prepared for a successful rental application, ensuring a smooth and transparent letting process.