Property guardians are becoming more popular in the UK. These are people who pay cheaper rentals to stay in empty properties such as empty commercial buildings or residential homes. A property guardian is different to a normal tenant as the rent they pay will be much lower.
A property guardian is also known as a legal squatter and the process offers someone a way to live without having to live on the streets. The guardian will pay for a license to rent a space in a building or house which is much less than private rental agreements. This results in the owner of the building getting some money for the space while keeping real squatters out.
The number of property guardians has risen over the past few years due, in part, to the increase in housings costs throughout the UK. It has been predicted that by 2020, the minimum salary required for a first-time home buyer will be £64,000 and a minimum deposit of £46,000 will be needed. The price of houses continues to grow in the UK and this has made renting a challenge. The cost of rent has been increasing the home prices.
The average monthly rent for a two bedroom house in the country is now £764 with rentals in London averaging double this at £1,730. These numbers are continuing to rise and that makes it harder for potential tenants to save for deposits to buy their own home.
Property guardians, on the other hand, are paying around half this amount which is seen as one of the primary factors behind the increase in guardianships. The properties they stay in will generally be vacant ones or are a property that is awaiting planning permission for changes or demolition.
There are a lot of different types of properties now available for guardianships including offices, churches, fire stations, pubs, schools, hotels and police stations. If you are thinking about property guardianship, there are agencies that can help to match you with a property.
The Requirements To Be A Property Guardian
When it comes to the requirements, different agencies will have different policies. However, the most common is that you need to have a job or employment and not have pets or dependencies. Most agencies will also need you to be able to move immediately and will not accept anyone that smokes or will use the property for parties. There are some agencies that do not accept any undergraduate students which is one of the reasons why you need to check the agency requirements before you contact them.
One of these companies, VPS Guardians, states that around 42% of the property guardians they place are between the ages of 36 and 65. Around 47% are between the ages of 26 and 35 while only 11% are between the ages of 18 and 35. Another agency, Live In Guardians, states that most of their guardians are in their first or second professional job and that they are saving money to buy their own homes. Of course, there are a lot of people who are interested in becoming a guardian because they do not want to spend 80% of their income on rent.
The Benefits Of Being A Property Guardian
The primary benefit of being a property guardian is the lower rental amount that you will be paying. The monthly rental will often be half or even less than the average residential rental that you would pay for a house or an apartment. This makes property guardianship a great way to save your money for buying your own property or anything else that you might want.
In late 2014, the Labour Party announced that one of their main focuses if they were elected into power would be to introduce rental caps. This means landlords and estate agents will only be able to charge up to a certain amount each week. The goal is to make rented accommodation more affordable. However, some critics have claimed the changes could actually increase the rental cost. Below you’ll discover the pros and cons of the proposed cap and how it would affect you. Read more
Another benefit of being a property guardian is that you will be able to live more cost effectively in London and other parts of the UK. There are many areas where you might not be able to afford the average rentals normally. This is also a great opportunity for people in artistic and charitable fields.
The Drawbacks Of Property Guardianship
The biggest drawback that you need to be aware of is the fact that you are not really a tenant in the property. This means that you will not have a tenancy agreement in place and the rights that are associated with these agreements will not be applicable to your situation. The owner of the building will be able to force you to leave with short-notice when they need to have the property empty again.
With a normal tenancy, you have a number of months’ notice before you have to move out. The majority of tenancy agreements will have a 6 month notice period if the owner of the property wants the property to be empty for any reason. The amount of notice that you get with a property guardianship will vary depending on the owner, but it will generally be very short-term and you need to be prepared for this.
There are a lot of pros and cons when it comes to property guardianship that you need to know about. Knowing what these pros and cons are will help you determine if this is the right rental route for you. It is also important to note that all property guardianship agencies will have different requirements and you might not fit them.