{"id":578970,"date":"2026-08-24T16:36:21","date_gmt":"2026-08-24T16:36:21","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/578970\/"},"modified":"2026-08-24T16:36:21","modified_gmt":"2026-08-24T16:36:21","slug":"rent-in-advance-ban-drives-rise-in-guarantor-requests","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/578970\/","title":{"rendered":"Rent-in-advance ban drives rise in guarantor requests"},"content":{"rendered":"

12:01 AM, 24th August 2026, 16 hours ago <\/p>\n

12 <\/p>\n

\"Guarantor <\/p>\n

More than a third of tenants (37%) didn\u2019t know what a guarantor was before being asked to provide one as the Renters\u2019 Rights Act triggers guarantor requests. <\/p>\n

According to Housing Hand\u2019s Understanding Renters in 2026<\/a> report, 31% of renters only learned they needed a guarantor after finding a property they wanted.<\/p>\n

The news comes as, under the Renters\u2019 Rights Act, landlords and agents can no longer accept large amounts of rent in advance.<\/p>\n

Landlords seeking an alternative form of security<\/p>\n

Housing Hand Managing Director Graham Hayward explains the ban on rent in advance is driving demand for guarantors.<\/p>\n

He said: \u201cThe past few months have been exceptionally busy. Landlords are keen to do all they can to protect their investments as the new rental sector landscape takes shape under the Renters\u2019 Rights Act.<\/p>\n

\u201cMany require guarantors to reduce their risk should tenants become unable to pay their rent. The fact that tenants no longer have the option to pay several months\u2019 rent upfront is driving demand, with landlords now seeking an alternative form of security. The importance of guarantors in enabling smooth rental transactions has never been greater.\u201d<\/p>\n

According to Housing Hand\u2019s data, 46% of renters wouldn\u2019t know what to do if they were unable to pay their rent and also reveals that one in three renters (33%) don\u2019t plan their future finances.<\/p>\n

Overseas tenants struggling to provide a guarantor<\/p>\n

The news comes as overseas tenants are struggling to provide a UK-based guarantor<\/a> despite being able to afford the rent.<\/p>\n

According to data from Zero Deposit, London rents have increased by almost 10% (9.9%) in the two years since May 2024, rising from an average of \u00a32,088 to \u00a32,294.<\/p>\n

Data from Foxtons reveals that almost two-thirds (63%) of its tenants come from overseas, meaning many international renters may struggle to provide a UK-based guarantor despite being able to afford the rent.<\/p>\n","protected":false},"excerpt":{"rendered":"12:01 AM, 24th August 2026, 16 hours ago 12 More than a third of tenants (37%) didn\u2019t know…\n","protected":false},"author":2,"featured_media":578971,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[156,111,139,69],"class_list":["post-578970","post","type-post","status-publish","format-standard","has-post-thumbnail","category-entertainment","tag-entertainment","tag-new-zealand","tag-newzealand","tag-nz"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/578970","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=578970"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/578970\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/578971"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=578970"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=578970"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=578970"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}