STUDENT HOUSING: BUSTING THE JARGON
Just when you thought moving away from home couldn’t be any more daunting,
you’re required to find, what is more than likely, your first property ever.
Whilst looking at prospective properties can be a fun experience, looking at the
contract with all its unusual legal jargon is not quite so fun. As such, we’ve put
together this handy student housing jargon buster, to help you gain a better
understanding of your responsibilities as listed in the contract.
Assured Shorthold Tenancy (AST) – This is the most common type of tenancy
for students moving into a property that is owned by a letting agent or private
landlord. Set to a fixed term (usually 6 months to a year), an AST gives limited
rights to the tenant as set out in the AST Agreement by the agent/landlord.
Buildings Insurance – Buildings insurance covers any loss or damage to the
structure of a property, including damage caused by: fire, storm, flooding,
subsidence, or other effects. The insurance policy will protect you from taking on
the burden of costs to repair or rebuild the property after damage, should one of
the above elements occur. In most cases involving student housing, the agent/
landlord will pay the cost of buildings insurance.
Contents Insurance – Contents insurance covers the cost of repairing or
replacing the contents within a property following damage or theft. In the main,
agents/landlords will only require you to cover your contents (i.e. laptops, iPods,
clothes etc.), but some may require you to take out a policy that also covers
damage to their contents that are already in the property, such as furnishings.
Contract – A contract is a legally binding, written agreement between an agent/
landlord and a tenant, which is signed by both parties.
Council Tax – Local authority tax covering England, Wales and Scotland. It is the
responsibility of the tenant to pay this tax, although students are exempt where
they send in a certificate of enrolment to the local authority in their university’s
city.
Covenants – The terms laid out in the AST. These are the obligations listed for
both the tenant and the landlord as per the AST, and include things such as not
keeping pets, not taking on unofficial tenants, and other terms.
Deposit – A payment required prior to the first rental instalment as a security
against non-payment of rent, damages needing repair within the property, or
failing to meet the conditions of the AST.
Deposit Protection Scheme (DPS) – A Government-approved deposit
protection scheme, into which the agent/landlord is legally required to pay your
deposit into during the course of your tenancy.
Dilapidations – General term covering any disrepair or damage within the
property that the tenant is responsible for.
Early Release – Legal term for when a tenant asks to terminate the tenancy
before the AST has expired.
Energy Performance Certificate – Awarded following a now-compulsory set of
tests that are required to be carried out prior to letting out the property, to show
prospective tenants how energy efficient that particular property is.
Fixtures & Fittings – Any items that are already in the property, i.e. curtains,
light fittings, kitchen cabinets and more.
Fully Managed Service – A service whereby an agent takes on the
responsibilities of the landlord on their behalf, such as receiving rental payment
and being the initial contact point should any issues arise during a tenancy.
Furnishings – Furniture items already in the property such as beds, sofas, tables
and chairs. Always check what is included in your property before you move in.
Guarantor – Another person, usually a parent, who is required to pay the rent
on behalf of the tenant if the latter is unable to make the payment. This is usually
agreed upon and signed in the AST agreement.
Inventory – A comprehensive list detailing every item in the property inclusive
of painted walls and furnishings amongst others. The condition of each item
is noted on the inventory at the start of the tenancy. Typically, this is checked
and signed by both parties, and used as a reference point to charge for any new
damages.
Joint Tenancy – Where two or more people are named as tenants on the same
AST agreement. All tenants are equally responsible for meeting the terms of the
AST agreement, and the rental payments.
Landlord – A person who owns a property for the use of renting, and allows use
of this property in line with the AST agreement, and also in exchange for rent
money.
Letting Agent – A company who act on behalf of the landlord to collect rental
payments and file maintenance reports, alongside other typical landlord duties.
Ombudsman – An independent body that investigates individuals or companies
in the property field, when their customers make complaints against them.
Policy Excess – The pre-agreed amount that becomes payable when your make
a claim on your insurance.
Premium – Money paid to insurance companies in exchange for their insurance
cover.
Routine Maintenance – Duties carried out at the expense of the landlord to
maintain the property, such as plumbing or electrical maintenance.
Utilities – Umbrella term for services such as water, gas and electricity. In
private housing, tenants are usually responsible for paying these bills. However
some landlords include the cost of utilities in their rental payments, up to a
certain amount per year.
Wear & Tear – Deterioration in the quality of a property as a result of normal
use.
White Goods – Umbrella term for kitchen appliances such as the fridge and
washing machine.
We all understand just how scary it can be to be presented with a lengthy tenancy
agreement, so we hope that this guide has clarified some of the key terms included
within it. Best of luck in your new property!
About the Author
Nicola works alongside removals company Two Men and a Truck. Having
experience of moving from halls of residence to alternative student housing has
given her a firm understanding of the often confusing jargon used by letting
agents.