As the university term begins up and down the country, the nation’s students will be enjoying the freedom of living away from their families. While many students are given a room in halls of residence for their first and sometimes subsequent years, an estimated 90% of students will live in private rented accommodation for at least part of their time at university. Finding, paying for and looking after a rented home will be vital to a successful university career.
Student numbers place pressure on housing
Huge numbers of students swell the populations of some of the UK’s university towns – for example, the students of Bangor University in Wales amount to almost 70 per cent of the residents of the town, while the population of St Andrew’s University augments its size by 50 per cent during term time.
John Socha, vice chairman of the National Landlords Association, commented: “For some smaller towns, such as Bangor or Warwick, St Andrews or Lancaster, the influx of students completely changes the feel and atmosphere of the place. It also places pressure on accommodation in the town, as the students all have to live somewhere: most universities try to accommodate freshers in halls of residence, who then need to find themselves a rented home for second and subsequent years.”
Living on a budget – top universities cost top money
Students, whether living in halls or in rented accommodation, may also be having their first experiences of living away from home and on a budget.
It comes as no surprise that there is a significant variation in rent levels among different university towns, with ‘traditional’ universities such as Bristol. Manchester, Exeter, London, St Andrews, and of course Oxford and Cambridge tending to be much more expensive. Rents in Oxford and Cambridge average almost £80 per week, while those in St Andrews exceed £75. This compares with around £44 in the cheaper university towns.
Socha said: “Students pay significantly more for rented accommodation in the long established universities, where there is no shortage of students but a relative scarcity of property available. Other towns where the university is less well known or may not have its full complement of students generally have cheaper average rents. For example, bargains are to be had for students in Belfast, Bradford and Sunderland, where students pay only around £44 on average. It’s not just the ‘prestige factor’ – it’s the laws of supply and demand and the fact that premier league universities attract premier league rents. While students can save money on accommodation at certain universities, that should not colour their choice of uni.”
Spending money can be as little as a fiver a week
With the student loan for English students set at £4,405 per annum (£6,170 in London), a student with no other financial support or income for the year will be living on less than £85 per week. Rent takes a big chunk of students’ cash, on top of which they need to budget for utility bills, plus the customary one month’s deposit paid upfront.
Socha commented: “In Belfast, Bradford and Sunderland, what’s left over after paying rent is more than £40, but it dwindles to scarcely more than a fiver in Oxford and Cambridge. While London is, not surprisingly, the most expensive place to rent, the higher student loans available mean that the capital is not the place where students are most financially squeezed.
“Many students earn money from part-time or vacation jobs to supplement their student loans or have recourse to the ‘Bank of Mum and Dad’ to keep them afloat, and those at the top universities need the most financial help from their parents.”
Dos and Don’ts of renting
Quite apart from the cost of paying rent, John Socha suggests a number of tips for students that will help them enjoy their years at university without ending up with a headache over their rented home.
The most frequent bone of contention between landlords and tenants is over the return of deposits. Under the tenancy agreement landlords are entitled to withhold part of the deposit if there are breakages or damage to the property (beyond fair wear and tear) or if house and garden are not returned in a clean and tidy condition.
Socha said: “I’d encourage both landlords and tenants to take photographs of the property so that there is a record of its condition at the outset. This can avoid disputes at the end – and, once the Government’s tenancy deposit scheme is introduced next year, will prevent many cases going to alternative dispute resolution.”
Give and take
“To keep relations between landlords and their student tenants harmonious, an element of give and take is key.
“If students do their best to look after the property – and that doesn’t mean they can’t have fun or the occasional party – most landlords will respond by making sure everything works properly for the tenants.
“If there’s a leak or if something doesn’t work properly, let the landlord know so that he can get it fixed.
“It’ll be a requirement of the tenancy agreement in any case. Be flexible if the landlord needs a plumber or electrician needs to call – they start work at 8am and won’t want to wait till a house full of students crawl out of bed at 11 or 12.”
Financially, problems can arise if there are disagreements between student sharers or if one or more fails to pay their rent or share of the utilities on time.
Socha continued: “Agree between you at the outset who is paying what, and make sure you stick to it. Pay your rent in priority to other expenses, so that you are sure that you have secure accommodation for the whole year. And since Mum and Dad are often guarantors for the rent, don’t embarrass them by failing to pay – they won’t be impressed by having your landlord on the phone demanding money.”
John Socha warns student tenants not to forget to obtain a student exemption certificate for Council Tax, “otherwise you’ll have the local authority on your backs and sometimes landlords get the Council asking for money.”
In terms of insurance, the landlord will take responsibility for insuring the buildings, but that won’t extend to the students’ belongings. With computer and ipod, camera and hi-fi, their value can be quite significant – so it’s a must that students insure the contents of their rented property.
Another potential cost for students is a TV licence, if they have a TV in their shared house or in their room. The rules are complex but worth understanding as the penalty for not having a licence can be a fine of £1,000.
In summary, the private rented sector plays a major role in providing accommodation to the nation’s student population – and also does much to give students a taste of freedom and of living independently, on a budget.
“Our years at university are character-forming and a great opportunity to gain some independence. Living away from home in rented accommodation is part of that experience and with a bit of advance knowledge students can help make sure that problems don’t arise in their new home so that they can concentrate on their studies and on enjoying their time at uni"
