Posts with tag: international students

The Impact of Right to Rent Checks on International Students

The latest research from student lettings platform StudentTenant.com exposes the impact of the controversial Right to Rent checks on international students, as the Government tries to crack down on illegal migrants.

Introduced in February last year, the Right to Rent scheme was launched by the Government as part of a wider initiative to assist with combating illegal immigration.

All landlords and letting agents are now required to check that tenants are legally in the country before renting out a property, or face criminal sanctions.

The Impact of Right to Rent Checks on International Students

The Impact of Right to Rent Checks on International Students

Tenants, including international students, must prove that they are legally allowed to reside in England by providing their identification documents to landlords. Tenants that do not provide the documentation could face deportation.

As it has now been a full year since the Right to Rent scheme was introduced, StudentTenant has assessed whether it has been successful in combating illegal migration, or if it has become an avenue for landlords to discriminate against international students/tenants.

Government data regarding the Right to Rent checks found that, of the 7,806 calls made by landlords to the Home Office between July 2015 and June 2016, just 31 illegal migrants were deported – calling into question how effective the scheme really is.

Furthermore, the official Right to Rent report from the Home Office reads: “Landlords, agents and householders should not be acting in a discriminatory way provided they make all checks on prospective adult occupiers.”

Nevertheless, a damaging new report from the Joint Council for the Welfare of Immigrants suggests that the scheme is causing discrimination against Britons, particularly ethnic minorities.

In addition, StudentTenant found that an alarming 23% of landlords were less likely to consider international students, while 76% of student landlords would not consider a tenant if they could not provide documentation that proves they are legally allowed to rent the property instantly.

It is likely that, due to requirements from the Government to check the legitimacy of documentation, recording expiry dates of immigration status and the pressure of fines, landlords are less willing to take on the extra burden of international students, the agency believes.

12 months on from in the introduction of the checks, 47% of student landlords still feel that the scheme will not have a significant impact on filtering out illegal immigrants in England – the core reason it was set up. What’s even more worrying, StudentTenant points out, is that 17% of landlords are still unaware of the rules.

The Managing Director of StudentTenant, Danielle Cullen, says: “When the new Right to Rent regulations were introduced, there was uproar amongst the landlord community, because of the supposedly unfair burden placed on them in relation to enforcing immigration laws. I have to say that the apparent ineffective implementation of the regulations so far seems to have warranted that uproar, particularly given the adverse effects on the international community legally residing within the UK.

“The worst part must be the lack of resources to actually police the changes, represented by the very minimal number of fines and deportations. Instead of actually assisting with a problem which should essentially be managed by the Government, it has simply created divides and increased discrimination and access to housing for non-British tenants, which is just not acceptable.”

Have your attitudes towards letting to international students changed following the introduction of the checks?

International students add £600m to London rental market

Published On: September 9, 2015 at 4:53 pm

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With the new academic year underway, a survey has shown the importance of international students to London’s rental market.

Research from lettings firm E J Harris indicates the 107,000 international students in the capital cumulatively contribute £600m to the market each year.

Wealthy

Data from the report shows that some of the richest Chinese, Russian and Malaysian students spend up to £1,500 per week to live in residences in regions such as Mayfair, Knightsbridge and South Kensington.

Utilising statistics from their own client instructions over the last three years , alongside figures from the Government’s Higher Education Statistics Agency, the firm looked at the number and country of origin of foreign students in London. In addition, E J Harris looked at where these students choose to live, their preferred property and how much they spend in the sector.

There are 40,000 international students from continental Europe, with 67,000 from the rest of the world. In total, these academics spend £1.32bn on tuition fees, £1.36bn on accommodation and subsistence, of which £600m is spent on private lets or halls of residence.[1]

Origins

In terms of country of origin, the largest group of international students in London is Chinese, with 18%. American students make up 9%, India 7%, Hong Kong 5% and Malaysia and Nigeria 4%. There is also significant foreign student make-ups from Singapore, Pakistan and Canada.[1]

Annually, 20% of the firm’s clients in the capital are students, of which 50% are foreign. Accommodation for these students is typically provided by their parents, though some receive grants from their country of origin.

International students add £600m to London rental market

International students add £600m to London rental market

Typically, the majority of overseas students in London pay between £500-£600 per week for a two-bedroom apartment in areas such as Notting Hill, South Kensington or Shepherds Bush.

Rising

‘There are over 100,000 international students studying and living in London and their numbers are rising,’ said Elizabeth Harris, managing director of the firm. ‘University applications from overseas students are up by 18% since 2010 and up by 30% for the capital’s best universities,’ she added.[1]

Concluding, Harris observed, ‘in our experience international students make for extremely good tenants, they are very studious and take their studies in London extremely seriously. As tenants they tend to be quiet, hard working and tidy. Smoking tends to be the only common vice.’[1]

[1] http://www.propertywire.com/news/europe/london-rental-property-students-2015090910959.html

 

 

Wealthy Foreign Students Spend £1,500 Per Week on Rent

Wealthy foreign students are spending over five times the average letting agent’s starting salary on luxury accommodation in London.

Students from China, the USA and India can spend up to £1,500 per week to live in Mayfair, Knightsbridge and South Kensington.

Over a year, this equates to a huge £78,000. According to the National Careers Service website, the average letting agent’s starting salary is only £15,000 per year.

Wealthy Foreign Students Spend £1,500 Per Week on Rent

Wealthy Foreign Students Spend £1,500 Per Week on Rent

Lettings firm EJ Harris conducted the research, finding that the 107,000 international students currently studying in the capital pay a total of £600m in rent.

Managing Director at EJ Harris, Elizabeth Harris, says: “There are over 100,000 international students studying and living in London, and their numbers are rising.

“University applications from overseas students are up by 18% since 2010 and up by 30% for the capital’s best universities.

“In our experience, international students make for extremely good tenants. They are very studious and take their studies in London extremely seriously.

“As tenants, they tend to be quiet, hard-working and tidy. Smoking tends to be the only common vice.”1

EJ Harris’ figures used data from its own client instructions over the past three years and Government statistics, showing that 40,000 of the foreign students studying in London are from continental Europe and 67,000 are from the rest of the world.

The largest proportion of international students is from China, at 18%. Of the rest, 9% are from the USA, 7% from India, 5% from Hong Kong and 4% from both Malaysia and Nigeria.

Other significant countries are Saudi Arabia, Singapore, Pakistan and Canada.

EJ Harris found that around 20% of its inner London clients were students, of which 50% were foreign.

The students are typically aged between 18-22 and the research suggests that most accommodation was paid for “by the bank of mum and dad”.1

Some students receive grants from their respective countries.

1 http://www.propertyindustryeye.com/wealthy-foreign-students-spending-1500-a-week-on-rent/

 

International student property portal launched

Published On: June 26, 2015 at 10:44 am

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The first international student property portal in the UK has recently been launched.

Road 51 vows to assist both landlords and letting agents locate both national and international students who are searching for privately rented accommodation in university towns and cities across Britain.

Advertising

Acting as an advertising feature for property management businesses and sales agents, the portal can additionally be used by private landlords with smaller portfolios. More and more students are looking to move away from home in order to study and making a sound decision on where to live without guidance can be a very difficult and daunting experience.

This can often be even more difficult for international students, who face problems in contacting letting agents and landlords not accredited to their University. Research has proven that a lot of international students, particularly postgraduates, wish to live off campus. A number of reasons contribute to these decisions, such as students wishing to live with others from their own cultural background or because they wish to live with their family.

Road 51 aims to make international students closer to being able to access private accommodation that they may not have been able to view previously. In addition, the portal gives landlords the chance to give students as much detail as possible about their potential homes, including photographs and videos.

International student property portal launched

International student property portal launched

Cost-effective

Founder of Road 51, Bo Tsang, who is an experienced private landlord himself, said that, ‘I am excited to announce the launch of Road 51. My experience as both a student landlord and letting agent made it clear that there was a need for a platform that would allow landlords like myself to access this valuable market. Our website provides a cost-effective solution for landlords looking to extend their reach.’[1]

‘I hope that students will find our new website helpful in their search for properties that are right for them in areas that they are not familiar with. To celebrate the launch of Road 51, landlords are being offered three months’ worth of advertising on the portal absolutely free.’ Tsang added.[]

[1] ‘Landlord & Buy to let’ Issue 59 June 2015

 

Student’s pay £140,000 per year in rent-claim

Published On: June 11, 2015 at 3:34 pm

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A London letting agent has made the astonishing claim that some students in the capital pay £140,000 per year in rents.

Prime central London agency Napier Watt signalled that start of the international student letting period by claiming that certain overseas scholars pay £12,000 per month.

Staggering high

Jonathan Adams, director of Napier Watt, said that, ‘enquiries from overseas students keen to rent an apartment for the new academic year are starting to come in. As the current wave of students come to the end of their tenancies, those who have rented before know it makes sense to take over a tenancy during the summer.’[1]

‘These students are prepared to pay £6,000 to £8,000 per month for a nice two-bed flat in Mayfair, Marylebone or Belgravia, rising to £12,000 per month in Knightsbridge,’ Adams surprisingly suggested.[1]

Student's pay £140,000 per year in rent-claim

Student’s pay £140,000 per year in rent-claim

Reluctance

Despite the chance to achieve such large returns, landlords are still wary of letting to students, according to Adams. He believes however that landlords and agents should not be hesitant when letting to young academics. Adams said, ‘students often get an unfair press for being rowdy and excessive partying but there are many real and distinct advantages of letting to them. Firstly, on the whole they tend not to be badly behaved. Secondly, in central London they tend to be overseas students and will typically pay their rent half yearly in advance and occasionally, annually in advance.’[1]

Adams also said that students, ‘often pay a deposit equal to eight weeks’ rent on top.’[1]

 

[1] http://www.lettingagenttoday.co.uk/breaking-news/2015/6/agent-claims-some-students-in-london-pay-140k-in-rent-per-year