Guarantor service launched ahead of advance rent clampdown

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Guarantor service launched ahead of advance rent clampdown

A professional guarantor product aimed at supporting landlords while widening access to rented homes for tenants without UK-based guarantors has been launched.

The scheme from lettings platform Goodlord allows renters to secure up to three years of cover with a single upfront payment.

It’s called Goodlord Guarantor and has been designed for tenants who struggle to meet referencing criteria.

That includes international students, overseas professionals and renters without family or friends able to underwrite a tenancy.

Harder for tenants

The firm’s managing director of insurance, Oli Sherlock, said: “The Renters’ Rights Act will make it harder for tenants that don’t fit the traditional mould to secure properties, whether that’s international students or those with unconventional jobs.

“Our Goodlord Guarantor service has been designed to not only step into this gap but also go above and beyond current market provision to give landlords additional peace of mind.”

James Tiller, a director, MRKT Property Experts who took part in the pilot, added: “Goodlord Guarantor is a great feature, and a brilliant way for us to extend our offering to tenants and landlords.

“With it built into the system and referencing flow it was the natural place to go, and it’s incredibly easy to set up for everyone involved.”

Rent in advance restricted

The guarantor product comes as the sector prepares for restrictions on rent in advance under the Renters’ Rights Act.

The legislation will prevent landlords from requesting more than one month’s rent upfront.

The move is widely expected to reshape how higher-risk tenancies are agreed.

However, industry figures have warned the change may unintentionally squeeze out non-traditional renters who previously relied on larger advance payments to offset risk.

Goodlord says its guarantor model offers an alternative route.

Policy up to three years

The service provides a verified guarantor covering every occupier within a tenancy, even where only one renter requires support.

Policies can run for as long as three years, removing the need for annual renewals.

Tenants who meet eligibility requirements pay the equivalent of one month’s rent.

The process is completed through Goodlord’s platform, with participating agents receiving a share of the revenue.

The company says this structure helps contain costs for renters while maintaining protection for property owners.

More reliance on guarantors

Data from the firm’s latest State of the Lettings Industry Report highlights the growing reliance on guarantors.

It found 45% of agents have reported a rise in demand over the past year, while 39% said guarantor checks were slowing referencing and move-ins.

By embedding the product into its referencing platform, Goodlord believes the new system can accelerate approvals and tenancy start dates.

The product was trialled in late 2025 through a pilot involving agencies.

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