According to Housing Hand, a rent guarantor service, there is a significant lack of education for new tenants, particularly students, on how to navigate the private rental sector.

A survey of 1,700 private renters revealed that many felt “overwhelmed” (25%), “uncertain” (22%), or “anxious” (21%) when searching for their first home. This is largely due to a knowledge gap, as only a small percentage of students were aware of key aspects of renting, such as:

• Deposit Protection: Just 47% knew about deposit protection schemes.
• Deposit-less Schemes: Only 30% were aware of deposit-less rental options.
• Guarantors: A striking 38% of students did not know what a guarantor was when asked to provide one.

The survey also found that this lack of knowledge is deeply rooted, with 82% of respondents wishing they had received more financial education in school. Students typically learn about housing-related finances from family, friends, and social media, rather than at school or university.

Furthermore, only 27% of students are aware of the upcoming Renters Rights Bill and its potential impact on the private rental sector.

In response, Housing Hand is now offering a free, 24/7 online health and wellbeing service to its clients, providing access to GP services, mental health support, and counseling to help with the emotional side of living away from home.