One of the biggest upfront costs of moving into privately rented accommodation is the rent deposit, which is typically equivalent to four to six weeks’ rent. Usually, it will have to be paid alongside the first month’s rent paid in advance.
Now, the Ministry of Defence (MOD) has announced a new scheme that allows defence personnel to apply for a loan to meet the cost of a deposit on a new place.
Speaking at the launch of the Tenancy Deposit Loan Scheme, Chief of Defence People, Lieutenant General Andrew Gregory, said: “I am delighted that all permanent Service and civilian personnel, including staff in DE&S (Defence Equipment and Support), are able to apply for this scheme.”
“Moving home can be expensive and can lead to cash flow challenges for individuals and families; the Tenancy Deposit Loan Scheme is designed to alleviate that problem. It will help allow individuals to exercise greater choice in where and how they live their lives,” he added.
But the scheme applies only to current defence personnel, so what are the options for recently ex military individuals?
If you are struggling to raise a deposit, the Royal British Legion (RBL) may be able to help by providing your landlord with a DepositGuarantee in place of a traditional deposit. This essentially says that if you breach the terms of your tenancy, the RBL will reimburse the landlord to the value of a pre-agreed sum.
There may also be other similar rent deposit schemes in your area, which may be run by local councils, housing associations or charities. Your local authority or branch of housing charity Shelter should be able to advise you on the available options.
Away from the private rented sector, you might also want to consider applying for council housing or housing association properties. Haig Homes, for example, is a housing association that specialises in providing rented homes for ex-Services personnel.