The End of Deposits? Guaranteed Rent Has a Better Way

The end of deposits? Guaranteed rent has a better way.

Ask most landlords about deposits, and they’ll say the same thing: it’s a form of protection. A buffer against damage, arrears, or anything else that might go wrong during a tenancy. And on paper, it makes sense. But in practice? The traditional deposit system often works better in theory than it does in real life.

At Apex, we take a different approach.

The Problem with Traditional Deposits

Most deposits are capped at five weeks’ rent. That’s the legal maximum. Not only does it limit the amount a landlord can claim for damages, but the process of actually getting anything back is slow, admin-heavy, and rarely leans in the landlord’s favour.

The money isn’t yours. It’s not the agent’s either. It’s held by one of the official schemes, and if there’s a dispute, the burden of proof is on the landlord to evidence every penny. In most cases, landlords either give up or receive a fraction of the amount they were originally seeking.

And if the tenant is one month in arrears? That deposit’s already wiped out – leaving nothing to claim against damage.

Why Apex Guaranteed Rent Agreement Offers a Deposit Alternative

Under a Guaranteed Rent Agreement, Apex becomes the tenant. We place our own occupant in the property, and if anything goes wrong – damage, maintenance issues, compliance failures – we take responsibility. Not the landlord.

Instead of asking for a cash deposit, we offer something better:

• We carry out MOTs between tenancies

• We cover costs of tenant-related damage (accidental or otherwise)

• We don’t stop paying rent during repairs

We follow the same fair wear and tear guidelines set by deposit schemes, but we cut out the bureaucracy and take direct responsibility. Because unlike a traditional letting model, it’s our name on the agreement.

So Is It Really a Better Option?

Yes – but only if you work with the right provider.

Some guaranteed rent companies make big promises, but they aren’t structured to follow through. Inflated rents, vague terms, and no financial backing. That’s why we always say: ask the hard questions.

At Apex, we’re backed by BGF, one of the UK’s leading private equity firms. Our management team has run some of the biggest letting portfolios in London. And we treat each property as if we owned it – because if we don’t maintain it, we don’t get paid.

Worth remembering...

The idea of a deposit isn’t wrong. But the execution is often flawed. The Apex Deposit Alternative gives landlords real peace of mind: no disputes, no delays, and no loss of rent while issues are resolved. Just a straightforward commitment to protect your property – and your income.

If you’d like to know more about how Apex manages end of tenancy maintenance and works for those renting on our guaranteed rent agreements, call 0203 030 4241 or email Lettings@apexhousingsolutions.co.uk.