International students renting in London may face a new guarantor challenge as rental reforms limit the use of upfront rent payments, according to Allie Home Estate & Lettings Agency.
The London-based estate and lettings agency says its internal lettings data shows that over 90% of student tenants it worked with in 2025 did not have a guarantor and chose to pay rent in advance instead. The agency says the trend is particularly common in areas popular with international students, where overseas applicants often have limited UK credit history, no UK income and no family-based guarantor in the country.
The warning comes as the Renters’ Rights Act 2025 introduces new rules for the private rented sector in England. Government guidance states that landlords and agents can no longer ask for, encourage or accept rent payments before a tenancy agreement is signed. Once the tenancy agreement has been signed, landlords can ask for a maximum of one month’s rent in advance.
Allie Home says the change may reduce pressure on tenants to pay large sums upfront, but could also create practical challenges for international students who have historically used advance rent as an alternative to providing a UK-based guarantor.
Alisha Zhang, Founder and Director of Allie Home, said:
“Over 90% of the student tenants we worked with in 2025 did not have a guarantor and chose to pay rent in advance. This is particularly common among international students, especially in London areas where overseas students prefer to live.
“If rent in advance is restricted, the market will need clearer alternatives, such as suitable guarantor arrangements, stronger documentation and better communication between landlords, agents and tenants.”
Allie Home says it is working to simplify the rental process for international students by helping applicants understand what documents are needed before they begin viewings, explaining referencing requirements clearly, and communicating with landlords at an early stage where applicants have overseas financial support but no UK-based guarantor.
The agency says students should not be disadvantaged simply because they are new to the UK, do not yet have a UK credit history, or are financially supported by parents or sponsors overseas. Instead, Allie Home says the rental process should allow students to demonstrate affordability through clear, consistent and reasonable documentation.
This can include proof of university enrolment, passport and visa or share code details, proof of funds, sponsorship or parental support, previous landlord references where available, and guarantor information or guarantor scheme options where appropriate.
Alisha Zhang added:
“International students are an important part of London’s rental market and should not be unfairly disadvantaged because they do not fit the traditional UK referencing profile. Many are financially supported by their families overseas and are perfectly capable of meeting their rental commitments, but the process needs to be clear, practical and fair.
“Our role is to simplify that process by helping students prepare properly, helping landlords understand the applicant’s circumstances, and making sure the right information is provided from the beginning. Clear communication is especially important where language, time zones and unfamiliarity with the UK rental system can otherwise create unnecessary barriers.”
The issue is expected to be most relevant in London neighbourhoods with strong international student demand, including areas with good transport access to universities and major education hubs. Allie Home says landlords and agents will need to take a consistent and well-documented approach to affordability checks, guarantor requirements and tenant communication.
The agency says the reforms make clear communication especially important for overseas tenants, families and landlords who may be unfamiliar with the UK rental process.
