Tenant referencing platform Canopy has signed a deal with rent guarantee firm Housing Hand.

The partnership means renters previously ‘locked out’ of the market will be able to find homes, the companies said in a joint statement.

Canopy says nearly 9% of its references over the last year required a guarantor, and this number has jumped to over 12% in the last 3 months.

Prospective tenants will now be able to access a reference and guarantee service in one go

Individuals usually have to earn 2.5 to 3 times the annual rental amount in order to be eligible to rent a property. With Housing Hand, they only need 1.5 times net earnings to qualify, and it then serves as the individual’s guarantor.

Wider pool

Chris Hutchinson (right), Chief Executive Officer of Canopy, says, “We often hear about renters who are likely great tenants but are unable to meet the minimum criteria expected by the housing market.

“By partnering with Housing Hand, the biggest rent guarantor service in the UK, we are able to support more of these renters in finding a new home, while ensuring that landlords actually have even more protection.”

James Maguire (left), head of sales and business development at Housing Hand, says, “We are delighted to be partnering with Canopy to make renting more accessible, and to ease the process for tenants, agents, and landlords alike.

“With no cap on the number of professional renters that Housing Hand can guarantee, we are opening the market up to a wider pool of tenants for our partners, while reducing risk and increasing occupancy across the private rental sector.”

OTM to offer agents free tenant referencing service via Canopy deal

Canopy and Muuvo lettings tech platforms sign partnership deal