Zero Deposit partners with shared-living platform COHO to ease tenancy applications

Zero Deposit partners with shared-living platform COHO to ease tenancy applications

Zero Deposit has integrated its deposit alternative service with COHO, a shared-living property platform, allowing tenants to access deposit alternatives during application while offering landlords regulated protection.

Zero Deposit, a provider of deposit alternative products, has formed a partnership with COHO, a platform tailored for shared-living properties. This collaboration enables tenants applying through COHO to use Zero Deposit’s products as part of the tenancy application process. For landlords using COHO, the partnership offers access to regulated deposit protection while broadening tenant options.

COHO’s platform is designed specifically for shared-living arrangements and already includes tools for tenant onboarding, referencing, tenancy agreements, rent management, compliance, and deposit management. According to Zero Deposit, COHO currently represents around 150,000 tenancies in its data, highlighting the platform’s significant role in the shared-living rental sector.

Integration aims to reduce barriers and streamline processes

A spokesperson for Zero Deposit emphasised that COHO’s platform focuses on improving shared living for renters, landlords, and agents, with affordability being the primary reason tenants choose shared living. The integration is intended to remove traditional barriers such as large upfront deposits or guarantor requirements, which can prevent good tenants from securing homes.

COHO claims that the integration with Zero Deposit will lead to a smoother application process and fewer delays for tenants, while giving landlords reassurance that appropriate protections are in place. By combining deposit alternatives with COHO’s existing compliance and management tools, the partnership aims to enhance efficiency and tenant choice in shared-living tenancies.

Shared living’s growing importance in the rental market

Shared living has become an increasingly important segment of the UK rental market, particularly among younger renters and those seeking affordability in high-demand areas. Platforms like COHO have developed specialised tools to address the unique challenges of managing multiple tenants within a single property, including compliance with safety standards, rent collection, and tenancy agreements tailored to shared arrangements.

The introduction of deposit alternatives in this context is a logical step, given the financial barriers deposits can present, especially when multiple tenants are involved. Traditional deposits can be substantial when divided among sharers, and deposit alternatives offer a way to reduce upfront costs while maintaining landlord protections.

Practical implications for landlords and agents

For landlords managing shared-living properties, the partnership signals a growing acceptance of deposit alternatives as a mainstream option. Landlords should consider how integrating such services can improve tenant access and reduce administrative delays during the letting process. Agents working with shared-living portfolios may find that offering deposit alternatives through platforms like COHO enhances competitiveness and tenant satisfaction.

However, landlords must remain vigilant in understanding the terms and protections offered by deposit alternatives compared to traditional deposits. While regulated protection is claimed, it is essential to verify compliance with current tenancy deposit protection legislation and ensure that any alternative products meet legal standards.

Agents and landlords should also assess how these services integrate with existing property management systems and compliance workflows to maintain accurate records and evidence of protection in case of disputes.

Uncertainties and areas to monitor

While the partnership between Zero Deposit and COHO represents progress in deposit alternatives for shared living, questions remain about the long-term impact on dispute resolution and tenant-landlord relationships. Deposit alternatives often involve insurance-backed schemes rather than holding a sum of money, which may affect how claims are handled and the speed of dispute settlements.

Landlords should watch for any regulatory updates or guidance from government bodies regarding the use of deposit alternatives, especially in shared-living contexts where multiple tenants share liability. The evolving legal landscape means landlords and agents must stay informed to ensure ongoing compliance and risk management.

It is also unclear how widespread adoption of such integrated platforms will become and whether similar partnerships will emerge to cover other segments of the private rented sector.

What landlords should consider now

• Review the terms and legal protections offered by Zero Deposit’s products to ensure they meet deposit protection requirements for shared-living tenancies.
• Evaluate how integrating deposit alternatives with platforms like COHO might affect tenancy application processes and tenant affordability in your portfolio.
• Ensure that your tenancy agreements and management systems reflect the use of deposit alternatives and maintain clear documentation for compliance and dispute purposes.
• Keep abreast of regulatory developments on deposit alternatives and shared-living tenancy management to adapt practices accordingly.
• Consider tenant demographics and preferences in shared living when deciding whether to offer deposit alternatives as part of your letting strategy.

Keeping shared-living portfolios compliant with TLA support

TLA membership can assist landlords and letting agents managing shared-living properties by providing access to compliance resources tailored to the complexities of multi-tenant arrangements. Through TLA’s developing ORBIT platform, currently in BETA testing, members can organise property records, tenancy documents, and deposit management information in one place. ORBIT’s tools for recording key actions and maintaining evidence of compliance can be particularly useful when using deposit alternatives integrated with platforms like COHO.

Members can also access up-to-date guidance on deposit protection legislation and shared-living tenancy management, helping to navigate regulatory changes and ensure best practices. Exploring TLA’s compliance resources and ORBIT BETA access may support landlords in adapting to innovations such as deposit alternatives while maintaining legal protections and operational efficiency.

Explore TLA membership and learn more about ORBIT BETA access to support your shared-living portfolio management.

Looking ahead, the integration of deposit alternatives with specialised shared-living platforms may signal a broader shift in how tenancy deposits are handled across the rental sector. Landlords and agents who monitor these developments and adapt their practices will be better positioned to meet tenant needs and regulatory expectations.

Sources: Landlord Today