A Landlords Guide to renting to Lodgers

Renting out a room in your home to a lodger can be a great way to earn extra income and make use of unused space. However, it’s important to approach the process with caution and make sure you’re following all legal requirements. This guide will walk you through everything you need to know to rent to a lodger with confidence.

Do I need a licence?

In most cases, you don’t need a licence to rent a room in your home to a lodger. However, there are a few exceptions. If you live in a house of multiple occupancy (HMO) and want to rent out more than two rooms, you’ll need an HMO licence. Additionally, if you live in an area with selective licensing, you may need a licence to rent out any room in your home. Check with your local council to find out if you need a licence.

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What about insurance?

It’s important to make sure you have the right insurance in place when renting out a room. Your regular home insurance may not cover you, so you’ll need to check with your provider. You may need to take out specific landlord insurance or add an endorsement to your existing policy.

What should be included in the rental agreement?

A rental agreement should include details such as the rent amount, payment schedule, notice period, and any house rules you want to impose. It’s also a good idea to include a clause stating that the lodger is not a tenant and does not have the same rights as a tenant.

How should I furnish the room?

The room should be furnished with essential items such as a bed, wardrobe, and desk. You can also provide additional items such as a TV or mini-fridge if you choose. Make sure the room is clean and comfortable for the lodger.

What about shared spaces?

If the lodger will be sharing spaces such as the kitchen or bathroom, make sure these spaces are clean and well-maintained. Set clear expectations for how the spaces should be used and cleaned.

Can I restrict access to certain areas of my home?

Yes, you can restrict access to areas such as your bedroom or home office. Make sure you clearly communicate which areas are off-limits to the lodger.

Finding a Lodger

There are several online platforms where you can advertise your room, such as SpareRoom or Gumtree. You can also try putting up flyers in local shops or advertising on social media.

What should I look for in a lodger?

When choosing a lodger, you’ll want to look for someone who is responsible, respectful, and compatible with your lifestyle. You can ask for references and conduct a background check if you feel it’s necessary.

What questions should I ask potential lodgers?

Some questions you may want to ask include:

  • Why are you looking for a room to rent?
  • What do you do for work or study?
  • Do you have any pets?
  • What are your hobbies or interests?

What rules should I set when Living with a Lodger?

  • Use of shared spaces: Set expectations for how shared spaces should be used and cleaned. For example, you may want to require that the lodger cleans up after themselves in the kitchen and bathroom.
  • Quiet hours: If you have specific times when you need quiet in the house, make sure you communicate this to the lodger.
  • Guests: Decide whether or not you’re comfortable with the lodger having guests over and set any necessary rules around this.

How can I create a comfortable living environment?

Living with a lodger can be a great way to have someone to chat with and share meals with, but it’s important to respect each other’s privacy and boundaries. Make sure you create a comfortable living environment by:

  • Giving the lodger their space: Make sure the lodger has their own private space where they can retreat and feel comfortable.
  • Being friendly but not overbearing: Strike a balance between being friendly and approachable, but not overbearing or intrusive.
  • Being clear about boundaries: Set clear boundaries around shared spaces and guests.

What should I do if there are issues with the lodger?

If there are issues with the lodger, such as late rent payments or not following house rules, it’s important to address them as soon as possible. Have a conversation with the lodger and try to come to a resolution. If the issues persist, you may need to consider asking the lodger to leave.

FAQs

What happens if the lodger doesn’t pay rent?

If the lodger doesn’t pay rent, you have the right to evict them. However, you’ll need to follow the proper legal procedures and give the lodger notice before you can do so.

What if the lodger damages my property?

If the lodger damages your property, you can deduct the cost of repairs from their security deposit. If the cost of repairs exceeds the security deposit, you may need to take legal action to recover the rest of the costs.

Can I evict a lodger without notice?

No, you can’t evict a lodger without notice. You’ll need to give them proper notice and follow the legal procedures for eviction.

Conclusion

Renting out a room to a lodger can be a great way to earn extra income and create a comfortable living environment. However, it’s important to approach the process with caution and make sure you’re following all legal requirements. By preparing the space, finding the right lodger, and setting clear boundaries, you can enjoy a positive and profitable experience as a landlord.

Free Landlord Resources

Free Instant Valuation

See how much your property could get in rent.

Fee Saving Calculator

See how much you could save on property fees.

Yield calculator

Calculate your rental yield with our simple tool

Compliance checklist

Make sure your buy-to-let property remains legal.

Compliance Guide

Download your complete landlord compliance guideĀ 

Meet Sam your local Expert

Sam has a wealth of experience across the private landlord and Build to Rent sectors. He has advised a wide range of clients across the whole of London on how to find great tenants, improve their assets and effectively market their properties for the best returns.

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