looking for a lodger - do i need contracts?

RobMolyneux

Hi,

I'm needing to get a lodger into my house in order to keep on top of mortgage payments, due to change in personal circumstances.

Do i have to have a contract with the person taking the room?

any advice or useful links would be appreciated.

Pixie5740

You will have a contract with the lodger, money in exchange for a room. You don't have to have the contract written down anywhere but you might find it useful to have something along the lines of:

Date:

The Landlord: [your name and full address here]

The Lodger: [your lodger’s name here]

The Accommodation: [describe the accommodation of which the lodger will have sole use]

The Contents: as set out in the attached inventory

The Shared Rooms: [here you list shared accommodation, for example, kitchen, bathroom, utility room, etc; thoroughfares like hallways and staircases do not count as ‘rooms’]

The Rent: £ [insert amount here]

Payable weekly/monthly in advance on the [ ] day of the week/month [delete whichever does not apply].

Deposit: £ [insert amount here] to be paid on the signing of this Agreement with the Landlord.

Notice period: one week

That way you both know where you stand.

You will also need to get an annual Gas Safety Certificate if there are gas appliances in the property.

RobMolyneux

thanks Pixie, thats very helpful.

in relation to my other post that you've replied on, but in reverse, if i take a deposit from a lodger, must i register it in one of those schemes?

HappyMJ

RobMolyneux wrote: »

Hi,

I'm needing to get a lodger into my house in order to keep on top of mortgage payments, due to change in personal circumstances.

Do i have to have a contract with the person taking the room?

any advice or useful links would be appreciated.

You need "House Rules"

Lodger will not make excessive noise after a particular time.
Lodger can have a guest stay overnight no more than one night per week.
Lodger is to clean kitchen within one hour after every use.
Lodger is to turn off all electrical items if not in room.
Lodger is NOT to use electric heaters in room.
Lodger is NOT to turn thermostat on central heating above 21 degrees.
Lodger is to supply toilet paper, hand soap, dishwashing liquid on a regular basis.

You make the rules. I've had lodgers in the past. Almost everything annoys me. I really can't get on with them now.

Lodger is to keep bathroom clear of all personal items.
Lodger is to put toilet seat down after every use.
Lodger is to sweep/mop and vacuum floors on a fortnightly schedule as to be agreed.
Lodger is to clean common bathroom on alternate weeks.

LOL....I could go on....If you don't make the house rules they have no idea what is required of them. Most of it is reasonably sensible.

I certainly don't have an agreement like Sheldon from the Big Bang Theory has.

RAS

Which country are you in? England, Scotland?

Pixie5740

RobMolyneux wrote: »

thanks Pixie, thats very helpful.

in relation to my other post that you've replied on, but in reverse, if i take a deposit from a lodger, must i register it in one of those schemes?

No you wouldn't have to put the lodger's deposit in a scheme.

HappyMJ

RobMolyneux wrote: »

thanks Pixie, thats very helpful.

in relation to my other post that you've replied on, but in reverse, if i take a deposit from a lodger, must i register it in one of those schemes?

Registration of deposit is not required but do keep it separate in a savings account and just use it for repairs.

RobMolyneux

thanks RAS, thats a pretty logical idea but not one I'd thought of.

My young daughter will stay with me alternate weekends and 1 or 2 nights per week, and on other ad hoc occastions, etc.

my intent is to just be open about this when i advertise and/or show someone round, but does this need to be formally covered in any way, would you suggest?

regards house rules, and replenishment of household items, i would suggest a jar in the kitchen that we put a fiver each into, which either can use to replace such items. Thats what I did with other tenants in a recent houseshare, and worked - what would you think from your experience?

HappyMJ

RobMolyneux wrote: »

thanks RAS, thats a pretty logical idea but not one I'd thought of.

My young daughter will stay with me alternate weekends and 1 or 2 nights per week, and on other ad hoc occastions, etc.

my intent is to just be open about this when i advertise and/or show someone round, but does this need to be formally covered in any way, would you suggest?

regards house rules, and replenishment of household items, i would suggest a jar in the kitchen that we put a fiver each into, which either can use to replace such items. Thats what I did with other tenants in a recent houseshare, and worked - what would you think from your experience?

Fiver's go missing and don't get replaced with receipts.

Who took it? Nobody knows and nobody owns up and household supplies don't get replaced. I would just get everyone to buy everything in turns every fortnight. I ended up keeping my own stash of toilet paper as lodger refused to replace. The lodger...strange one this one...used "ALL" of the kitchen roll to go rather than replace...and when that ran out I have no idea what they used.

G_M

LODGERS (Licencees/Excluded Occupiers)
A lodger (broadly) lives in the same property with a resident landlord & shares facilities. Unlike tenants, lodgers have few rights.

The Housing Act 1988 provides definitions of 'Resident Landlord' & 'same property' (S31 & Schedule 1 (10).

See:

LodgerLandlord (21 tips from solicitor Tessa Shepperson + General information site)

Landlordzone (Various articles on taking in lodgers)

Renting out rooms in your home (Government info)

Rent a Room Scheme (HMRC guide for tax-free income from lodgers)

booksurr

RobMolyneux wrote: »

regards house rules, and replenishment of household items, i would suggest a jar in the kitchen that we put a fiver each into, which either can use to replace such items. Thats what I did with other tenants in a recent houseshare, and worked - what would you think from your experience?

that would count as part of the rent for tax purposes and should be included in the amount you declare for income tax purposes if you wish to claim the rent a room scheme

granted that after April 2016 the annual allowance is £7,500 ie £625 pcm

so long as your rent + any other contributions towards household expenses total less than that you will be OK. If you exceed that amount you will have to pay income tax on the excess over £7,500