How do you cope with tenants or lodgers?

Yalpsmol

I dont suggest you sell up. You said your lodgers are COSTING you money. So removing the lodgers will leave you better off.
Although Im not sure how they can possibly cost you money unless they are using hundreds of pounds a month in utilities and cleaning (each) and/or you are charging them very very little (like £25-30 a week or something).

Do you mean you are making money (just not much) or are they truly costing? If they are not making you much money (but a little) and are a lot of hassle...but you cannot afford not to have them then you have my sympathy. But Im still unclear why they are there if you didnt want them in the first place (you havent mentioned needing them financially?) and you clearly dont enjoy the role.

Are they people you know, do you feel like you cant ask them to leave (or something like that)?

Yalpsmol

Cross posted. Im assuming from your hypothetical examples that they are there are a financial necessity and it now makes a bit more sense.

grumiofoundation

bobwilson wrote: »

Well, I won't go into the specific details of my situation but as an example, if you rent out a room in your 3 bed house and it pays lets say 1/5th of your bills, and the alternative is to rent out your whole house which pays 1/2 the total, and you can't sell because you're locked into a fixed rate mortgage or perhaps your house is worth less than you have left as a deposit, you're making a loss no matter which route you choose. These aren't my situation, but they're some examples of how it's possible to make a loss from renting.

As suspected you are actually making a profit... Unless as other posters have asked you are actually paying more to clean than you are receiving in rent?
You are covering the cost of 20% of your bills (by bills you presumably mean including mortgage payments). If you didn't rent out the room then you would have to pay 100% of the mortgage not 80%.

AdrianC

bobwilson wrote: »

Not everyone is in a position to be able to sell up unfortunately.

Of course you can. Even if it crystallises negative equity - is that your situation?

Honeylife

Bob
I have wracked my head over the type of Lodgers you are getting. I can only conclude that its the interview where you are falling down. Are you asking the right questions? Are you taking note of the answers? If someone says they like a drink - I lock up my alcohol or don't take them! You have to pay attention to what they say.
Can I suggest you interview with someone else so that you can take on board their opinions.

It is crucial to know that you do not have to take the first lodger that knocks on the door. In fact if you use a service like Spareroom you can weed them out prior by simply saying "Sorry not sure your will fit in with our set up wont be inviting you for a viewing"

As a resident landlord, I have had 29 lodgers (yup I keep records) and only 3 of those were absolutely dreadful.
Its not the lodgers house/home! Doesn't matter what some "Experts" write in their blogs about Lodgers wanting a Home. Its just not and so they just Dont Care about costs and damage to property. You want to make it nice, they Dont have that ownership sense of responsibility to the property. Minimise your expenditure on fittings and furnishings, so it doesn't break your heart when you see any damage. I am utterly relaxed about the state of their rooms - I had four teenagers - I am not the one living in the room! As long as its not painted black and at departure everything is as it was on arrival, then thats fine with me. Close your eyes and the door.

You should have done your annual costs by now, it takes roughly a year to get a fairly good idea of costs. Which you then should monitor regularly when any of the Utilities are increased. Loads of ways to make savings eg LED lights, bulk buying toilet paper etc. The house costs should be divided up by all the working adults in the house. With a small contingency pot for exploding washing machines or such. I just cannot fathom how you are making a loss, especially as you indicated that you are based in London. I would get someone to go over your costs with a fine tooth comb. I suspect you are spending money as fast as it comes in on unnecessaries.

If you want one lodger to pay your entire mortgage and utilities, with enough for you to go on annual holiday and keep a sport car, then you have totally got it wrong. Thats not how it works. You have lodgers, not Airbnb clients! To my mind you should focus on overpaying your mortgage.

And really Bob, if this is stressing you get a bloody Cleaner even if its once a fortnight, add the cost to the rent!

lookstraightahead

Really it's not like it's a difficult job!

bobwilson

bobwilson wrote: »

Not everyone is in a position to be able to sell up unfortunately.

AdrianC wrote: »

Of course you can. Even if it crystallises negative equity - is that your situation?

Well you could also say of course no one needs accommodation- you can be homeless. Or, by that same token, no one really needs an operation- they can just die. I'm not required to go into my personal situation in an online forum or why it is I have to have a lodger at the moment. Although my stories are light-hearted, they're based on truth, and I gather from other members that they're actually helping a lot of people who are in similar situations, if only to have a laugh about it. You're welcome to read my moans about previous lodgers, or not to. I gather I'm not alone in these experiences, and sometimes misery loves company. I also have some horror stories about previous landlords. Just because I happen to be dealing with lodgers at this moment in time doesn't mean I'm trashing all lodgers! I had some truly wonderful ones. If my stories upset you in any way, don't read them!

AdrianC

Continuing to own THAT property is not the only alternative to being homeless.

bobwilson

AdrianC wrote: »

Continuing to own THAT property is not the only alternative to being homeless.

I've already given examples where selling up could result in homelessness or bankruptcy or both, a few posts above. There are also situations where there is the lesser of evils. I can also think of a lot of other examples of why it's not possible to sell, as I'm sure you can if you put your thinking cap on! I won't go into the details on my own personal situation, I'm sorry. I posted some stories in jest, and also find it quite therapeutic- I didn't intend it to end up in speculation about my situation... and I'm sorry I don't intend to go into details online about personal topics, especially as it might relate to other peoples' health, and may not be my place to. You're welcome to believe I'm talking nonsense if you wish- given our experiences with lodgers, I wish I were exaggerating! With that said we have had some wonderful ones. Wish everyone the best

FreeBear

AdrianC wrote: »

bobwilson wrote: »

Not everyone is in a position to be able to sell up unfortunately.

Of course you can. Even if it crystallises negative equity - is that your situation?

I'm with bobwilson on this - Sure, I could sell my home, but I don't have the spare cash to pay the upfront cost of doing so. Absolutely no chance of moving in to rented accommodation whilst waiting for equity to be released before buying a new place, and zero chance of getting a bridging loan either.


That said, the rent from having just one lodger covers the outgoing bills. I also benefit from a smile and warm welcome when I get home which is something that one can not put a price on.