Renting out a room

toadhall99

I have a lady friend that wants to offer a room to rent in an apartment that she owns, she lives in one of the rooms herself,can anyone give any advice as to what would be the best way for her to find a lodger,are there any particular websites,she doesn't want anyone that is on DHSS

FreeBear

I have used spareroom.com in the past. Some general tips-

Never rent to a friend.

Always have a written, signed contract (and never use the term "tenant")

Supply a set of clear & concise house rules as part of the contract.

Make sure a deposit and the first month of rent is paid up front.

Do the appropriate checks on any prospective lodger, and don't forget the Right to Rent check.

Do not advertise that benefits are not accepted - This can be seen as discriminatory. There are some very nice people out there on benefits, and the numbers will only increase over the coming months. My current lodger is in receipt of benefits, a charming young lady, and I wouldn't swap her for anyone else.

toadhall99

FreeBear said:

I have used spareroom.com in the past. Some general tips-

Never rent to a friend.

Always have a written, signed contract (and never use the term "tenant")

Supply a set of clear & concise house rules as part of the contract.

Make sure a deposit and the first month of rent is paid up front.

Do the appropriate checks on any prospective lodger, and don't forget the Right to Rent check.

Do not advertise that benefits are not accepted - This can be seen as discriminatory. There are some very nice people out there on benefits, and the numbers will only increase over the coming months. My current lodger is in receipt of benefits, a charming young lady, and I wouldn't swap her for anyone else.

Hi thanks I shall pass on your advice,that was just what she said to me today,another friend of mine rents out a flat to somebody that is on benefits and I think he feels lucky now as that money is guaranteed,I'm glad that you have found a nice lodger

oldbikebloke

toadhall99 said:

I have a lady friend that wants to offer a room to rent a room in an apartment that she owns,can anyone give any advice as to what would be the best way for her to find a lodger,are there any particular websites,she doesn't want anyone that is on DHSS

does you lady friend live in the flat herself?
if she does not, but she only lets "a room", then she has a tenant in what potentially could be an HMO
if she does, then she has a lodger 
there are enormous differences between lodger and tenant for which she needs to do her own reading

Comms69

toadhall99 said:

I have a lady friend that wants to offer a room to rent a room in an apartment that she owns,can anyone give any advice as to what would be the best way for her to find a lodger,are there any particular websites,she doesn't want anyone that is on DHSS

I assume you mean benefits. in the current situation there's a lot more people on benefits than a few months back; and those are the people looking to move. Anyone with a job isnt going to be moving anywhere realistically for the next 12 weeks.

toadhall99

oldbikebloke said:

toadhall99 said:

I have a lady friend that wants to offer a room to rent a room in an apartment that she owns,can anyone give any advice as to what would be the best way for her to find a lodger,are there any particular websites,she doesn't want anyone that is on DHSS

does you lady friend live in the flat herself?
if she does not, but she only lets "a room", then she has a tenant in what potentially could be an HMO
if she does, then she has a lodger 
there are enormous differences between lodger and tenant for which she needs to do her own reading

Hi yes she does live in the flat

toadhall99

Comms69 said:

toadhall99 said:

I have a lady friend that wants to offer a room to rent a room in an apartment that she owns,can anyone give any advice as to what would be the best way for her to find a lodger,are there any particular websites,she doesn't want anyone that is on DHSS

I assume you mean benefits. in the current situation there's a lot more people on benefits than a few months back; and those are the people looking to move. Anyone with a job isnt going to be moving anywhere realistically for the next 12 weeks.

Hi yes she meant people on benefits,she was worried that it would be hard to find a lodger,I said you must be joking there is a housing crisis lots of people are now having to live in shared accommodation,I suppose she will need to get references from them if she can

bob_the_dinosaur

I echo that you must NEVER rent to a friend- I did and it was a whole heap of trouble.

toadhall99

So would she need to protect the deposit and how does the right to rent check list work?

greatcrested

DHSS does not exist. There has been recent case law suggesting that any advert specifying 'no benefits claimants' or similar is discriminatory & illegal.

Now see:

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).

Key advice is to ensure clear 'house rules' or guidelines are agreed from the start to avoid problems. This could be within the contract, in a separate document, or even verbally (though this can lead to future misunderstandings!). Include matters like:

* what parts of the property are open to the lodger eg entire house or bedroom, bathroom, kitchen only?
* cleaning. What is the lodger expected to do?
* guests. Are they permitted? Is there a deadline? Over-night? If over-night, how often (eg 5 nights a week leads landlord to feel he has 2 lodgers, not 1!)
* consumables. eg shared use of kitchen basics (salt, pepper etc), bathroom & cleaning products? Included in rent or shared purchasing?
* smoking
* noise ( eg music after X O'clock)
* any other restrictions

Make clear in the contract what notice period is required. Recommended is a short notice period eg 1 week either way. Sharing a home with someone where it has not worked out can be onerous or even unpleasant.

Some landlords don't bother with a written contract, especially when the lodger is a friend or colleague, but this is short-sighted. As long as things go well this is fine, but if ever there are issues, be that over rent or lifestyle, then a clear mutually agreed contract can make resolution far easier.

Always take a deposit. Make clear in the contract that this can used against rent arrears, rent in lieu of notice, or damage and cleaning. Even if renting to friends.

See also:

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

Landlordzone (Q & A on taking in lodgers)

Renting out rooms in your home (Government info)

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

Landlord Lodger Guide (legal and practical advice)

Comms69

toadhall99 said:

So would she need to protect the deposit and how does the right to rent check list work?

If she doesnt live with the person, yes. they would be a tenant.

Right to rent - well check their status, british citizen, visa, EU citizen etc.