We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Should I charge rent for the extra room?

2

Comments

  • yksi
    yksi Posts: 1,025 Forumite
    Fifth Anniversary 1,000 Posts Name Dropper
    Definitely no contribution to the mortgage. But definitely a contribution above & beyond bill sharing. The reason is this: Thanks to your hospitality he is earning rent on his other property, which he is not sharing with you. Because you're in a relationship I think a reasonable amount is half the going rate for a room in the area - so we might be talking about £150-200 a month and he should also split the utilities 50/50 with you.

    Ask yourself this, do you really think that him living with you for free is appropriate? No, it isn't.

    Tacpot12's idea would also work, you could ask him if he's willing to split his rental income with you 50/50 and also share the bills 50/50. But this could get hairy if he's planning to offset his letting costs against the income.
  • AskAsk
    AskAsk Posts: 3,048 Forumite
    1,000 Posts Fourth Anniversary Name Dropper Photogenic
    edited 25 October 2020 at 12:56PM
    yksi said:
    Definitely no contribution to the mortgage. But definitely a contribution above & beyond bill sharing. The reason is this: Thanks to your hospitality he is earning rent on his other property, which he is not sharing with you. Because you're in a relationship I think a reasonable amount is half the going rate for a room in the area - so we might be talking about £150-200 a month and he should also split the utilities 50/50 with you.

    Ask yourself this, do you really think that him living with you for free is appropriate? No, it isn't.

    Tacpot12's idea would also work, you could ask him if he's willing to split his rental income with you 50/50 and also share the bills 50/50. But this could get hairy if he's planning to offset his letting costs against the income.
    i think it will get very complicated if the OP start asking for money from the rent that her boyfriend is going to get as there are expenses, voids etc.  it will also come across as money grabbing, so i think the best approach is do so through a rounded sort of way, to say that as he is going to get income from his place, could he help more with the bills when he moves in.  this way it isn't so direct that she is getting a share of his rental income, but technically she is  :)

    not to mention, if the OP gets a share of his rental income, she will have to declare tax to HMRC and that can be a headache in itself.
  • Grumpy_chap
    Grumpy_chap Posts: 18,773 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    yksi said:
    Tacpot12's idea would also work, you could ask him if he's willing to split his rental income with you 50/50 and also share the bills 50/50. But this could get hairy if he's planning to offset his letting costs against the income.
    If the OP chose to suggest some of the rent from the rental property is passed her way, it would presumably have to be assessed against "nett rent" after deducting expenses, at least in the short term.  Depending on the mortgage, that could be barely anything.
    As others have said, establishing this link may not be the best thing to do in any case.
  • Mojisola
    Mojisola Posts: 35,571 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Zoltan77 said:
    I initially thought a straight 50-50 split of the utility bills/council tax, and share food costs. I will pay the mortgage. However he will be using another room in the house as his office (he is self-employed). 
    If he's going to in the house all the time and you're not, I would have thought he'd be offering to pay more than 50% of the utility bills. 
  • Marvel1
    Marvel1 Posts: 7,461 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 28 October 2020 at 6:21PM
    Put it this way (made up fixed figures)
    You were paying:
    Council tax (25% discount) - £100
    Internet/TV - £40
    Water (not on meter) - £30

    Now you are  going to be paying:
    Council tax - £62.50
    Internet/TV - £20
    Water (not on meter) - £15
  • RAS
    RAS Posts: 36,141 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Electricity - higher costs?

    Gas - possibly higher costs?

    Internet - Higher costs?

    Food ands drinks - higher costs?
    If you've have not made a mistake, you've made nothing
  • Takmon
    Takmon Posts: 1,738 Forumite
    1,000 Posts Second Anniversary Name Dropper
    AskAsk said:
    missile said:
    Is he going to give you half the rent from his property? 
    you joking right?  no way is he going to do that.  i wouldn't expect my partner to do so, if this was me, however i would expect him to contribute more than just 50% of the bills because he is going to benefit from renting his place out while staying at mine, where he will get free lodgings.

    When couples move in together they are usually doing it because they both want to live together so splitting bills and food 50/50 is a fair way to do it at the start because they will be sharing the house. I think it would be unfair to expect more than 50% just because they are getting a rental income as well and if you expected that from a partner then it's more of a business relationship than a romantic relationship. 
    It's similar too when one person earns more than the other i still think at the start everything should be split 50/50 as that's a fair starting point for a relationship when just moving in together.



  • AskAsk
    AskAsk Posts: 3,048 Forumite
    1,000 Posts Fourth Anniversary Name Dropper Photogenic
    Takmon said:
    AskAsk said:
    missile said:
    Is he going to give you half the rent from his property? 
    you joking right?  no way is he going to do that.  i wouldn't expect my partner to do so, if this was me, however i would expect him to contribute more than just 50% of the bills because he is going to benefit from renting his place out while staying at mine, where he will get free lodgings.

    When couples move in together they are usually doing it because they both want to live together so splitting bills and food 50/50 is a fair way to do it at the start because they will be sharing the house. I think it would be unfair to expect more than 50% just because they are getting a rental income as well and if you expected that from a partner then it's more of a business relationship than a romantic relationship. 
    It's similar too when one person earns more than the other i still think at the start everything should be split 50/50 as that's a fair starting point for a relationship when just moving in together.



    i don't see why you can't mix business with pleasure  :)
  • I don't understand why the rental income should be treated any different to income, presumably you wouldn't ask someone to pay more than 50% for moving into your home just because the earnt more than you. 
    If everything goes to plan then at some point assets will all become joint anyway 
    Make £2023 in 2023 (#36) £3479.30/£2023

    Make £2024 in 2024...
  • AskAsk
    AskAsk Posts: 3,048 Forumite
    1,000 Posts Fourth Anniversary Name Dropper Photogenic
    I don't understand why the rental income should be treated any different to income, presumably you wouldn't ask someone to pay more than 50% for moving into your home just because the earnt more than you. 
    If everything goes to plan then at some point assets will all become joint anyway 
    for me, the differentiation would be that he is only able to earn that rental income because of me.  if he earned more in salary then that is not because of me at all.  that is from his own merits.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 352.1K Banking & Borrowing
  • 253.6K Reduce Debt & Boost Income
  • 454.2K Spending & Discounts
  • 245.2K Work, Benefits & Business
  • 600.8K Mortgages, Homes & Bills
  • 177.5K Life & Family
  • 259K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.