Practical advice on taking on a lodger

Hannimal

Please don't shoot me - I know there are several websites that give advise on what to consider. I'd like to know though from people who have lodgers what you have considered, what mistakes you've made and how to avoid them? Any tips are welcome. 

I am well aware of the responsibilities of a live-in landlord in England and so I am looking for tips and advice on how to manage the interpersonal things that come with house-sharing. How can I make sure things run smoothly? I live in an area where there is a shortage of housing so I expect I should have some choice once I am ready to advertise my spare room.

theoretica

Leave as little as possible to unspoken understanding - plenty of different arrangements can be fair, the problems often come when you don't agree on exactly what the arrangement is.

Can the lodger have guests, do they have free use of the whole house or just access as needed to some areas?  Cleaning?  TV/computer noise?

FreeBear

Why do you want a lodger, and what do you expect from them ?

If it is just money, and you don't want to see them from day to day, make that clear from the outset.

Should it be company and someone to talk to in an evening, pick carefully. Sit and have a long chat over a coffee, either in your own home or outside in a neutral location.

Do make sure you have a well written contract and that the house rules form part of it. The rules need not be extensive or onerous on either party (mine are fairly simple, like no food/drinks in the bedroom, washing up to be done promptly after eating..). Ensure that you have a clause that enables short notice to be given - My contract allows for 24 hours (or less) notice for violent, drunken, or other behavior that might involve the police.

AdrianC

Have you ever lived in a shared house...?

Jenniefour

As per Theoretica and FreeBear - and make sure you have a written lodger agreement (with house rules appended) and not a tenancy contract. Quite a number of examples on here over time where landlords have mistakenly given a tenancy. Take a deposit against possible damages. Have a good long chat first and ascertain whether their lifestyle and yours are compatible - although they don't have to be the same. And make clear what you expect/want in terms of Covid. 

Hannimal

AdrianC said:

Have you ever lived in a shared house...?

Yes. Why?

AdrianC

Hannimal said:

AdrianC said:

Have you ever lived in a shared house...?

Yes. Why?

There y'go, then. You have direct personal experience of what works and what doesn't, when it comes to sharing a home with people who start as strangers but become housemates.

Phil4432

Bear in mind that you'll pay additional CGT on your property, when you've rented part of it.  IT as well of course.

Also have a close look at the rights you have, should you want your lodger out.  It can be very difficult to get them out of your home.  There's also maintenance to consider.  You may be particular about keeping your home a certain way, the lodger may decide he/she is happy to slam stuff around.  Unless you are competent with your own home repairs, that could be a hefty bill.

I weighed it all up, did some calculations and decided that for the little I'd end up making, and the potential hassles involved, it was better to not take on a lodger.

FreeBear

Phil4432 said: Bear in mind that you'll pay additional CGT on your property, when you've rented part of it. 

Not for a single lodger. If you rent to two or more (excluding couples) at the same time, there may be CGT to pay, but that would depend on the number of years lodgers were renting, how much the value of the property increased in that time, and any tax allowances.

With the Rent a Room scheme, you can get up to £7500 in rent without paying income tax.

Jenniefour

Phil4432 said:

It can be very difficult to get them out of your home.  

That is not the case, lodgers have very few rights. As long as they're given a lodger agreement and not a tenancy by mistake - then it can be hard to evict. 

Phil4432

Jenniefour said:

Phil4432 said:

It can be very difficult to get them out of your home.  

That is not the case, lodgers have very few rights. As long as they're given a lodger agreement and not a tenancy by mistake - then it can be hard to evict. 

Point taken, briefly looking online it seems that even if you are on a lodgers agreement and taking money weekly, you'd have to give a weeks notice to get them out.

https://www.rocketlawyer.com/gb/en/quick-guides/how-to-evict-a-lodger

You can't just instantly have them out of your home, if within the agreement period.