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  • FIRST POST
    • weebit
    • By weebit 13th Mar 18, 5:48 PM
    • 403Posts
    • 494Thanks
    weebit
    Subletting a room - What to do with Deposit
    • #1
    • 13th Mar 18, 5:48 PM
    Subletting a room - What to do with Deposit 13th Mar 18 at 5:48 PM
    Hi all,

    Sorry if this has been asked before - I did a search but couldn't find an answer to my question.

    I am just about to sub-let a room in my 2-bedroom house (which I rent from a private landlord via an Estate Agent). The Agent and Landlord have given me permission to do so.

    The person I'm renting the room to is unknown to me and so I'm asking for a deposit of 1 months' rent to cover any damage or unpaid rent etc. My question is, do I need to pay this into a deposit scheme as if I'm the landlord, or can I keep it in my own bank account?

    I've sub-let the room before but they've always been friends so we didn't ask for a deposit, so this is a bit new to me.

    Thanks
    -Jay
    Aiming to pay off 50,312.94 in less than 3 years - Starting from December 2015
    Current debt total: 32,756.02 (as of 1st March 2018)
    Date Free Date Aim: Summer 2019 (8 extra months needed )
Page 1
    • Mojisola
    • By Mojisola 13th Mar 18, 6:36 PM
    • 29,255 Posts
    • 74,720 Thanks
    Mojisola
    • #2
    • 13th Mar 18, 6:36 PM
    • #2
    • 13th Mar 18, 6:36 PM
    I am just about to sub-let a room in my 2-bedroom house (which I rent from a private landlord via an Estate Agent). The Agent and Landlord have given me permission to do so.
    Originally posted by weebit
    Isn't this person a lodger rather than a tenant?
    • weebit
    • By weebit 13th Mar 18, 6:40 PM
    • 403 Posts
    • 494 Thanks
    weebit
    • #3
    • 13th Mar 18, 6:40 PM
    • #3
    • 13th Mar 18, 6:40 PM
    Isn't this person a lodger rather than a tenant?
    Originally posted by Mojisola
    That's the crux of my question really... is the person renting my room a tenant or a lodger? Or something else?
    Aiming to pay off 50,312.94 in less than 3 years - Starting from December 2015
    Current debt total: 32,756.02 (as of 1st March 2018)
    Date Free Date Aim: Summer 2019 (8 extra months needed )
    • es5595
    • By es5595 13th Mar 18, 6:42 PM
    • 76 Posts
    • 90 Thanks
    es5595
    • #4
    • 13th Mar 18, 6:42 PM
    • #4
    • 13th Mar 18, 6:42 PM
    NO!

    The person moving in is a lodger, you are now a resident landlord, and therefore do not need to protect their deposit.

    https://www.gov.uk/rent-room-in-your-home/rent-bills-and-tax

    YES
    you are genuinely sub letting to a tenant therefore you are in all respects the LL of that tenant and must meet all the obligations of a LL, including protecting any deposit you take
    Originally posted by 00ec25
    This is wrong, they cannot be an assured shorthold tenant as they are a lodger. Therefore deposit protection is not a requirement.
    • G_M
    • By G_M 13th Mar 18, 7:32 PM
    • 44,108 Posts
    • 52,291 Thanks
    G_M
    • #5
    • 13th Mar 18, 7:32 PM
    • #5
    • 13th Mar 18, 7:32 PM
    NO.

    You are taking in a lodger and do not need to protect the deposit (though you can choose to do so if you wish).

    Put it in a savings account so you still have it for when the lodger moves out.

    Have you vetted the lodger? How?

    Have you provided a written contract and does it specify your 'house rules' (or are these written elsewhere)?

    Critically, what notice period is specified? I recommend a week either way, with rent paid weekly (or if monthly rent, then repayment pro rata of any advance rent paid at the end of the week's notice).

    For more, see

    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)



    Last edited by G_M; 13-03-2018 at 8:01 PM.
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