How to earn some extra cash by taking in a lodger
If you are looking for an additional way to make some money and have a spare room going begging, then taking in a lodger could be just the job!
Before you start advertising for a person to come and live with you, get rid of all the clutter you may have been accumulating in your spare room and give it a joint clean and tidy up. If you need to re-paint it, then so be it.
Here are a few additional pointers to consider:
- Decide on the house rules and how much of your home you are willing/able to share – can your tenant have access to all living rooms for example, what about the garden and who is responsible for communal cleaning?
- It’s getting much more common these days to take in lodgers that only wish to stay from Monday to Friday leaving your home all to yourself at weekends. Use a weekday rental site or online board to advertise your room where these sorts of renters might be looking.
- Draw up a contract – a formal agreement is needed to help smooth out any disagreements and also to give both parties some security. Example agreements can be found online and downloaded for free.
- You do need to inform your mortgage lender and insurer of your intention to rent out a room.
- Let HM Revenue & Customs know what you are doing too as you may have to pay tax on your income. You should also declare rental income on your self-assessment tax return. You can find out more here: https://www.gov.uk/rent-room-in-your-home/the-rent-a-room-scheme.