Renting a room - advice needed.

deus3x

deus3x

deus3x

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Hi,

Im looking to rent out a room in my house to a friend of a friend. The person in question gets housing benefit and is currently renting a room in another town to where i live but what's to move around my area.

Do i need to change my mortgage or any insurance etc or can i simply let her move in and use the room?

Thanks.
 
You can do what you like, its your house.

However, unless its a family member i wouldnt be renting a room out without a contract, specifically one that gives you the right to evict with as short a notice as possible.
 
If you have a mortgage and/or household insurance you need to check with them to see if taking in a lodger is within their terms and conditions.
 
Mr^B said:
If you have a mortgage and/or household insurance you need to check with them to see if taking in a lodger is within their terms and conditions.
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This. I have a lodger that both my mortgage company and insurance know about. Mortgage company wasn't a problem. Insurance, now that was fun. Phoned abbey (10 years ago) when I was renewing my policy to let them know that I was taking on a lodger, line went quiet, then heard a faint voice (call being monitored) then told my insurance was going to be cancelled. They really didn't want to know.

Direct line have no issues with lodgers, in fact she is named on the policy so if I'm away she can call them in an emergency.
 
atpbx said:
You can do what you like, its your house.

However, unless its a family member i wouldnt be renting a room out without a contract, specifically one that gives you the right to evict with as short a notice as possible.
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It's not his house, it's his mortgage providers asset. You will need to check with your mortgage provider first, as is the same if you were to start using your house as a place of business. They should be fine with it though.

As mentioned, double check with your insurers. They may wish to change your premium if you start letting a room out in your house.

For the 2012/13 tax year you can receive £4,250 tax free before you need to worry about paying extra on the income.
 
Also there is a deposit protection scheme that you will need to put any deposit they give you into.
 
Stumble Bum said:
It's not his house, it's his mortgage providers asset. You will need to check with your mortgage provider first, as is the same if you were to start using your house as a place of business. They should be fine with it though.

As mentioned, double check with your insurers. They may wish to change your premium if you start letting a room out in your house.

For the 2012/13 tax year you can receive £4,250 tax free before you need to worry about paying extra on the income.
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So you refer to your house as your "mortgage providers asset"

Its his sole and primary residence, he does NOT need to inform his mortgage company he is renting a room out.
 
atpbx said:
So you refer to your house as your "mortgage providers asset"

Its his sole and primary residence, he does NOT need to inform his mortgage company he is renting a room out.
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I'm glad you're fully versed in the terms and conditions of every mortgage provider operating in the UK together with every different mortgage policy out there....

If you are only letting out a room and you are still living in the property you don't usually need consent to let. however you still need to check it's allowed in your lender's terms and conditions. Your lender will probably make you and maybe your lodger sign a declaration to say that the lodger won't gain any rights to the property by living there.

Nationwide for example says it simply needs customers to complete a "Lodgers Declaration of Society's Priority" form when they are renting out a room. It is a condition that the mortgage customer must still live in the property. Every Mortgage / Insurance provider will have their own terms and conditions.

As a general rule of thumb it should be fine, but as explained, just check first, especially on the insurance front.
 
[FnG]magnolia;21281615 said:
I'd have to agree with this.

In terms of what you need to do/who you should speak to, my first stop would be CAB.
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Thirded - unless you know them well the benefits lot have a habit of just stopping benefits due to "change in circumstances" and won't tell you what or why.

If you do go ahead insist she writes to them and tells them she wants you paid direct.
 
they will need a contract to be able to claim the housing benefits.

not sure how well written this contract needs to be.
 
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First off go read the blog at lodgerlandlord.co.uk for all the info you need.

Second off you DO NOT need to put the deposit in a protection scheme if they are a lodger this is only for tenants.

Third off you will need to get a gas safety check done as this is required by law.

And lastly there are a lot of differing opinions on whether to tell the mortgage company or not but you do have to tell your insurance company.
 
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