Homeowners consider lodger agreements

by Sarah Ashcroft

As many as a third of UK homeowners are considering setting up lodger agreements to rent out a spare room in their property, latest research suggests.

However, 60 per cent of those who have rented out a room have not carried out the necessary checks on their tenants, potentially leaving them at risk, More Than revealed.

In many cases, landlords have not collected a deposit, conducted credit checks or asked for a reference, leaving them vulnerable to all sorts of difficulties.

Statistics show that one in ten landlords has fallen victim to theft from a lodger within their home, while others have experienced problems with the late payment of utility bills.

In some cases, rent payments have not been made.

Mark Pernet, head of More Than home insurance, commented: "We encourage homeowners to conduct credit, reference and financial checks as well as agreeing basic terms with your lodger, even if the lodger is a friend."

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Published on: October 7, 2011

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