Study: Number of live-in landlords up by 100% since 2011
by Sarah Ashcroft
An increasing number of householders are deciding to rent out a spare room
in their home in order to boost their personal finances, a new study has revealed.
Research conducted by LV= home insurance has established that some 954,000 Britons are letting out a space in their house due to the fact they are struggling to make ends meet as the double-dip recession rumbles on.
This represents a rise of around 100 per cent on the figure recorded in 2011 and offers a clear indication that many people are finding it tough to afford their outgoings in an era of rising costs and falling wages.
For instance, 36 per cent of so-called live-in landlords said they let their spare room in order to gain a bit of extra income, with 28 per cent admitting that they need the money to pay their bills and 15 per cent indicating that the funds go towards paying their mortgage and servicing other debt.
Demand for rented accommodation is also on the up across the UK as home ownership is becoming less attainable due to the fact that property prices remain high and access to mortgage finance is restricted.
Indeed, 66 per cent of people said that they take the option of leasing a room simply because they are unable to afford to purchase a property of their own and the average age of lodgers has now increased to 29.
However, despite the fact many people are resorting to becoming live-in landlords due to the financial benefits associated with doing so, 70 per cent of such homeowners said that they prefer part-time lodgers to individuals living with them permanently.
John O'Roarke, managing director of LV= home insurance, said: "It makes sense to look for other sources of income. For homeowners that have a spare room, taking in a lodger can be a great way of getting in some extra cash."
Published on: October 16, 2012
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