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How to create a lodger agreement template

by | Jan 6, 2023

A lodger agreement template is a document that outlines the terms and conditions of a lodging arrangement between a landlord and lodger, not to be confused with a tenancy agreement

Find our tenancy agreement template on our website if that’s what you’re looking for. Better yet, sign up below for an automated tenancy agreement template, free for your first five tenancies!

Either way, a lodger agreement template typically is an excluded agreement that includes details such as the rental amount, the length of the tenancy and any rules or regulations the lodger is expected to follow while living in the landlord’s property. 

If the lodger signs and doesn’t abide by these terms they could face eviction as it is a legally binding document that both parties should sign and keep a copy for their records.

 

A lodger agreement template that is about to be signed

Lodger agreement template download

In order to speed things up, you may want to download a generic template here which is suitable for most lodging agreements. It is important to note that this will not work for a long term tenancy agreement.

In tenancy agreements like these, more details need to be included such as if there are any tenancy fees. Familiarise yourself with what documents you need to rent a flat if you’re not sure how this works.

Download your lodger agreement template

Click here to download your own lodger agreement template which you can fill in with your own information.

What is the best way to create a lodger agreement template?

Lodger agreement templates don’t have to be downloaded from the internet and it is perfectly fine to create one yourself. So, what would be the best way to create an agreement that covers everything you need?

First of all, consider who your lodger is. It is common for lodgers to be family or friends and typically, the closer they are to you the less stringent you’ll have to make the agreement.

Nonetheless, it is recommended to create a lodger agreement template at all times because if there is a legal dispute that can happen unexpectedly, it is useful to have some written notice of the agreement for the safety of the landlord and lodger.

What should be included in a lodger agreement template?

When looking to create a lodging agreement from scratch, you should pay attention to the main categories that would make the lodging agreement make sense. 

Below, each category is dissected so you’re able to plan an agreement out for yourself:

Who is involved?

In this category, the lodger and the landlord’s personal details should be recorded. This includes their government names, the address of the property and basic information such as date of birth and sex.

This should be verified with a legal document such as a passport to confirm that the lodger has the correct immigration status and has the right to rent in the UK.

What spaces they are eligible to?

In this stage of the agreement, the space within the property should be recorded that the lodger has rights to as they share with the landlord. Even though all lodging agreements are excluded agreements. 

This means, where a lodger sleeps is still able to be accessed by the landlord if they have reason to and they do not have exclusive rights to this room. As well as this, a landlord may choose to ban a lodger from other areas of a house too.

For instance, a ledger may be able to access the kitchen, garden and their designated room and be excluded from the living room. Under reasonable circumstances, the landlord can access the lodger’s room.

This should all be clearly stated in this section of the agreement. It is reasonable for a landlord to want to keep some areas of their house private and still require access to everywhere potentially for safety purposes.

Start and end date

The start and end date of an agreement is another important section of the lodger agreement template. This is important because it gives a rough idea of when the lodger is likely to be able to secure their housing.

Nonetheless, the eviction laws for lodgers are quite relaxed and a landlord can evict a lodger within one rental period if they so please. So, this stage is more of a nice to have for the peace of mind of the lodger.

For example, if the lodger pays rent every week, the landlord would legally be able to evict a tenant with just a week’s notice.

Arrow showing a short rental period

Rental amount

Like all lodging agreements, the amount of rent that must be paid alongside how often is stated in this section.

Council tax

As a landlord takes on a lodger, they may have to pay additional council tax, depending on the borough. In this part of the agreement, a landlord should include whether they cover this cost or if it should be paid by the tenant.

It is not unreasonable for a landlord to charge a tenant council tax, in fact, some will not tell a lodger but include the price of the council tax within the rent.

Deposit

Some landlords will ask for a deposit in this part of the lodger agreement template. It is useful to note that there is no requirement for how this deposit should be stored nor is there a limit for how much deposit can be taken.

However, a landlord cannot unreasonably withhold a deposit, especially if it is written down in the lodger agreement template and both parties have access to the document, the agreement should be enough evidence in court if needed for a lodger,

Contents of the property

Like in a tenancy, conducting a property inventory can keep things clear about what was there before the lodger moved in and what condition it is left in after.

Insurance

If there is any insurance taken out by the landlord that protects the contents of the lodger or the structure of the property, this should be displayed here as this is in the direct interest of the lodger too.

Signatures

Finally, at the end of the lodger agreement template, it should be signed by both parties as an expression that they both agree with the terms of the agreement.

When is the right time to use a lodger agreement template?

If you’re confused as to when to use a lodging agreement rather than another type of agreement, answer the below question in order to make sense of the agreement:

  • Are you planning on renting out just one room of the property you own?
  • Will you be living with the lodger as they stay in the property as a live-in-landlord?
  • Is the property you’re renting your main home?
  • Do you own the property you’re renting in England or Wales?

If you answer “yes” to all of these questions, there is a good chance that you need a lodger agreement template. Other types of templates are more formal and give tenants more rights.

A lodger agreement template in a desk in a landlord’s house

How do lodging agreement templates work?

There are some frequently asked questions below around how lodging agreement templates work. Generally, lodger agreements are in place to provide a more casual way of renting and also benefit landlords as they’re able to be part of the rent a room scheme which has tax benefits.

Is the lodging agreement you create legally binding?

Yes, a lodging agreement template is legally binding after contracts have been exchanged and the landlord and lodger have both signed.

However, unlike other agreements, lodger agreements are more lenient and in general, lodgers have less security around their tenancy.

Can you end a lodging agreement?

Yes, you can end a lodging agreement template if both parties consent. 

This will usually have to be done by giving reasonable notice to quit the lodger agreement or by complying with the notice period agreed in the lodging agreement template if there is one.

Is there a notice period in a lodging agreement?

Yes, there is a notice period in a lodging agreement. A landlord must give the same amount of notice as rent is paid. For example, if the lodger pays rent every week, the landlord will have to give at least a week to evict them.

So, the longer the rental period the longer the lodger should be able to stay in the property without eviction. However, it is also common for landlords and lodgers to work out their own notice period based on their preferences

How much rent can you charge a lodger?

There are no rules for the maximum amount of rent you can charge in a lodger agreement template. However, it is important for landlords to know the amount of rent they can collect from a lodger that they can keep rent free.

This amount is £7,500 per year. So, in order to benefit from this tax relief, a landlord should design their lodging agreement templates to fit as close to this number as possible if they want to stay tax free.

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