Renting out a spare bedroom

[Thunder Bolt]

The tax free exemption for rental income is currently £4,250 per year, which works out as £354.17 a month. Anything above that should be charged at your marginal rate of income tax, but in practice there's a huge amount of rental income which goes undeclared.

Is that just rental or does it include food?

 

[Pinkie Brown]

I've rented out years ago and as an earlier poster said, instinct is a huge indicator as to whether a person will be suitable. If any red flags start popping up, then DON'T offer them the room. I always invited them round and had a semi formal chat. Yes, I was digging but not in a way as though I was grilling them. Getting a feel for their past, their current employment, their relationship status etc can be a factors that help you decide.

If I had the slightest doubt, I wouldn't offer them a room. A bloke once said to me: "When I'm looking for somewhere to live, I always like to check out the local pubs in the area first". That set alarms bells ringing. Potentially, he was always on the move and was a pisshead. Little things like that are what to watch for.

Setting ground rules are an absolute must. As also mentioned, these days you can get a template for a formal agreement when letting out a room in your property.

 

[Pinkie Brown]

Is that just rental or does it include food?

Doesn't usually include food.

 

[Ⓩ-Ⓐ-Ⓜ-Ⓞ-Ⓡ-Ⓐ]

What about air b'n'b? Daily - weekly rental, but for a higher price.