Spareroom.co.uk have released new research that there has been a considerable increase in the number of home-owners renting out spare rooms to make extra cash!
January 2012, saw the highest number of family homes taking in a lodger as the post Christmas financial pinch hit the UK. Spareroom.co.uk also saw a massive spike in lodger numbers in January too, with almost 6,000 home-owners renting out spare rooms by the end of the month.
January was also recorded as the highest month for new lodger number increases of 15% on the previous record month of August 2011 and were also 83% increase on December 2011 and 22% higher than January 2010.
The UK lodger population has increased dramatically over the last 5 years and 2011 saw a record number of home-owners taking in lodgers. With families struggling to keep up to date on mortgage payments with increasing costs of bills and everyday living, earning some extra cash by renting out a spare room seems the only option for some.
An average rental income for a room in the UK is around £398 per month and in London £677 per month. Cash strapped families are seeing this as a great potential to earn extra money and some earnings can be as much as up to £4,250 without having to declare it to the tax office.
For some people the monthly income from a lodger will be the difference between losing their home and keeping it. In parts of the country, such as London, where demand for rented accommodation is soaring, live-in landlords are helping to ease the pressure on the rental market by providing an additional supply of rooms to meet increasing tenant demand.
Are you a landlord? Are you a live in landlord? How many rooms are you renting out?
It is a landlords legal responsibility for the safety of tenants and members of the public. It is important to have the right landlords insurance as there are numerous risks associated with renting property out to tenants. Property rental requires investment in time and money and this is why a landlords insurance policy from The Insurance Octopus will help to protect your business security should something unfortunate happen.