A guide to live-in landlords and tenant responsibilities

Renting out a room in your own home whilst continuing to live there creates a distinctly different legal relationship from traditional buy-to-let landlordism. Known as being a live-in landlord or resident landlord, this arrangement offers homeowners a way to generate income from spare space whilst retaining control over their property. However, the rights and responsibilities involved differ significantly from standard tenancies, and misunderstanding these distinctions can lead to problems for both parties.

This article explains what it means to be a live-in landlord, how lodger arrangements differ from tenancies, the legal obligations you must meet, and the practical considerations that determine whether this approach suits your circumstances. Whether you're considering taking in a lodger for the first time or want to clarify your existing arrangement, understanding the framework will help you operate legally and maintain good relationships with the people sharing your home.

What is a live-in landlord?

A live-in landlord, also known as a resident landlord, is someone who rents out part of their home to one or more people whilst continuing to live in the property themselves. The key distinction is that you share your home with the person renting from you. This is fundamentally different from letting out a self-contained property where you live elsewhere.

The person renting a room in your home is typically called a lodger rather than a tenant. Lodgers have a licence to occupy rather than a tenancy agreement, which means they have fewer legal rights than tenants under assured shorthold tenancies. This distinction exists because lodgers do not have exclusive possession of any part of the property. You, as the homeowner, retain access to all areas including the lodger's room, though you should respect their privacy and only enter with notice or agreement.

The arrangement usually involves the lodger having their own bedroom whilst sharing common areas like the kitchen, bathroom, living room, and hallways with you. Some live-in landlords provide additional services such as cleaning, laundry, or meals, though this is not required. The rent may be all-inclusive covering bills and council tax, or these costs might be shared separately depending on your agreement.

How lodger arrangements differ from tenancies

Understanding the legal difference between lodgers and tenants is crucial because it affects both parties' rights and your obligations as a landlord. The defining characteristic is whether the occupant has exclusive possession of their accommodation.

Lodgers - Occupy under a licence agreement, share living accommodation with the resident landlord, do not have exclusive possession of any part of the property, and have significantly fewer legal protections. The landlord retains the right to enter all areas of the property and controls who else may occupy the premises.

Tenants - Occupy under a tenancy agreement, have exclusive possession of at least part of the property, typically their room or a self-contained unit, benefit from statutory protections under the Housing Act 1988, and cannot be evicted without a court order. Landlords must follow formal procedures to enter the property or end the tenancy.

This distinction matters enormously. If you let out a self-contained flat in your house and move out permanently, or if you let a room but do not genuinely share facilities, the occupant may have tenant rights rather than lodger status. This would trigger all the usual landlord obligations including deposit protection, formal eviction procedures, and potentially licensing requirements.

The Renters' Rights Act, which comes into force on 1 May 2026, fundamentally changes the tenancy landscape for traditional landlords. However, these reforms do not apply to lodger arrangements where the landlord genuinely shares their home with the occupant. Live-in landlords continue to operate under the existing framework that gives them greater flexibility and control.

Your legal responsibilities as a live-in landlord

Although lodgers have fewer rights than tenants, live-in landlords still have important legal obligations. Failing to meet these can result in penalties, liability, or disputes.

Right to rent checks

You must verify that anyone renting a room in your home has the legal right to rent and live in the UK before they move in. This requirement applies under the Immigration Act 2014 and covers all adults who will occupy the property, including lodgers.

For British and Irish citizens, acceptable documents include a current or expired passport, or a UK birth certificate combined with an official document showing their National Insurance number. Non-British nationals may need to provide a right to rent share code generated through the GOV.UK service, or physical documents such as a passport with valid visa or biometric residence permit.

You must check the original documents in the presence of the lodger, verify they reasonably appear genuine, and keep clear copies or scans for at least one year after the lodger leaves. Failing to conduct proper right to rent checks can result in civil penalties of up to £3,000 per lodger for a first breach, rising to £5,000 for repeat offences.

Gas safety and electrical safety

If your property has gas appliances, you must arrange an annual gas safety check carried out by a Gas Safe registered engineer. You'll receive a Gas Safety Certificate (CP12) which you should provide a copy of to your lodger. This requirement applies even though you live in the property yourself, because you're renting out accommodation.

Similarly, you must ensure all electrical installations and appliances provided for the lodger's use are safe. Whilst the specific electrical safety regulations that apply to standard tenancies do not formally apply to lodger arrangements, you have a general duty of care to ensure safety. Having an Electrical Installation Condition Report (EICR) and conducting portable appliance testing (PAT) demonstrates you're taking reasonable steps to meet this duty.

Smoke alarms should be installed on every floor of the property where there is a room used wholly or partly as living accommodation. Carbon monoxide alarms are required in any room containing a fixed combustion appliance, excluding gas cookers. These requirements apply to all residential properties, regardless of whether you're letting to a lodger or tenant.

Deposit protection

The standard rules around tenancy deposit protection do not apply to lodger arrangements. You are not required to place a lodger's deposit in a government-approved protection scheme within 30 days as you would with an assured shorthold tenancy. However, you should still handle deposits fairly and return them appropriately at the end of the arrangement.

Good practice involves documenting the condition of the room and any furnishings at the start of the arrangement, agreeing clear terms about what the deposit covers, and providing a written explanation if you intend to make deductions. Whilst the formal adjudication process offered by deposit protection schemes isn't available, acting transparently reduces the risk of disputes.

The maximum deposit you can request is typically five weeks' rent if the annual rent is less than £50,000. This limit applies across all residential lettings including lodger arrangements, under the Tenant Fees Act 2019.

Energy Performance Certificate

You do not need an EPC if you're letting a room in your home as a lodger arrangement. The EPC requirement applies to properties let on assured shorthold tenancies and other formal tenancy types, but not to licences where the landlord shares living accommodation with the occupant.

This exemption exists because the property remains your home. However, if you were to convert part of your property into a self-contained annex or granny flat that you let out whilst living elsewhere, an EPC would be required.

HMO licensing

Taking in one or two lodgers typically does not require HMO licensing. However, if you have three or more lodgers sharing your home, the property may qualify as a House in Multiple Occupation depending on how the space is configured and your local authority's specific licensing scheme.

A live-in landlord with no more than two lodgers is usually exempt from licensing requirements. Once you reach three lodgers, you may trigger additional obligations including HMO licensing, enhanced fire safety measures, and specific HMO minimum room size standards. Check with your local council's private housing team to understand whether licensing applies in your area.

Tax considerations

Income from lodgers is subject to income tax, but the Rent-a-Room Scheme provides generous relief for live-in landlords. You can earn up to £7,500 per year tax-free if you rent out furnished accommodation in your main home. If two people jointly own the property and both live there, the allowance is split to £3,750 each.

If your total income from lodgers exceeds £7,500 in a tax year, you must declare it on a Self Assessment tax return. You can choose either to claim the £7,500 exemption and pay tax on anything above that amount, or to declare all the income and deduct allowable expenses in the normal way. Which approach is more beneficial depends on your total income, expenses, and tax position.

Rights and responsibilities of lodgers

Lodgers have significantly fewer statutory rights than tenants, but they're still entitled to fair treatment and a safe living environment.

What rights do lodgers have?

Peaceful enjoyment - Lodgers have the right to live peacefully in the room they're renting without unnecessary interference. Whilst you retain the right to access all areas of your property, you should respect the lodger's privacy and avoid entering their room without good reason or notice, except in emergencies.

Safety and habitability - The accommodation must be safe and reasonably fit for habitation. This includes maintaining the structure, ensuring heating and hot water work properly, and addressing health hazards like damp or electrical faults.

Protection from harassment - Lodgers are protected from harassment under general law. You cannot make their living conditions intolerable or force them out through intimidation, threats, or unreasonable behaviour.

Fair treatment of deposits - Whilst deposits don't require formal protection, you must return any deposit fairly at the end of the arrangement, making only reasonable deductions for genuine damage or unpaid rent.

What rights do lodgers not have?

Unlike tenants, lodgers do not benefit from most Housing Act protections. They cannot challenge rent increases through a tribunal, they have no right to stay beyond their notice period, and they're not protected by the restrictions on retaliatory eviction that apply to standard tenancies.

Crucially, lodgers can be asked to leave without the landlord needing a court order. You don't need to use Section 8 or Section 21 procedures, and you don't need to prove any legal ground for ending the arrangement. You simply need to give reasonable notice based on your agreement.

Ending a lodger arrangement

One of the key differences between lodger arrangements and tenancies is how they end. As a live-in landlord, you have considerably more flexibility to end the arrangement than a traditional landlord.

Notice periods

If you have a written agreement with the lodger, it should specify how much notice either party must give to end the arrangement. Common notice periods are one week, two weeks, or one month, often aligned with the rental payment period.

If you don't have a written agreement, or if the agreement doesn't specify a notice period, you must give "reasonable notice". What counts as reasonable depends on the circumstances, but it's typically at least one rental period. For example, if the lodger pays weekly, one week's notice would generally be considered reasonable. For monthly payments, at least one month would be expected.

The lodger must also give you notice if they want to leave, following the same notice period specified in your agreement or a reasonable period if nothing is specified.

Eviction procedures

Because lodgers are excluded from Protection from Eviction Act 1977, you do not need a court order to make them leave. Once the notice period expires, you're legally entitled to change the locks and exclude them from the property.

However, you must still act reasonably and lawfully. You cannot use force, threats, or harassment to remove a lodger. If the lodger refuses to leave after proper notice, you should seek legal advice rather than taking physical action yourself. In practice, most lodger situations end amicably with proper notice.

If you need to end the arrangement urgently due to serious issues like threatening behaviour, criminal activity, or significant damage to the property, you should still give written notice immediately and may be able to terminate the arrangement with minimal notice. Document everything carefully and seek legal advice if the situation is complex or contentious.

Practical considerations for live-in landlords

Beyond the legal framework, successful lodger arrangements depend on clear communication, appropriate boundaries, and realistic expectations about sharing your home.

Written agreements

Although not legally required, a written lodger agreement protects both parties by setting clear expectations. The agreement should cover the rent amount and payment schedule, what's included, the notice period for both parties, house rules about guests, noise, and shared spaces, and arrangements for accessing the lodger's room.

August's free resources include templates that can be adapted for lodger arrangements, providing a structured starting point for documenting the terms.

Tenant screening and references

Even though lodgers have fewer rights than tenants, thorough screening remains important. You're choosing someone to share your home with, which requires more careful tenant vetting than selecting a tenant for a separate property.

Request references from previous landlords or live-in situations, proof of income to verify they can afford the rent, identification to confirm their identity and conduct right to rent checks, and consider meeting candidates multiple times or having a trial period if appropriate. Taking references seriously and conducting proper checks reduces the risk of problems developing.

Managing the shared space

Living with a lodger means negotiating shared use of kitchens, bathrooms, and living areas. Clear house rules about cleaning responsibilities, bathroom schedules, overnight guests, noise after certain hours, and use of shared amenities help prevent friction.

Regular, informal communication about how the arrangement is working allows you to address small issues before they become serious problems. Treating the lodger with respect whilst maintaining appropriate boundaries as the homeowner creates the best foundation for a successful arrangement.

Record-keeping and documentation

Although lodger arrangements involve less formal regulation than standard tenancies, keeping proper records protects both parties. Document the check-in condition of the room and any furnishings, retain copies of identity documents and right to rent checks, record rent payments and any expenses included, and keep copies of any written agreements or communications about the arrangement.

Simple rent tracking and document storage through property management software designed for UK landlords can be adapted for lodger arrangements, providing an organised record system even though the full compliance framework doesn't apply.

When lodger arrangements become tenancies

The boundary between a lodger and a tenant sometimes becomes blurred, particularly if circumstances change. If you move out permanently, even temporarily, the lodger's status may convert to that of a tenant. This would trigger all standard landlord obligations including formal eviction procedures and deposit protection requirements.

Similarly, if you let out a self-contained part of your property whilst living in another part, the occupant may be a tenant rather than a lodger. The key test is whether they have exclusive possession of their accommodation or whether you genuinely share living space.

If you're uncertain about the status of your arrangement, seek legal advice before taking action to end it. Acting as though someone is a lodger when they're actually a tenant can result in unlawful eviction claims and significant penalties.

Is taking in a lodger right for you?

Letting a room in your home offers financial benefits with less regulatory burden than traditional buy-to-let. The Rent-a-Room Scheme's £7,500 tax-free allowance makes the income particularly attractive, and you avoid many of the compliance requirements that apply to separate rental properties.

However, sharing your home requires compromises. You lose some privacy, you must accommodate another person's routines and preferences, and personality clashes can make your own home uncomfortable. Unlike traditional landlords who can maintain distance from tenants, live-in landlords must navigate day-to-day interactions with their lodgers.

The arrangement works best for homeowners who enjoy social interaction, have spare space they're not using, want supplemental income without the complexity of buy-to-let, and are comfortable setting boundaries in their own home. It's less suitable for those who value complete privacy, have particularly specific or strict household routines, or who would find sharing facilities stressful.

In summary

Being a live-in landlord creates a unique position distinct from both traditional landlordism and simply having housemates. Lodgers have fewer rights than tenants, you have greater flexibility to end arrangements, and many standard letting regulations don't apply. However, you still must conduct right to rent checks, ensure gas and electrical safety, and treat lodgers fairly.

The key to successful lodger arrangements lies in understanding the legal framework, documenting the terms clearly, screening potential lodgers carefully, and maintaining respectful communication about shared space. When done well, taking in lodgers provides useful income whilst making efficient use of your property.

For live-in landlords who want to maintain organised records of rent payments, store documentation securely, and track when checks need renewing, property management software designed for UK landlords can be adapted to your needs even though the full regulatory framework doesn't apply to lodger arrangements.

Disclaimer: This article is a guide and not intended to be relied upon as legal or professional advice, or as a substitute for it. August does not accept any liability for any errors, omissions or misstatements contained in this article. Always speak to a suitably qualified professional if you require specific advice or information.