Letting out property in Scotland involves different legal frameworks depending on the living situation. Understanding the distinction between a lodger and a tenant under a Private Residential Tenancy (PRT) is absolutely crucial, as their rights and your obligations as a landlord differ significantly.
The Key Difference: Sharing Your Home
- Lodger: Lives in the same property as their landlord (a "resident landlord") and shares common living areas like the kitchen and/or bathroom.
- Tenant (PRT): Rents a property (or a room in an HMO where the landlord doesn't live) as their own home. They have exclusive possession of at least part of the property.
Getting it Wrong: Misclassifying the arrangement can lead to serious legal problems. If you treat someone as a lodger when they legally qualify for a PRT, you could be denying them significant rights regarding eviction, deposit protection, and repairs, potentially leading to tribunal claims.
Use the Right Agreement: It's vital to use the correct documentation. For lodgers, use a specific Lodger Agreement. For tenants, use the mandatory Private Residential Tenancy Agreement. Legalmaster can help generate the appropriate document type based on the situation you describe, ensuring you start on the right legal footing. Always assess the living arrangements carefully to determine the correct status.
