Thinking of renting out a spare room in your home in Scotland? Taking in a lodger can be a great way to utilise space and gain extra income. However, because a lodger lives with you and shares accommodation, they have different rights than a tenant under a Private Residential Tenancy (PRT). This makes having a clear Lodger Agreement crucial.
Lodger vs. Tenant in Scotland: A lodger lives in their landlord's home and shares facilities like the kitchen or bathroom. They aren't covered by the robust security of tenure found in PRTs. Instead, their rights often fall under common law, making a written agreement the primary source of clarity.
Why You NEED a Lodger Agreement:
- Clarity on Terms: Prevents misunderstandings about rent, payment dates, and what's included (bills, meals?).
- House Rules: Formally sets out expectations for noise, guests, use of shared spaces, smoking, pets, etc.
- Notice Periods: Defines the (reasonable) notice period required for either party to end the arrangement, which isn't strictly dictated by PRT rules.
- Deposit Handling: Outlines the deposit amount and conditions for its return (note: lodger deposits don't need protection in the mandatory schemes).
- Defines the Relationship: Clearly establishes the arrangement as a lodging agreement, distinct from a tenancy.
Key Clauses to Include:
- Names of landlord and lodger.
- Property address and specific room(s) the lodger occupies.
- Rent amount, frequency, and payment method.
- Deposit amount and return conditions.
- Term of the agreement (fixed or periodic).
- Notice period required by each party.
- Landlord's access rights to the lodger's room.
- House rules and shared facility usage.
- Obligations (e.g., cleaning shared areas).
While less formal than a PRT, a clear Lodger Agreement, like those generated through Legalmaster, provides essential structure and protection for both you and your lodger, preventing disputes before they arise.