Updated October 2026 · Fraser Bond
Homeowners · Lodgers
Taking in lodgers: the rules
Up to 2lodgers, not an HMO
£7,500Rent a Room relief
Licencenot a tenancy
Permissionlender & insurer
In short: If you own and live in your home, you can usually take in up to two lodgers without the property counting as an HMO. More than that, and HMO rules, including licensing in some cases, can apply. Lodgers living with you are licensees with fewer rights than tenants. Rent a Room relief lets you earn up to £7,500 a year from a furnished room tax-free. Check your mortgage and insurance before you start. If you rent your home, you'll usually need your landlord's permission.
| Number of lodgers | What applies |
|---|---|
| 1–2 | Usually not an HMO; lodger rules apply |
| 3 or more | The home may become an HMO, with safety and possibly licensing rules |
Lodgers and HMO rules
Lodger income and tax
Yearly lodger income–
Taxable after Rent a Room relief–
Tax estimate–
The relief is shared if more than one person receives income from lodgers in the same home. You can choose to deduct expenses instead.
Before you take a lodger
Frequently asked questions
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How many lodgers can I have?
Usually up to two without HMO rules applying.
Do lodgers pay tax?
No. The homeowner may pay tax on income above the Rent a Room limit.
Can I evict a lodger quickly?
Lodgers living with you can be asked to leave with reasonable notice.
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