Sarah Beeny Autumn 2017 - 74

2

BUYING AND SELLING ▲

SHORT-TERM
RENTALS

You may not like the idea of
having a lodger, but short-term
lets can be a great way of generating
cash without the commitment of a more
permanent paying guest. Language schools,
for example, are always looking for rooms
for students and teachers. They can pay
£50-£100 a week per person and some
allow you to have up to four students
staying in one room.

PROS As well as earning extra cash
- up to £7.5K a year tax-free under the
Rent A Room scheme - it can be a great
way to meet people from all over the world.
Language students are also likely to be out
for most of the day and you can choose
when your extra rooms are available.
CONS While it's a short-term commitment,
having students in your home for a few
weeks can be more involved than simply
putting out the welcome mat and handing
over a spare set of keys. Generally, you're
expected to cook an evening meal for
your guests and chat to them. Having
short-term paying guests will involve
extra cleaning and laundry, too.

3

HOME HOSTING

Renting out your entire home - or
just a room or two - to tourists has
become increasingly popular over
the past few years. With a £1K tax break
for those renting out their properties on
peer-to-peer sites such as Airbnb having been
introduced recently, bookings on these sites
are overtaking hotel bookings in some areas.
PROS Whether you choose to rent out your
entire home while you go elsewhere, or just part
of it, you have complete control over when and
for how long the space is available. You could,
for example, simply rent your home out while
you're away on holiday, so you earn while you
take a break. nd your first
of income
from rentals is tax-free.
CONS Renting all or part of your home on
a peer-to-peer site could lead to trouble with
your mortgage lender, insurer, freeholder or
local authority. In the worst case scenario, you
could incur a heavy fine or even lose your home
if you breach your lender's or local authority's
rules, so check with all interested parties before
you list your home online. Having strangers
in your space can be bothersome, not least if
you have to clear up a er them. hen there's
the risk that your home could be damaged or
your possessions stolen.

4

STORAGE AND
PARKING

There's money to be made
from any spare space in
your home, as people living in cramped
properties are willing to pay for a place
to keep everything from their Christmas
decorations to suitcases.
With private storage costing about
half the price of commercial options, this
kind of storage solution is becoming
increasingly popular. Websites such as
storemates.co.uk list a whole range
of spaces for rent, from double garages,
spare rooms and attics to cupboards and
even space under the bed. You could rent
out an unused parking space, too.
PROS You can make cash from otherwise
unused space in your home, bringing in
e tra income for e ectively doing nothing
- typically from around £3 for a
cupboard to more than £100 for a large
garage. Both parties sign an agreement
that sets out terms such as the level of
security and access rights. A reputable
company won't allow anything to be
stored that may put you or your property
at risk, so you won't be expected to keep
barrels of ammable li uid, for e ample.
any companies also o er a protection
guarantee that covers losses due to the
or damage of up to £10,000.
CONS While you can earn up to £7.5K
tax-free by letting out a room, this
concession does not apply to boxes or
suitcases. The government has, however,
announced plans, from this autumn, to
introduce a tax-free allowance of £1K per
year for 'micro-entrepreneurs' who make
extra cash from activities that include
letting out storage space. If you advertise
your space on a website, expect it to take
around a cut of your fees, though. Expect
charges of around 15%.

www.athomemagazine.co.uk OCTOBER 2017 | 075



Table of Contents for the Digital Edition of Sarah Beeny Autumn 2017

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