House share agreement template (licence agreement for sharing a house or flat)

Coming to an agreement to share a house or flat shouldn’t be a complicated process, providing that the licensor and the licensee agree on the terms.

However, it’s vital that you have a watertight house share tenancy agreement in place in order to avoid disputes. So we’ve partnered with LHS Solicitors’ elXtr team to bring you a customisable template ready for your use.

Why use an elXtr template?

Small businesses, landlords, and even private individuals all have particular legal needs, but most cannot afford their own legal counsel. elXtr was built with these people in mind. They provide online legal solutions for those who don’t have their own army of corporate lawyers. We’ve partnered with them to bring you high quality legal documentation that you can easily customise for your own use.

House share agreement terms

A house share tenancy agreement should include a series of key terms. The basis of the document is the passing of a ‘licence to occupy’ to the licensee, allowing them the right to use a bedroom and specific shared areas, as well as, for example, a separate entrance.

It also sets out the licensee’s responsibilities, for example to pay the rent on time, to contribute a set amount to council tax, and to make a pre-agreed contribution to utility bills.

It is important to understand that there are two types of tenancy that your lodger may take on. If they live in your home and share with you or a member of your family a kitchen, bathroom, or living room, they will be an ‘excluded occupier’. This means that you do not have to take them to court to evict them – you only need to give reasonable notice.

However, if they live in your home but don’t share any living space with you or any members of your family, they will have what is known as ‘basic protection’. This means that you will need a court order to evict them if they refuse to leave when you ask.

House share agreement and Rent A Room

It’s also important to understand the potential tax implications of a house share agreement.

Under the government’s optional Rent A Room scheme, you can earn up to £7,500 a year tax-free from 6 April 2016, provided that the accommodation you are renting out is furnished. However, if you share the income with another party, for example your partner, then the threshold is halved.

If you earn more than this threshold, you must complete a tax return if you do not do so already.

Click here to download a PDF of the house share agreement template.

House share agreement template - free Word document for download

If you would like to make changes and don’t have Adobe Acrobat, you can also download our house share agreement template in Word format.

The attached document has been produced by LHS so we can’t take responsibility for its contents. We’d recommend you take professional advice before making any important decisions based on its contents.

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