The number of homeowners boosting their earnings by taking in lodgers has increased for the seventh consecutive year, according to data from the UK’s leading flat and house-share website, SpareRoom.co.uk.
The volume of homeowners taking in lodgers rose by more than a quarter (25.4%) between 2011 and 2012, having risen by 18.4% between 2010 and 2011. The biggest increase in homeowners becoming live-in landlords over the past year was seen in Falkirk, Scotland which has seen a 28% rise in 2012 compared to 2011.
Three other Scottish cities also feature in the top 10 – Aberdeen (21%), Glasgow (20%) and the North Lanarkshire town of Motherwell (21%), situated to the south east of Glasgow – as the soaring cost of living saw Scottish homeowners turning to renting out rooms to earn some extra cash.
Meanwhile, in England, Wigan and Derby have seen the largest increase in lodger numbers, with new live-in landlords up 23% and 22% respectively.
The following table shows the top ten UK towns and cities for new live-in landlords in 2012 compared to 2011:
But with live-in-landlord numbers continuing to grow, SpareRoom says that it is a worrying statistic that more than a third (37%) of homeowners who take in lodgers may not be properly insured, according to a survey of live-in-landlords by the company.
The poll revealed that a third (33%) didn’t realise that having a lodger could invalidate their home insurance. And almost one in three (29%) live-in-landlords said their current home insurers don’t offer add-ons to their existing policies wh
Article courtesy of Property Investor Today