Many homeowners in Britain are taking in lodgers in order to pay off their mortgages.
This is according to a new study from LV= home insurance, which was carried out by ICM Research and found almost one million people are letting out a spare room in 2012 – almost double the amount recorded last year.
And it was shown that 15 per cent of these individuals are becoming live-in landlords to pay off their home loans and other debts .
John O’Roarke, managing director of LV= home insurance, noted: “As people struggle to keep on top of their bills and mortgage payments, it makes sense to look for other sources of income.”
Mr O’Roarke explained taking in a lodger can be a great way of generating extra revenue, but warned those considering this option need to be aware of the potential risks involved and should vet prospective tenants before signing any agreements.
The study also revealed 36 per cent of those letting out a room are doing so to boost their squeezed incomes, while 28 per cent need extra money in order to settle their bills.
