Rent a Room mortgages

Did you know, Bath Building Society offers mortgages up to 85% of the purchase price where you can rent a spare room and have the expected income count towards your mortgage affordability calculations? This is sometimes referred to as a lodger mortgage, or lodger income mortgage.

The extra income from renting out a room in your new house could provide the affordability calculations boost you need to get onto the property ladder. And you can earn up to a threshold of £7,500 a year, tax free, from letting out a furnished room in your home.

Use our affordability calculator to get an idea of how much you could borrow. This unique calculator allows you to add expected lodger income to the calculation (in the Applicant details section) and will work out the maximum amount you could borrow, assuming the rental income received would cover at least 50% of the mortgage. Please contact the team if you have questions about your specific circumstances.

Mortgages are secured against your home. You could lose your home if you do not keep up payments on your mortgage.

Here are some Frequently Asked Questions about Rent a room mortgages.