SERVICES
Background and Overview
From the 1st of December 2023, social housing tenants can rent a room in their home to a third-level student. This is known as the Room for a Student Local Authority Tenancies Scheme. The scheme permits social housing tenants to ‘let’ a room or rooms in their homes to third-level students with the prior permission of the local authority, as the landlord.
Extending the benefits of the tax relief available under Revenue’s Rent-a-Room Relief Scheme to social housing tenants permits tenants to ‘let’ a room or rooms in their homes to third-level students on a temporary basis. Rooms may be let by way of licence agreement between the tenant (the licensor) and the student (the licensee).
Following an approved application, the Tenant may let the relevant room through a licence agreement for the duration of the student’s academic year. Any additional income the local authority tenant receives through the scheme is reckonable for their differential rent calculation to the local authority.
How the Scheme Works
If a tenant wants to rent a room to a student in their local authority home to a third-level student, there are certain steps they to follow:
- The local authority tenant must advertise the room they want to rent. The local authority tenant can advertise the room on student accommodation websites, college and university websites and in other media.
- The student must view the room before agreeing to rent it. The local authority tenant and the student must agree that the accommodation and renting arrangements suit both parties.
- The local authority tenant and the student must both apply to the local authority where the property is located to take part in the scheme.
- If the application is successful, the student can rent the room for the academic year. At the end of the academic year, the student should leave the property. If the local authority tenant and the student want to continue the arrangement for the next academic year, they must get the local authority’s consent.