Not necessarily. Where the homeowner continues to live in the property and the renter shares the home with them, the arrangement will commonly be a licence rather than a tenancy.
The RTB identifies sharing a house with the owner as an example of a licence. A licence essentially gives a person permission to occupy or use the property, but it does not necessarily provide the same legal rights associated with a residential tenancy. The RTB also makes clear that simply describing an agreement as a licence is not enough; its actual terms and substance will determine its legal character.
Citizens Information explains that someone renting a room in their landlord’s home generally does not receive the normal protections available under residential tenancy legislation. The arrangement is not normally registered with the RTB and the renter cannot usually use the RTB dispute-resolution process.
That does not mean a room renter has no rights.
The agreement between the homeowner and renter becomes particularly important. Matters such as payment, deposits, notice, utilities, visitors and access to the bedroom should therefore be agreed in writing before the person moves in.
This should also be distinguished from renting a genuinely self-contained apartment attached to a homeowner’s property. Different rules can apply in that situation, so the reality of the accommodation matters.
A SigSwift Rent A Room Licence Agreement is intended for genuine owner-occupied arrangements where the homeowner and renter share the home. It can record the terms agreed between both parties so that the renter knows the rules before paying a deposit or moving in.
Understanding whether an arrangement is a licence or tenancy is important because the legal protections can be substantially different. A renter should not assume that paying a monthly amount automatically creates an ordinary residential tenancy.
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