If you’re renting a property then there’s a high chance that you might be renting it with other people. This is a great idea and has many benefits. In this blog, we’re letting you know how to work out bills in a house share.
Becoming a tenant for the first time can be daunting, as you’ll have increased responsibilities when it comes to bills and other elements. When you rent a property through us, we will remain on hand to answer any queries and support you during your tenancy period.
It is absolutely vital that you consider all costs of renting and speak to your house mates about the bill sharing process you will use. Read our blog on how to find the right housemate.
What bills will I need to consider?
The exact list of bills you will have will depend on your circumstances and the property you are renting. For example, some properties may come with some bills included in the costs. It’s important that you look into what’s included before you sign the tenancy agreement.
- Rent
- Gas and electricity bills
- Water bills
- Council tax
- WiFi bill
- TV licence fee
As the tenant, you are legally responsible to pay these bills and any others that apply to the property. Your letting agent will only take care of rent collection and won’t typically be responsible for organising the other payments for utility bills.
How to work out rent and bills in a house share
When you rent a property as a tenant, your rent will usually be payable monthly. By signing the tenancy agreement, you agree to pay the rental costs each month, on time. Failing to do so could result in legal action being taken. The rent is likely to be collected by your letting agent and is then passed on to the landlord.
When it comes to bills, any legal action will be initiated by the party requesting the money.
There are two main ways that you might choose to work out your rental costs and bills in a house share.
Split the costs equally of all the bills
This is usually one of the most common ways to split rent and bills. It means that you take the cost of all bills and split it between the number of tenants in your property. People tend to favour this method as it is easy to work out, but it is not always the most fair way to decide on bills.
Split the bills based on usage or amenities
Often in rental properties, one room may be bigger than another, or there might only be one parking space. This means that one person may end up ‘better off’ than someone else. Some flatmates decide to share the rental costs out based on the amenities each person has access to.
For bills, it might be that one person works from home and therefore may use more electricity. This can be a tricky way of working things out, but it does work for some people.
Tips for splitting and sorting bills in a house share
- Nominate one person to deal with all payments for household bills (another person could be responsible for other tasks, such as bin collection day)
- Talk to your house mates before you move into a shared rental property
- Be open and communicate if you believe changes may be necessary to the process you use to pay bills
- Consider using a bill splitting app for household expenses
- Consider creating a spreadsheet containing monthly outgoings & create one for your own personal bills to make bill paying easier.
Some people may consider opening a joint bank account with others in the shared house, however you should be careful about this as there are risks involved.
Sharing a house with others can be great as it helps you save money and reduces the risks of loneliness compared to someone who lives alone.
We hope this blog has been helpful regarding splitting bills in a shared house. Are you looking for your next rental property? Contact us today to see how we can help.
