Licence agreements to occupy residential property

Provided that the circumstances are suitable for use, residential licences to occupy give both landlord and tenant much greater flexibility over the terms of occupation. This section includes a licence to use a garage as well as the more commonly used lodger agreements.


    Lodger agreement: licence to rent a room

    33 Reviews

    Use this agreement to rent a spare bedroom in your home to one or more people.

    It creates a licence to use the property, with far fewer legal requirements for the landlord than a lease or a tenancy agreement.

    It is suitable for both flats and houses, and can be used to let more than one room in the same property. You can reuse it for subsequent lodgers.

    You can also use this agreement to sublet a room in a property you rent, provided there is nothing in your own tenancy agreement that prevents it. It remains essential that you yourself continue to occupy the property as your home too.

    Service occupancy agreement

    16 Reviews

    This service occupancy agreement grants a licence to occupy to an employee living in accommodation (from a single room to a whole property) provided by the employer for the better performance of their work duties. The agreement has been written to exclude security of tenure and provide for full protection of employers rights.

    Parking space agreement

    1 Review

    This is a licence agreement for a situation where the owner is not really an owner at all, but a licensee with a right to use the specific space, likely to be associated with his flat or property.

    Even if you own the freehold of your property, you may still have only a licence for your car parking space, or maybe simply have a right to park one vehicle on any available space within a certain area.

    This document allows that licensee to sub-license his space.

    The licence is best drawn for a very short period until terminated by the property owner (in other words, on a rolling basis). If you draw it for a fixed term you could accidentally create a tenancy, not a licence, and have difficulties removing your tenant. A fixed term is one of the defining characteristics of a tenancy.

    This is a simple agreement with a menu to choose from of “do’ s and don’ts” for the licensee. There is of course a requirement for your licensee to comply with the terms of your own licence.

    If you are licensing a space you yourself own, use Licence agreement for a car parking space.

    Licence agreement for a car parking space

    4 Reviews

    This is an agreement to let a piece of land (such as part of your driveway) to an individual to park his or her car on it.

    Since the use is personal, not business, the arrangement does not fall under the Landlord and Tenant Act 1954, and you can use a licence agreement rather than a lease.

    The main benefit to the property owner of using a licence is that the licensee can be removed very easily, with no notice - unless you have contracted to license use for a specified period.

    This is a simple agreement with a menu of “dos and don’ts” for the licensee. It is suitable for use for any car parking space.

    Note: if you let the space to the occupier’s employer or to any company, then they are using it for a business purpose and could become a protected tenant. To avoid this issue, either make sure your licensee is an individual or use a proper business lease.

    If you are sublicensing a space you yourself occupy as a licensee, use Parking Space Agreement.

    Licence agreement: letting private garage

    15 Reviews

    This is a letting agreement for renting a garage, a lock-up, or any other small building (such as a shed or a greenhouse) or piece of open land for non-business use for a short term of up to 3 years.

    The agreement protects the interest of the landlord foremost, but allows room for the provisions to be changed if the tenant negotiates different terms.

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