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Originally Posted On: https://www.leisurebuildings.com/top-buying-tips/can-i-rent-out-my-garden-office-uk/
Can I Rent Out my Garden Office in the UK?
Renting out a garden office is possible, but you’ll need to ensure you comply with certain legal obligations and regulations first.
A garden office can be a great investment in more ways than one. For one thing, if you’re one of the many people across the UK who are working from home, then having a dedicated workspace away from the main house can help boost your productivity—and thus your earning power—significantly.
And there’s another way that garden rooms can help your financial situation, too. Sometimes, renting out a garden office or room to people looking for accommodation is possible. In this post, we’ll run through everything you need to know about renting a garden room, including the benefits, how much you can expect to earn, and what you’ll need to do to ensure that you offer an excellent experience to your guests — and that you’re fully compliant with your legal responsibilities. Let’s take a look.
Why Rent Out Your Garden Office?
Most people don’t add a garden office to their property just to rent it out to people. Still, there are plenty of good reasons to do so, especially during a cost-of-living crisis when everyone is looking for additional ways to pad their bank accounts. Some of the main reasons people rent out garden offices include:
It Can Provide an Income
This is the most apparent benefit. If you live in a tourist-friendly part of the UK, renting out a garden room can provide a significant source of income. While it’s unlikely that the money you’ll earn will be enough to replace a full-time salary, it can undoubtedly bring in enough cash to have a noticeable impact on your financial situation. If you already have a garden room and don’t need to use it as an office every day, renting it out allows you to maximise the potential of the space.
It Can Pay For Property Upkeep Costs
If you’re a property owner, you’ll already know how expensive staying on top of all those expenses can be. Offering your garden room as a space for tourists to sleep when visiting your corner of the UK can help mitigate the cost of property upkeep. Suppose you’re considering adding a garden office to your home. In that case, the potential to rent it out can help to repay the initial investment you have to make for the manufacture and installation of the room.
You Can Meet New People
The financial benefits are just one of the advantages of renting a garden room. If you’re a people person who loves visiting people from other parts of the world, then renting out your space makes perfect sense. You’ll have a steady influx of travellers right on your property. You never know which type of fascinating people you might encounter!
A Realistic Look at the Earning Potential of a Garden Room
Renting out your garden room will take work, but if done correctly, you should see that it adds a valuable revenue stream. But how much exactly should you expect to earn? There’s no set answer to this since how much you can charge per night will depend on various factors, including the demand for accommodation in your area and the level of comfort you can offer. Most people should be able to charge around £40 – £140 per night, though you can get a better sense of how much to charge by looking at similar listings in your area. Checking Airbnb and other home-listing websites is recommended.
It’s essential to be realistic when calculating the earning potential of your garden office. Even if you can charge £100 per night, it’s unlikely that you’ll always be fully booked. Most people rent out their garden rooms occasionally—think a few bookings per month rather than per week.
What To Know About Renting Out Garden Offices
First thing first: if you were planning to simply put a blow-up bed in your garden office and list it on Airbnb, think again—that would fall foul of your legal requirements. You don’t need planning permission to have a garden office, but rules come into play when using it as a rental property.
You’ll Need Planning Permission
You’ll need planning permission if you’re looking to rent out your garden office. You don’t need planning permission if the building isn’t used as a self-contained living accommodation, which is fine. You’re just working from the room, but as soon as someone’s spending the night in it, your space will be a self-contained living accommodation. You’ll need to apply for planning permission from your local council — you can do this before you add your garden room if you plan on renting it out, or you can apply once the room is in place. Note that if planning permission is denied, then you won’t be able to rent out your garden office.
It’ll Have to Comply With Regulations
Even if the council grants planning permission, you’ll still need to take a few steps to ensure that it meets the regulations that apply to rentable properties. These are designed to keep guests safe and to ensure the space meets a minimum level of comfort. These can include:
Providing an adequate sleeping space.
Be sufficiently insulated for year-round comfort.
Installation of smoke and carbon monoxide detectors.
A bathroom with up-to-date plumbing.
A kitchen with wiring and plumbing.
If you initially set out to make your garden room an office, you’ll probably need to add some or all of these things. You’ll need to add them before renting out the space, which may require significant investment.
There May Be Tax Obligations
Depending on how much you earn from your garden office rental, you may have tax obligations. You can earn up to £7,500 tax-free (which changes most years), but once you go above that amount, you must declare it to HMRC and pay tax.
There May Be Other Expenses
Other expenses you may be responsible for include insurance, marketing your rental, maintenance, and cleaning. It’s recommended that you look into the costs of these factors before you decide to rent out your garden office to ensure that it’ll be worth the time and effort.
Energy Efficient Fully Insulated Garden Rooms
Renting Our Garden Rooms: Is It Worth It?
It’s easy to be drawn to the earning potential of renting your garden room, but it’s important to think logically before you make your decision. There are pros and cons to renting out your garden office, and it could be a faster track to significant profits. Many people do find that it’s worth it, but before you make your decision, consider the following factors:
Do You Need the Office?
You can’t have guests and use the room as an office. If you’re no longer working from home or don’t rely on the garden room for work purposes, having guests use it should be fine. However, if having no access to your garden office will impact your professional life, think again.
Do You Live In a Desirable Area?
There are plenty of fantastic tourist destinations in the UK, but unfortunately, not every corner of the country is well-visited. If demand for accommodation in your area is low, then there may be sufficient interest in renting your space to make the effort worthwhile.
Even areas not part of the typical tourist trail can still attract visitors if you think something may appeal to visitors. For instance, if you live in a rural area, you may attract city-dwellers looking for a calm retreat in nature.
Can You Manage the Let?
Renting out a garden office can be profitable, but it takes work. You’ll need to ensure that you have adequate time and energy to dedicate to running the garden room. This includes greeting guests and investing in marketing and maintenance.
You may be able to outsource these responsibilities to a professional company but remember that doing so will reduce your profits.
Weighing Up the Cost v Income
Unless you’ve already used your garden office for accommodation, you’ll likely need to invest money to bring it up to standard, such as creating a sleeping area, insulating the room, etc. It’s recommended to weigh the amount of money you’ll need to invest against the amount you can realistically expect to earn, then calculate whether it’s worth the effort. It might not be worth your time if you’ll only gain a few hundred pounds yearly once all your expenses have been factored in. However, note that your upfront investment may repay itself long-term if you rent out the space for many years.
Factory Painted Garden Offices
Sadolin ‘Blue Grey’ Wood Stain Sadolin ‘Hidcote Green’ Stain Sadolin ‘Polynedia White’ Paint Sadolin ‘White’ Wood Stain Please note that all colour shown are indicative only and will vary depending upon the light on the day the photo was taken. Additionally all screens will display the image differently. If exact colour is essential then please order a sample pot.
How to Maximise Profits From Renting Your Garden Room
If you’ve decided that renting out your garden office makes sense, it’ll be in your interest to maximise its earning potential. While there’s probably an upper limit on how much you can earn from renting a garden room, there are things you can do that’ll help to maximise your profits.
The most influential factor will be your property’s location. And that is a blessing or a curse, depending on where you live. If you’re in a tourist hot-spot zone, then the location will work in your favour; if you don’t, then you’ll need to put in additional work to attract guests.
But beyond the location, most other things are within your control. Let’s look at some of the most effective ways to generate as much profit as possible from your garden office rental.
Prioritise Space and Amenities
When creating a rental space, consider what you would be willing to pay more for when travelling. Basic spaces may receive guests, but they won’t be willing to pay top-dollar prices unless it’s an exceptional location. Modern guests like to have as much space and amenities as possible, so consider incorporating both into your rental. For example, could you include high-speed WiFi, a smart television, and other technological features?
Invest in Marketing
You can only expect guests to book your rental if they know it exists. Marketing your rental can take many forms, but at the bare minimum, you’ll need to list it on popular booking sites such as Booking.com and Airbnb. Suppose you’re willing to spend money to market your rental. In that case, consider creating a website, running a ‘Google Business’ page, and investing in digital marketing strategies, such as inbound and outbound marketing. You can do all of these things yourself, though hiring a professional to do the job for you may be more effective.
Ongoing Maintenance and Improvements
Actively managing your garden rental will make it continuously appealing to travellers. This can involve investing in ongoing maintenance to mitigate any signs of wear and tear and making any improvements that make the rental more desirable. For instance, once you’ve established demand for your rental, consider upgrading to more comfortable bedding.
Find the Right Pricing Strategy
Correctly pricing your rental is vital to maximising profits. Most people find that seasonal pricing, which lowers prices during low periods before raising them during the peak season, is more effective than setting prices year-round.
The Bottom Line on Renting Garden Offices
We’ve seen that renting garden offices can be profitable, but it’s far from a slam-dunk. You’ll need to dedicate significant time, energy, and money to make it work. If you see a path towards success, then it can be worthwhile transforming your garden office into a rental space, especially if you live in an area that attracts visitors or you have a unique value proposition. Ensure you fully comply with legal responsibilities and regulations before getting started.
If you’re interested in adding a garden room to your property, check out our collection of garden rooms and offices.
