Lodger (Licence) Agreement Ireland: Free Template & Guide

Last updated: June 2026 · Written by Joanne O'Connor, founder of myroom.ie

Renting out a spare room is one of the most sensible things an Irish homeowner can do right now: it eases the housing squeeze, and up to €14,000 a year of the income can be completely tax-free. But most homeowners do it on a handshake — and that's where things go wrong. This guide explains exactly what a lodger (licence) agreement is, what the law actually says, and what to put in writing. The free template at the end is yours to use.

This article is general information, not legal advice — see the disclaimer below.

What is a lodger (licence) agreement?

A lodger agreement — properly called a licence agreement — is a written arrangement between a homeowner (the licensor) and someone renting a room in the home the owner lives in (the licensee).

The legal distinction matters enormously. When you rent a room in your own home and continue to live there, the person renting from you is not a tenant. As Citizens Information explains, they live there with your consent under a licence, and residential tenancies legislation does not apply to the arrangement. Threshold describes this as “digs-style” accommodation — you're sharing your home, not handing over exclusive possession of a property.

That single distinction changes almost everything: registration, notice, deposits, rent rules, and how disputes get resolved.

Licensee vs tenant: what's actually different

The honest summary: a licence gives the homeowner flexibility and the lodger fewer protections. That's exactly why a written agreement matters — it fills the gap the law leaves open, fairly, for both sides.

What to include in a lodger agreement, clause by clause

Our free template covers all of these. Here's why each one earns its place:

1. The parties. Full names of the homeowner (licensor) and lodger (licensee), and the property address. State plainly that the owner lives at the property — that fact is what makes this a licence.
2. The room and shared areas. Which room the lodger has, and which areas they share (kitchen, bathroom, living room). Crucially, note that the homeowner retains access to the whole home — the lodger does not have exclusive possession. This is the heart of the licence/tenancy distinction.
3. Licence fee and payment. The weekly or monthly amount, the due date, and how it's paid. Use “licence fee” rather than “rent” for clarity. Bank transfer beats cash — it creates a record automatically.
4. What's included. Bills (electricity, gas, broadband), and any extras like meals or laundry. If bills are extra, say how they're split. Remember: anything the lodger pays you — including bill contributions and meals — counts towards the €14,000 rent-a-room limit.
5. Deposit. The amount (typically 2–4 weeks' fee), what it covers, and when and how it's returned. More on this below.
6. Notice. How much notice either side gives to end the arrangement. There's no statutory minimum, so whatever you write here is what applies — see the notice section below.
7. House rules. Guests, smoking, quiet hours, cleaning, pets. Put them in the agreement, not in a passive-aggressive note on the fridge six weeks in.
8. Start date and signatures. Both parties sign and date, and each keeps a copy.

Deposit best practice

There's no deposit protection scheme for licensees in Ireland, and the RTB can't help with licence disputes — so the written agreement is the deposit's only real protection. Best practice:

• Keep it proportionate — two to four weeks' licence fee is the norm.
• Put the terms in writing: what it covers (unpaid fees, damage beyond normal wear and tear), and that it's returned within a set period (e.g. 7 days) after the lodger leaves.
• Pay and return by bank transfer so there's a record, and give a receipt.
• Do a quick condition note — a few photos of the room on day one, shared with the lodger, prevents 90% of arguments later.

If a deposit is unfairly withheld, the lodger's route is the Small Claims procedure through the District Court. Threshold confirms this typically costs about €25 to lodge, and Citizens Information notes it's the appropriate channel for licensee deposit disputes.

Notice: what's fair, and what's required

Legally, very little is required. A homeowner can end a licence arrangement at any time with “reasonable notice” — and there is no statutory definition of reasonable, and no minimum notice periods apply to licences.

In practice, the widely used convention is 2–4 weeks' notice on each side — enough time for a lodger to find somewhere new, and for a homeowner to find a replacement. To be clear: that's convention, not law. Whatever notice period you write into the agreement becomes the standard both of you have committed to, which is far better than arguing about what “reasonable” means during a falling-out. Longer arrangements deserve longer notice — if someone has lived with you for two years, a week's notice isn't reasonable by anyone's measure.

How this works with rent-a-room relief

This is the part homeowners love. Under Revenue's rent-a-room relief, if your gross income from renting a room in your sole or main residence is €14,000 or less in the tax year, it's exempt from income tax, PRSI and USC. Key points:

• The €14,000 is a cliff edge, not an allowance: go even €1 over and the entire amount becomes taxable.
• “Gross income” includes everything the lodger pays you — licence fee, bills contributions, food, laundry.
• You still need to declare the exempt income on your tax return (Form 11 or 12).
• The relief doesn't apply if you're renting to your own child, or to short-term/holiday stays.

A lodger arrangement under a licence agreement is the classic rent-a-room setup: the two are made for each other.

Common mistakes to avoid

• No written agreement at all. The most common mistake, and the most avoidable. A handshake protects nobody.
• Calling it a licence when it isn't. If you don't actually live in the property, it's almost certainly a tenancy — with RTB registration, rent controls and notice rules. The substance governs, not the label.
• Forgetting that bills count towards €14,000. A €260/week room plus €50/week bills sails past the limit — and the whole lot becomes taxable.
• Not declaring the exempt income. Tax-free still means you must file. It's a tick-box exercise — do it.
• Vague deposit terms. “I'll sort you out when you leave” is how Small Claims cases start.
• Skipping the condition photos. Two minutes on day one saves weeks of dispute later.
• No notice period in the agreement. “Reasonable notice” is a recipe for disagreement; a written 2–4 weeks is not.

FAQs

Is a lodger agreement legally binding in Ireland?

Yes — it's a contract, and ordinary contract law applies. It isn't governed by the Residential Tenancies Act (which is the point), but the terms you both sign — licence fee, deposit, notice — are enforceable between you, and a court (such as the Small Claims procedure for deposits) can rely on it. It's also the clearest evidence of what was agreed if anything is ever disputed.

Can I evict a licensee / lodger?

You don't “evict” a licensee in the formal legal sense — eviction procedures under tenancy law don't apply. You end the licence by giving reasonable notice, as set out by Citizens Information. There's no statutory minimum, but follow whatever notice period your agreement specifies, and be fair: 2–4 weeks is the accepted convention. Handle it in writing, calmly, and return the deposit promptly.

Do I need to register with the RTB?

No. Tenancies in a dwelling where the landlord also resides are exempt from RTB registration. No registration, no annual renewal, no RTB fees. (If you move out and the arrangement continues, that exemption disappears — register at that point.)

Do the March 2026 rent control changes apply to lodgers?

No. From 1 March 2026, Ireland replaced Rent Pressure Zones with a national rent control system — rent increases capped at 2% or inflation, and six-year minimum tenancy cycles for new tenancies. Those rules apply to tenancies under the Residential Tenancies Act. Licence arrangements in your own home sit outside that Act entirely, so neither the rent caps nor the security-of-tenure rules apply. You can agree whatever fee the market — and fairness — supports.

What happens if there's a dispute over the deposit?

Licensees can't bring a case to the RTB. The route is the Small Claims procedure in the District Court — Threshold confirms it costs around €25 and covers unfairly withheld deposits. A signed agreement and day-one photos make these cases short.

Does my lodger have any rights at all?

Yes — fewer than a tenant, but not none. A licensee is entitled to reasonable notice, the return of their deposit, and the ordinary protections of contract and consumer law. Citizens Information sets out the position in full. A good homeowner treats the written agreement as the floor, not the ceiling.

Download the free template

We've put everything above into a plain-English, fill-in-the-blanks lodger (licence) agreement template — parties, room, licence fee, what's included, deposit, notice, house rules and signatures. It's free, with no email address required.

Looking for a lodger to put it to use with? List your room free on myroom.ie — it takes about five minutes.

Disclaimer

This guide and the accompanying template are provided as general information only and do not constitute legal advice. Every situation is different, and the law changes. For advice on your specific circumstances, consult a solicitor, or contact Threshold, Citizens Information or Revenue directly. myroom.ie accepts no liability for any loss arising from reliance on this content.

Sources: Citizens Information — Sharing accommodation with your landlord · Citizens Information — Renting out a room in your home · Citizens Information — Changes to renting rules from March 2026 · RTB — Who should register · RTB — Rental law changes from 1 March 2026 · Revenue — Rent-a-Room Relief · Threshold — What is a licensee? · Threshold — Getting your deposit back