Extra rooms 'worth £63 billion'

Homeowners could be making extra money out of their property by making a few simple renovations, it has been suggested.

According to Abbey Mortgages, 1.6 million homeowners are considering renting out a room in their property to help them through the tough economic times.

Brits could earn a total of £63.4 billion from lodgers by doing some home renovation work on their loft or a spare bedroom, the bank said.

Director of Abbey Mortgages Phil Cliff stated that landlords are currently benefiting from tax-free incentives.

"With income being squeezed in so many ways, those looking to raise some extra money may find that their spare room could provide the answer," he remarked.

Another way to add value to a home is to add an extension to the existing building.

The BBC claims that extending the amount of space in a property can be a "wise investment".