Letting
What is a House in Multiple Occupation (HMO)?
Under the Housing Act 2004 if a property is let and is one of the following types it is a House in Multiple Occupation:
- An entire property, with three or more tenants who form two or more households and who share a kitchen, bathroom or toilet
- A property that has been converted entirely into bedsits or other non-self-contained accommodation and which is let to three or more tenants who form two or more households and who share kitchen, bathroom or toilet facilities
- A converted house which contains one or more flats which are not wholly self-contained and which is occupied by three or more tenants who form two or more households
- A building which is converted entirely into self-contained flats if the conversion did not meet the standards of the 1991 Building Regulations and more than one-third of the flats are let on short-term tenancies
- Must be used as the tenants only or main residence and it should be used solely or mainly to house tenants. Properties let to students and migrant workers will be treated as their only or main residence and the same will apply to properties used as domestic refuges
If the property is an HMO then it must be licensed – if it is not then the landlord will face a fine of up to £20,000.00 as well as having to repay any rent for the previous 12 month period and will also not be able to evict tenants
A license will only be granted if the local housing authority is satisfied about the following things:
- That the proposed license holder is a fit and proper person
- That the proposed license holder is the most appropriate person to hold the license
- That proper management standards are being applied at the property
- That the HMO is reasonably suitable or can be made suitable, for the occupation by the number of tenants allowed under the licence with at least the minimum prescribed standards of amenities and facilities
Other frequently asked questions
- I live in and own my house. I want to buy another house and let out this one. What should I do? You will in all likelihood need to remortgage your existing house – most mortgages prohibit ...
- My tenants are refusing to pay their rent. What should I do? We suggest you consult a solicitor experienced in landlord or tenant law as soon as ...
- Should I try and let my house through a lettings agent or privately? Both have advantages and disadvantages Lettings agent:Can be member of an industry regulatory body – ...
- Do I need to tell my mortgage lender if I am letting my house out? Almost definitely yes – most mortgages have strict conditions stating that the house cannot be ...
- I am letting my flat out. Do I need to tell the landlord? Very much dependent on the terms of the lease – some will have a requirement ...
- My leasehold flat is starting to develop some structural problems. Can I make the landlord pay for it? Depends on:1) Location of damage2) Cause of damage3) Type of damage Remember that the landlord paying for ...
- The hallway in my building is really dirty and in a bad state of repair. What do I do? The terms of your lease will state that your landlord has a responsibility to maintain ...
- I own a leasehold flat and have just received a massive repair bill from the landlord. What can I do? Depends – the landlord is entitled to charge you for work that has been done ...
