Does your HMO (House of Multiple Occupation) need a license? October 2018 We have new licensing rules. These came in October 2018. The main changes are.
- What is classed as a HMO
- And, minimum room sizes But first let's clarify what is a HMO.
HMO is where a property is rented to 3 or more individuals, who are not related. (Making up two or more households) Therefore let's say. You rent to 3 nurses… this is HMO. Or you rent to a girlfriend and boyfriend and they then move a friend in. This actually happens quite frequently…… this is also a HMO Here in Exeter we had the introduction of Article 4. And if you are renting a HMO in the Article 4 area, you didn't necessarily need a license (until it is a particular size) but you would need planning. If you think you fall into this category, review the situation and get advice. Back to the amendments to the HMO licensing rules. I licensable HMO used to be classed as a five or more non-related occupants on three or more floors. Now the story element has been removed. So for anyone who has five or more occupants in the property….. You now own a LICENSABLE HMO Currently a license costs £760. You are expected to know this and they have given no grace period for this. On average, nationwide they are expecting to have an additional 174,000 properties. Lots of money for councils all over the country These new licensing rules are going to affect a lot of properties. If you have a HMO that falls into this category. You should have submitted a license by the 1st of October last year. If you haven't you should do so now. Better late than never One other key thing is Minimum room sizes in bedrooms and communal spaces. These have now been changed. The minimum room size of bedroom size is 6.51sqm. You would need to take into consideration if you have a room in a loft space the floor space would be different if you have some areas that have a restricted height space of below 1.5m, some of these areas will be excluded The communal room sizes have also changed however this will depend on how many adults are occupying the property.It is understand that you cannot evict a tenant quickly, therefore if you are renting a room that doesn't comply you will be expected, within 18 months to end that tenancy or make the room compliant. If you have a HMO, you should have given a copy of the license to each tenant at the beginning of the tenancy. If you haven't got proof that you did, you will find it difficult to give your tenants notice. New Section 21 are to be used as from October 2018. Also remember the licenses are not transferable. So if you sell your property or if you buy one, the license is not transferable.