HMO's (Houses of Multiple Occupancy)

A niche buy to let product

Guiding You Through the Maze

On 1st October 2018, the HMO Licence Rules in England changed, and Landlords need to be aware of these changes.

There are also changes to the requirements for Licencing such properties and, in some areas, a requirement for Planning Permission where there is a change of use from a single family home to an HMO eg in areas of a high density of students.

The new rules are covered by “The Licensing of Houses in Multiple Occupation (Prescribed Description) (England) Order 2018” and replace the previous prescribed description of an HMO that requires mandatory licensing, and you should contact your Local Authority to lawfully continue renting out the property.

You should also contact your Local Authority for specific requirements for your property address such as Planning Permission.

Lenders will also require your property to be correctly registered before releasing finance.

Here is an example of how the changes would affect a property:-

UNDER THE OLD RULES – Property has 5 students living in and sharing a two storey property, owned and run by a private landlord, this would not have been a licensable house in multiple occupation (HMO) – as the property has two storeys.

UNDER THE NEW RULES – the HMO in the example above MUST now hold an HMO licence due to the storeys rule being removed.

Lenders have additional requirements on HMOs and we are experienced in finding the right Lender for you!

Extremely professional and efficient service! Thank you to Debbie and your team! She was able to overcome any problems we encountered and put us at ease throughout the whole process.
Mrs B

If you are experiencing financial difficulty and struggling to make repayments, then you can contact your lender who may be able to help taking account of your individual circumstances.

You may want to contact one of the free impartial money guidance and debt advice services such as StepChange, Citizens Advice, or Turn2Us.