What is an HMO?
A house in multiple occupation (HMO) is a building, or part of a building, shared by multiple tenants from different households. Occupants usually share facilities like bathrooms or kitchens. For example:
- Shared houses: These are typical houses or apartments where each tenant has a private bedroom while sharing communal areas like the kitchen and living room.
- Student accommodation: Many student residences fall under the category of HMOs. Students have their own rooms but share common spaces.
- Lodging houses: In some cases, homeowners rent out rooms within their own homes to unrelated individuals. If certain criteria are met, these homes can also be classified as HMOs.
- Hostels: Properties offering short-term accommodation with shared facilities can also be considered HMOs.
- A house with self-contained flats where less than two-thirds of the flats are owner-occupied also counts as an HMO.
HMOs require specific licences to ensure your property remains compliant and your tenants have safe homes to live in. They are classed as “higher risk” than an average family home due to the living arrangements.
Types of licences
As a landlord, you may need to obtain one of three types of HMO licences:
- Mandatory HMO Licensing
- Additional HMO Licensing
- Selective Licensing
Each licence type serves a distinct purpose, and it’s important you determine which one you need for your property. Failure to licence a property is a criminal offence.
Mandatory HMO licensing
Mandatory HMO licensing applies when your property meets specific criteria. Your property must be occupied by five or more people from at least two separate households. There are three tests used to determine if your property requires a licence. They are:
- The Standard Test
- The Self-Contained Test
- The Converted Building Test
For detailed information on these tests, please refer to “Houses in multiple occupation and residential property licensing reform: guidance for local housing authorities.”
Additional HMO licensing
The second type of licensing is ‘Additional HMO licensing’. In short, local authorities can introduce Additional Licensing for HMOs not covered by the national mandatory scheme if they feel it will benefit the local area.
Selective licensing
The final type of HMO licensing is ‘Selective Licensing’. This gives local authorities the power to enforce licensing schemes that cover all privately rented houses within a specific area. They have the power to inspect properties and enforce specific property standards.
Again, the aim is to maintain housing quality and address any local property issues.
Landlord to-do list:
In all three licence types, your responsibilities are similar:
- Review the provided guidance to determine if your property falls under mandatory HMO licensing. If it does, contact your local authority to begin the licensing process.
- You should also ask your local authority to see if your property or area falls under any other licence types.
- Once you have your licence, make sure you stay compliant with HMO Management Regulations.
If you’re unsure whether your property needs a licence, contact us.
Further HMO guidance
If you need further support with your HMO or converting a property into an HMO, contact Safe Suffolk Renters, and we’ll be able to help you.
Alternatively, you can view East Suffolk Council handbook for landlords on HMOs and West Suffolk Council handbook for landlords on HMOs. Inside, there’s guidance for fire safety, space standards, electrical safety, building control and more.
