Houses in Multiple Occupation

The Environmental Protection Team has a general responsibility for dealing with this type of accommodation. A House in Multiple Occupation (HMO) is defined as 'a house or flat occupied by persons who do not form a single household'. The definition would include houses such as bedsits, shared houses, staff accommodation, self contained flats with a communal entrance.

The Council is responsible for ensuring that HMOs are safe and satisfactory. Issues dealt with would include: unfitness and disrepair, lack of amenities (baths/showers, kitchens, WCs), lack of fire precautions, dirty and unsafe conditions, overcrowding, poor management.

Occupants of HMOs have a right to expect their home to be safe, well managed and to reach appropriate standards. Tenants should not hesitate to contact us if they need advice or problems they need to report. Please contact the Private Sector Housing Team on 01789 260848, or by emailing housing@stratford-dc.gov.uk.

Please note: Much of the legislation concerning this area, including the definition of multiple occupation is to be significantly altered by the Housing Act 2004, once its various provisions come into effect in the course of 2005. However, the above information remains correct at the present time.

For further information please contact Environmental Protection Team on 01789 260835 or by email at envhealth@stratford-dc.gov.uk.

FAQs

Q How do I know if I need a licence?

A If you can answer 'yes' to the following questions you may need a licence:

• Do you rent out property?
• Does your property have three or more storeys (including habitable attics or basements)?
• Does your property have five or more unrelated tenants?
• Any of your tenants unrelated to each other?

Q What is an HMO?

A Under the changes in the Housing Act 2004, if you let a property which is one of the following types it is a House in Multiple Occupation:

• relatives living together, including parents, grandparents, children (and step children), grandchildren, brothers, sisters, uncles, aunts, nephews, nieces or cousins
• half-relatives will be treated as full relatives. A foster child living with his/her foster parent is treated as living in the same household as his/her foster parent.

Any domestic staff are also included in the household if they are living rent-free in accommodation provided by the person for whom they are working.

Therefore, three frieds sharing together are considered three households. If a couple are sharing with a third person that would consist of two households. If a family rents a property that is a single household. If that family had an au-pair to look after their children that person would be included in their household.

Q Which HMOs need a licence?

A Under the national mandatory licensing scheme an HMO must be licensed if it is a building consisting of three or more storeys and is occupied by five or more tenants in two or more households.

Q How do I work out how many storeys there are?

A When counting the number of storeys in the building you need to include:

• basements and attics if they are occupied or have been converted for occupation by residents or if they are in use in connection with the occupation of the HMO by residents
• any storeys which are occupied by you and your family if you are a resident landlord
• all the storeys in residential occupation, even if they are self-contained
• any business premises or storage space on the ground floor or any upper floor. You do not need to count basements used for business or storage unless the basement is the only, or principal, entrance to the HMO from the street.

You should seek advice about whether or not mezzanine floors should be included as separate floors in an HMO depending on their location and use.

Q Are there any exceptions to the definition of HMOs?

A Certain types of properties are not classed as HMOs for the purpose of the Housing Act 2004 (other than for the Housing Health and Safety Rating system) and, as a result, are not subject to licensing. These include:

• two person flat share; a property, or part of a property, lived in by no more than two 'households' each of which consists of just one person
• a property where the landlord and his household are resident with up to 2 tenants
• buildings occupied entirely by freeholders or long leaseholders
• buildings managed or controlled by a public body (such as the police or the NHS), a local housing authority or a registered social landlord
• a building where the residential is ancillary to the main use of the building, for example, religious buildings, conference centres etc
• buildings which are already regulated (and where the description of the building is specified in regulations), such as care homes, bail hostels, etc. (However, domestic refuges are not exempt).

Purpose built blocks of flats are not HMOs. However, if any of the individual flats are shared by more than 2 tenants in two or more households they will be HMOs. Houses which are converted entirely into self-contained flats will only be HMOs if the conversion did not meet the standard of the 1991 Building Regulations and mroe than one-third of the flats are let out on short term tenancies.

Q My property is used mainly for other residential purposes. I only let a part of it to tenants. Is it an HMO and do I have to get a licence?

A If a property is partly lived in by tenants as their main residence, but is also used for other purposes, the local housing authority may class the building as an HMO if it is satisfied that the more permanent residents are making significant use of the building. Examples of this would include:

• a Bed and Breakfast providing accommodation for homeless people as well as a place to stay for short-term guests
• a house that is used in the summer for holiday lets but is let to tenants out of season

If the local housing authority classes your property as an HMO, then if it meets the criteria for licensing you will have to apply for a licence. You have the right to appeal against the local housing authority's decision to classify the property as an HMO.

Q Will a property in which a landlord lives with other occupants be classified as an HMO?

A If a landlord lives in his property with only 2 other occupants, the property will not be classified as an HMO. However, if the landlord has 3 or more other occupants living in their property, that property becomes an HMO. For these purposes the resident landlord and his family will count as one person.

Mandatory licencing will only apply if the property is three or more storeys and occupied by four or more persons in addition to the resident landlord and members of his household. This is because the landlord and his family will be counted as one person and will bring the number of occupants in the property to 5.

Q What about HMOs which do not meet the criteria for mandatory licensing?

A Local authorities have discretionary powers to extend licensing to other categories of HMO which are not subject to mandatory licensing if these HMOs are problematic. This scheme is known as additional HMO licensing scheme. In order to use the discretionary power, a local authority must consider that a significant proportion of HMOs in their area are giving rise to problems for tenants or the neighbourhood from poor management. The use of the power will also be subject to consultation and approval from the Secretary of State.

Q Are there any other controls that could be applied to other privately rented properties?

A Local authorities will be able to licence other rented properties in designated areas where there is a particular problem, for example, low demand areas or other areas with significant anti-social behaviour. This type of licensing regime is called Selective Licensing.

Landlords whose properties are required to be licensed under the selective licensing scheme, but do not have a licence, will be committing an offence and subject to fines of upto £20,000. Landlords will have to be "fit and proper" persons and will also need to show that suitable management arrangements are in place before they could be granted licences.

Local authorities can alos place conditions on a licence. Certain conditions must be included. Importantly they must impose a condition on a landlord to seek references from prospective tenants.