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Is this an HMO (House in Multiple Occupation)?

MarkBargain
MarkBargain Posts: 1,641 Forumite
edited 4 June 2013 at 5:50PM in House buying, renting & selling
If a 2-bedroom house is rented to a couple and their friend, does that make it an HMO with the legal requirements that brings? I ran the details through an RLA (Residential Landlord Association) wizard and it says it is not an HMO, but according to www.gov.uk/private-renting/houses-in-multiple-occupation it sounds like it is.
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Comments

  • According to Shelter that would be a HMO if the couple have one tenancy agreement and the friend has another. If they'll all part of the same tenancy agreement then it is not an HMO.
  • MarkBargain
    MarkBargain Posts: 1,641 Forumite
    According to Shelter that would be a HMO if the couple have one tenancy agreement and the friend has another. If they'll all part of the same tenancy agreement then it is not an HMO.

    Thanks, but from a quick look at the link I can't see where it states that. Everything I am reading points to it being an HMO, albeit one that doesn't need a licence as there are only two floors.
  • Thanks, but from a quick look at the link I can't see where it states that. Everything I am reading points to it being an HMO, albeit one that doesn't need a licence as there are only two floors.

    The page says:
    An HMO can be either:
    • a house split into separate bedsits
    • a shared house or shared flat, where people have separate renting agreements
    • a hostel
    • a bed-and-breakfast hotel that isn’t just for holidays
    • shared accommodation for students - although many halls of
    • residence and other types of student accommodation owned by educational establishments aren’t classed as HMOs.

    The relevant one is in bold. The previous paragraph covers the couple part:
    three or more unrelated people live there as at least 2 separate households – for example, 3 single people with their own rooms, or 2 couples each sharing a room

    A single tenancy agreement would create a single household.
  • MarkBargain
    MarkBargain Posts: 1,641 Forumite
    Thank you for that clarification, that makes sense and must have been why the RLA wizard said it's not an HMO.
  • red40
    red40 Posts: 264 Forumite
    A single tenancy agreement would create a single household.

    Its a HMO, the Housing Act 2004 doesnt make any reference to any type of tenancy agreement. It comes down to persons and household. The definition of a household is given in the above act under sec258, link is here http://www.legislation.gov.uk/ukpga/2004/34/section/258
    and unfortunately all being on one tenancy doesnt make a one household.

    HTH
  • red40 wrote: »
    Its a HMO, the Housing Act 2004 doesnt make any reference to any type of tenancy agreement. It comes down to persons and household. The definition of a household is given in the above act under sec258, link is here http://www.legislation.gov.uk/ukpga/2004/34/section/258
    and unfortunately all being on one tenancy doesnt make a one household.

    Does that mean that Shelter is wrong, or have I misinterpreted the Shelter website? If it's my mistake, sorry MarkBargain! If Shelter is wrong (can someone confirm that it reads in the way I thought it read) I'll send them an e-mail saying that it's not clear.
  • red40
    red40 Posts: 264 Forumite
    edited 4 June 2013 at 9:37PM
    Does that mean that Shelter is wrong, or have I misinterpreted the Shelter website? If it's my mistake, sorry MarkBargain! If Shelter is wrong (can someone confirm that it reads in the way I thought it read) I'll send them an e-mail saying that it's not clear.

    No citricsquid you are reading it correctly, it does make reference to seperate tenancy agreements for a shared house, which would seem to indicate that one tenancy agreement may not be a HMO, which of course is wrong if that is what they are implying as the Housing Act 2004 doesnt say that.

    I would agree if we were still using the old 85 Act as there was no definition of a household and Shelter would be correct. In that, case law (Sheffield vs Barnes) would say a shared house is one household. However the new Act now definies what a household is and gives a definitive answer to what constitutes a seperate household.
  • MarkBargain
    MarkBargain Posts: 1,641 Forumite
    It does seem to be an HMO then, so I am surprised that this told me it is not an HMO: https://www.rla.org.uk/landlord/guides/housing_act/yourproperty.shtml

    Anyway, the landlord's extra responsibilities for HMOs as per the Shelter website are:

    • proper fire safety measures are in place - there should be smoke detectors in every bedroom and in communal areas, and the kitchen must have a heat detector
    • annual gas safety checks are carried out
    • electrics are checked every 5 years
    • the property is not overcrowded
    • there are adequate cooking and washing facilities
    • communal areas and shared facilities are clean and in good repair
    • there are enough rubbish bins for everyone living in the house.
    It doesn't seem too onerous, and arguable what all landlords should ensure anyway.
  • It is how the LA interpret the legislation that matters as it's them that administer it. If inner London LAs applied the wider definition I.e. which applied to house-sharers, administering HMOs would take up all their time! So check with the LA. Wandsworth's classification does not encompass the flat I rent out to three friends (regardless of tenancy).
  • gazter
    gazter Posts: 931 Forumite
    Tenth Anniversary Combo Breaker
    Does that mean that Shelter is wrong, or have I misinterpreted the Shelter website? If it's my mistake, sorry MarkBargain! If Shelter is wrong (can someone confirm that it reads in the way I thought it read) I'll send them an e-mail saying that it's not clear.

    Shelter are a pressure group, when presented with a series of interpretations of the law, they will choose the one that mot agrees with the position they wish it to be.
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