Non HMO house

Old_Git

I have been asked by an employer to let a house to his employees .
The house is a three bedroom house ,non HMO .

How should I approach this .Should the employer be the tenant .

theartfullodger

I got asked similar last week - and said no...

It is likely employer (ltd company??) wants to be tenant & wants to be able to put who it likes in.

HMO status depends on who is in the place, not how many bedrooms. Does your local council have selective licensing?? If not as not 3 stories it should not need a licence.

assuming company is tenant...

a) Only proceed with a good, non-AST tenancy allowing you to easily boot them(**) out of problems. Letting to not-humans means it cannot be, may not be, an AST. So no s8, no s21..
b) And limit number of occupants & permit yourself inspection rights frequently: It is not unknown for such arrangements to end up packed with bunk-beds...
c) As presumably workpeople away from home (? Mon-Fri?) the place will not be their permanent residence so defo not HMO territory. Council may not agree. If in E or W the employer would need a HMO license if relevant, not you (in Scotland it is owner..)
c) I would only proceed with a personal guarantee from a credit-checked director of the company.

** Them: Ah. You'd have to evict your tenant (the company). Having done so you'd then need to evict occupants (as s18 HA 1988 says if they had an AST with employer they have, after eviction of employer, an AST with you...)
http://www.legislation.gov.uk/ukpga/1988/50/section/18
so then s21 etc etc...