Unlicensed HMO

alexandra89

Hello all,
I have had a visit from the council this morning in the house where I rent a room. Upon moving here 2 years ago I wasn’t given a contract and the person I rented from said they live on property only to find out later that each room is individually rented out and the house is managed as a business. This did not bother me (given how little I knew about my rights and obligations as a tenant) as the location of the house was great for me and I didn’t want to move again. Fast forward to today, council came and inspected the property, took statements for us all, pictures, etc etc. They explained there are a few things wrong with the property (not enough fire detectors, stairwell not fire proof, etc etc) and said they will discuss the matter with the landlord. I am now unsure what can happen next? Can we be evicted soon? Will I be given any fines? Does the council usually repossess properties in this cases? So many questions! Any clarification in regards to what’s next in my case would be so helpful! Thanks.  

Before entering the house I was told they are here because our license needs renewel but while inspecting the property they told another person in the house that the house is not legal at all? So confusing. 

saajan_12

alexandra89 said:

Hello all,
I have had a visit from the council this morning in the house where I rent a room. Upon moving here 2 years ago I wasn’t given a contract and the person I rented from said they live on property only to find out later that each room is individually rented out and the house is managed as a business. - okay, they might be trying to pretend you're a lodger. If the LL doesn't live on site, then you're a tenant, renting a room and have the resulting protections of a long notice period for eviction etc. 
This did not bother me (given how little I knew about my rights and obligations as a tenant) as the location of the house was great for me and I didn’t want to move again. Fast forward to today, council came and inspected the property, took statements for us all, pictures, etc etc. They explained there are a few things wrong with the property (not enough fire detectors, stairwell not fire proof, etc etc) and said they will discuss the matter with the landlord. - so something's tipped them off that its a HMO, which have higher requirements than a property let out as a whole, eg fire proofing etc. 
I am now unsure what can happen next? - the LL would have to complete the necessary upgrades and pay for a licence. 
Can we be evicted soon? - nothing changes with this, ie you can be just as evicted as you could before. Provided you don't breach your tenancy, paying rent etc, then the only way you can be evicted is via Section 21 notice, giving you 6 months notice, then court, so likely a year away. 
Will I be given any fines? - No, that would be for the LL only. 
Does the council usually repossess properties in this cases? - not unless its a council owned property and your LL is renting themselves. 
So many questions! Any clarification in regards to what’s next in my case would be so helpful! Thanks.  

Before entering the house I was told they are here because our license needs renewel but while inspecting the property they told another person in the house that the house is not legal at all? So confusing.- Yes, depending on the council and size, a HMO often needs a licence, which have different criteria. IF the criteria are already fulfilled, then the licence is just some paperwork. If not, then those criteria need to be filled (eg the fireproofing etc). 

Don't worry, this doesn't change the situation for you. The LL has to make some fixes / upgrades and pay a fee, or face fines. You'd be best allowing the necessary access for these upgrades, as they are for your safety. However you can't be fined etc as a result. The only way you can be evicted is if the LL follows a 6-12month process, which they could always have done. 

Salemicus

Just because OP is not a lodger it doesn't follow that OP is a tenant. Might still be just a license - will depend on the (unwritten) contract and situation. 

But yes, the overall point is correct - this inspection doesn't reduce your rights in any way. It's the LL's problem, not yours.

macman

No doubt the LL is not paying council tax either.

Ratkin007

If it's a licensable HMO without a licence then I don't believe the landlord can serve valid notice. You may also be able to get a rent repayment order. The council can advise. 

oldbikebloke

Ratkin007 said:

If it's a licensable HMO without a licence then I don't believe the landlord can serve valid notice. You may also be able to get a rent repayment order. The council can advise. 

correct, whilst unlicensed a s21 is invalid
however, as soon as a LL applies for a licence a s21 can be served, subject to the normal validity conditions of a s21

a LL can alternatively apply for a TEN - temporary exemption notice - during which time a s21 can be served.
But in the current circumstances that route is effectively impossible as it gives only a 3 month exemption and Covid means s21 is 6 months, so an impossible overlap

Good point re rent repayment - you can claim up to 12 months of rent refund however the tenant has to prove the LL has committed or been convicted of letting ("renting out") an HMO without a licence. Probably best therefore to wait to see what  action the council takes - the tenant certainly has the right to know in this case (no data protection on that).