HMO Question

BulletCraig

Hi,

Does anyone know the ins and outs of HMO's?

Basically if a property is not HMO registered what are the potential penalties for tenants and landlords if three individuals are staying there? I ask because three of us are looking to rent a property but most of the ones we're keen on aren't HMO registered. What would the legal implications be if, say, only two of us signed the lease and the third just stayed there "off the record" without the landlords knowledge? Obviously I assume he would be well within his right to kick us out should he find out, but in legal terms would we or the landlord be subject to any fines or legal action?

red40

BulletCraig wrote: »

Hi,
Basically if a property is not HMO registered what are the potential penalties for tenants and landlords if three individuals are staying there?

The reason possible most of the HMO's you look at dont require to be mandatory licensed. Mandatory licensing only applies to 5 persons, in a 3 storey building, in 2 seperate households and there is a sharing of an amenity.

You should also check with your local authority just to make sure they aren't running additional or selective licensing, which is different from the above. If they are running the either or both selective and additional, then yes there maybe penalties. Ony a handful of councils are rnning these, but do check.

Lavendyr

This might be of some help:

http://england.shelter.org.uk/advice/advice-6319.cfm

BulletCraig

red40 wrote: »

The reason possible most of the HMO's you look at dont require to be mandatory licensed. Mandatory licensing only applies to 5 persons, in a 3 storey building, in 2 seperate households and there is a sharing of an amenity.

Interesting. So a three bedroom flat for three individuals doesn't require an HMO at all?

PasturesNew

Isn't it annoying how the Govt bring out laws that it's hard to find out the hard and fast facts on .... they don't make it easy to live and get on with your life do they.

All we ask in life is some easy to find lists/simple details.

Yet what do they do? Get each Council to implement it different then hide that inside different structured websites and bury it inside complex-speak.

A nice grid showing: Councils/yes or no for each scenario and property type

That's what's needed.

But no. Make it complex.

tbs624

Although the type of property you are describing falls outside the category for mandatory licensing, as Red40 says. The local Council can require licensing for other types - “additional HMO licensing” : if a LL fails to register such a property he could face a fine of up to £20 K plus costs, and any Housing Benefit paid as rent may have to be repaid by the LL.

If two of you have a Tenancy Agreement with a LL , but a third non-signatory is living there permanently as well, you are effectively sub-letting without the LLs consent which will be a breach of the Terms of your Tenancy and could lead to eviction

Are you in England/Wales or in Scotland, by the way?