What is a HMO

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What Is an HMO?

An HMO (House in Multiple Occupation) is a property occupied by three or more people from more than one household who share facilities. HMOs require a licence from the local council in many cases.

A House in Multiple Occupation, known as an HMO, is a specific property use category that applies when a property is occupied by a certain number of people from different households who share common facilities. The HMO classification triggers specific legal requirements for landlords that differ from those for standard single-household lettings.


Legal Definition

Under the Housing Act 2004, a property is an HMO if it is occupied by three or more people forming two or more households who share one or more basic amenities such as a kitchen, bathroom, or toilet. The three persons from two households threshold is the most common definition applicable to houses and flats shared by unrelated people. A standard family home where parents and children live together is not an HMO; a shared house with three unrelated people, each forming their own household, is.


Mandatory HMO Licensing

Large HMOs, those with five or more occupiers forming two or more households, who share facilities in a building of any size, require a mandatory HMO licence from the local council. The licence application requires the landlord to demonstrate that the property meets specific standards for room sizes, fire safety, heating, and facilities. The local authority inspects the property and can refuse or revoke licences for properties that fail to meet the required standards.

Many local authorities have additional licensing schemes that extend licensing requirements to smaller HMOs, covering properties with three or four occupiers. Landlords should check with their specific local authority whether additional licensing applies in their area.


HMO Standards

HMOs are subject to the Management of Houses in Multiple Occupation (England) Regulations 2006, which set out the landlord's obligations for fire safety equipment, the condition of common areas, the maintenance of facilities, and waste disposal. Larger HMOs have specific minimum room size standards: single occupancy bedrooms must be at least 6.51 square metres; double occupancy bedrooms at least 10.22 square metres. Properties that fail to meet these standards can have their licence refused or revoked.

Operating an HMO without the required licence is a criminal offence that can result in an unlimited fine. Unlicensed HMO landlords may also be required to repay up to twelve months' rent to tenants through a Rent Repayment Order. If you are a landlord with a property that may qualify as an HMO, check the licensing requirements with your local council before letting to multiple occupiers.


Summary

An HMO is a property occupied by three or more people from two or more households who share facilities. Large HMOs with five or more occupiers require mandatory licensing; additional licensing may apply to smaller HMOs depending on the local authority. HMOs must meet specific fire safety, room size, and management standards. Operating an unlicensed HMO is a criminal offence carrying an unlimited fine.

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