What is an HMO Licence, and do you need one?

What is an HMO, and do I need one? This is one of the most common questions we hear from our owners on the topic of property compliance. And it's an important one!

If you're missing a required licence, prosecution carries unlimited fines, though they usually range between £10,000 - £40,000. The fine can also be accompanied by a repayment order, which would require you to repay rent up to a maximum period of 12 months. Not only that, not having the right licences in place prevents you from being able to serve notice should you ever need to. Suffice to say - it's critical to get it right! 

A House in Multiple Occupation, or HMO, is a rented property where at least 3 residents live forming more that 1 household, and the toilet, bathroom, or kitchen facilities are shared. A household can be either a single person or members of the same family who live together.

There are specific types of licences that an owner (what we call a landlord) is required to apply for when their property is an HMO. The requirement for a specific type of HMO licence depends on the number of residents living in the property and their relationship to each other. Licence requirement is also determined by the borough where the property is located. 

To find out more about the types of HMO licences, watch our video below! 



If you're curious to know more about licencing and your property, give our lettings team a call today on 020 7644 2313!