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Licensing of HMOs

Your property is an HMO if you let (or plan to let) to at least three tenants who form more than one household and who share (or will share) toilet, bathroom or kitchen facilities. If so, you may need a licence.

Read 'Houses with multiple private tenants - standards and landlord obligations' to find out more about HMOs and what forms a household.

• Houses with multiple private tenants - standards and landlord obligations

Mandatory HMO licences

You must have a licence if you own a large HMO. A large HMO has:

• three or more storeys
  
• five or more tenants forming more than one household

Some councils require smaller HMOs or all HMOs in certain areas to have a licence as well. You should contact your local council to see if you need one.

It is an offence not to apply for a licence if your property must have one.

• Download HMO licensing guidance from Communities and Local Government (PDF, 438K) Opens new window

• Help with PDF files

• Find out about advice from your council for private tenants and landlords Opens new window

Applying for a licence for an HMO

As a landlord, you need to contact the local council where your HMO is located to get an HMO licensing application form. You would usually apply for a licence yourself, but if you use a managing agent they can apply for you.

When you apply, you must tell the following people who have an interest in the HMO:

• the owner of the HMO
• the future licence holder
• mortgagee
• long leasehold tenants
• any person who has agreed to be bound by the conditions of the licence

A licence will normally last for five years and will need to be renewed before the end of that period. A local council can shorten the time period if they feel it is necessary.

You will usually be charged a non-refundable fee when applying for a licence. You should contact your local council to find out how much the fee is, as they decide on the amount.

How a council decides to grant an HMO licence

Your local council will look at many things to help them process your licence application, like the suitability of the:

• HMO for the number of tenants
• facilities - kitchen, bathroom and toilets
• landlord - are they fit and proper
• management arrangements

Your local council must be satisfied that you are a suitable person to hold a licence, otherwise they may ask for someone else to hold it.

When an HMO licence is refused

If the council refuses to grant you a licence, they will try to solve the issues with you. If nothing can be worked out and a licence is still refused, you can appeal to a Residential Property Tribunal.

If a council refuses a licence they must make an interim management order which will enable it to take over management of the HMO. They can do so for a maximum of 12 months. If at the end of the 12 months a licence still cannot be granted, the council must make a final management order. The final order puts in place long-term management by the council for the HMO, which can last a maximum of five years. When a final order ends, either a licence can be granted or the council makes a new final management order.

You can appeal against the making of an interim or a final management order through a Residential Property Tribunal.

• Residential Property Tribunal - guidance from Ministry of Justice Opens new window

Licence conditions for an HMO

If you are granted a licence for your HMO, you must meet the conditions your local housing authority sets out. Examples of conditions they set out are:

• producing an annual gas safety certificate
• making sure all electrical equipment and furniture that you supply is safe
• installing smoke alarms and making sure they work properly
• giving tenants a copy of the statement of terms for living in the HMO

A council may also set additional conditions, like:

• standard of facilities
• state and management of the HMO
• how you deal with tenant behaviour

All these conditions are to make sure you maintain your HMO to a good standard and manage it well. If you disagree with any conditions that have been set, you can appeal to a Residential Property Tribunal.

• Residential Property Tribunal - guidance from Ministry of Justice Opens new window

How a tenant can complain about poor HMO conditions

If you live in an HMO and feel there are any unreasonable hazards, you should contact the local council. The local council is responsible for enforcing HMO standards and can make a landlord take appropriate action to correct any defects.

• Find out about help from the council for private tenants Opens new window

Useful contacts

• Home and community useful contacts

• A-Z of local councils

• Communities and Local Government Opens new window