What is an HMO?
A HMO is a property that is occupied by three or more people in two or more households where one or more amenities are shared.
We have a dedicated team of HMO property managers within our Head Office who are specifically trained to help Landlords with HMO properties/portfolios. Our team assist with arranging any extra compliance documents and will ensure your property is HMO compliant as per the council regulations. In addition to managing the property, arranging, and keeping your compliance up to date we also provide a service to apply for any required licences or can assist with current applications. During any application, we can communicate with the required council to ensure they have everything they need and arrange a council inspection which is required by several councils before granting your Licence.
If found without a licence or the correct licence, you could receive a fine of up to £30,000.00 and your tenants could apply for a rent repayment order of up to 12 months rent.
The licensing schemes have increased throughout the London/South East areas with a number of councils introducing selective and/or additional schemes.
Lambeth – Additional Scheme introduced in December 2021
Southwark – Additional & Selective introduced in March 2022 - Selective Sceme Expanded 1st November 2023
Bexley – Selective introduced in 2018 (due to end August 2023)
Tower Hamlets – Additional introduced April 2019 & Selective introduced Oct 2021
Lewisham – Additional Scheme introduced in April 2022
Which Licence Do I need:
There are three types of licensing:-
Mandatory Licence – a property with five or more Tenants from more than one households
Additional Licence – a property with three or more Tenants from two or more households
Selective Licence – a property within a specified area within the borough
Each council have different regulation, which will need to be followed. Below are the most common documentation you will need in order to apply for a licence.
Selective:
Portable Appliance Test (£150.00)
Floorplan (£90.00)
EICR (dependent on property size)
EPC (£90.00)
Gas Safety (from £90.00)
Additional:
All of the above and;
Fire Risk Assessment (£280+VAT)
Grade D Alarm System
Fire Doors
Fire Blanket
Fire Signage
Notice Board
Mandatory:
All of the above and;
Communal Cleaning
Bi-Weekly Alarm Testing
Other information required to complete the application:
- Mortgage provider (please ensure you inform your mortgage provider as soon as possible that you are applying for a licence)
- Block Management details (if applicable)
- Freeholder details (if applicable)
- Landlord's date of birth
- Who will be the licence holder (If overseas dependent on the council you may need to nominate someone in the UK to be responsible for the property and be the licence holder, the license holder cannot be changed for the duration of the scheme)
As your agent, we can apply for this on your behalf for an administration fee of:
- Fully Managed: £300 Inc VAT
- Rent Collection: £370.00 inc VAT
- Let Only: £400 Inc VAT
Below are the packages we offer to help ensure you have covered some of the basic HMO compliance for your property:
- £320 – Basic HMO package (Installation of Fire Blanket, Notice board, Fire Action Notice, No Smoking signage, Log book for Alarm testing)
- £750 – Basic HMO package with compliance ( PAT, FRA, Fire Blanket, Notice Board, Fire Action Notice, No Smoking signage, Log book for Alarm testing)
