Definition of HMO

Alan

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  • Aug 16, 2011
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    I found this

    In order to be an HMO the property must be used as the tenants' only or main residence and it should be used solely or mainly to house tenants. Properties let to students and migrant workers will be treated as their only or main residence and the same will apply to properties which are used as domestic refuges.

    Any help?

    A lot depends on when they go home at weekends, is HOME their main residence (i.e. they pay full rent / have a mortgage / family some where else in the UK - and to some extend what rental agreement if any you have with them), if so sounds like you are running a B&B (with another set of rules :) )
     
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    B

    Billmccallum

    If you let a property which is one of the following types it is an HMO:
    • An entire house or flat which is let to 3 or more tenants who form 2 or more households and who share a kitchen, bathroom or toilet.
    • A house which has been converted entirely into bedsits or other non-self-contained accommodation and which is let to 3 or more tenants who form two or more households and who share kitchen, bathroom or toilet facilities.
    • A converted house which contains one or more flats which are not wholly self contained (ie the flat does not contain within it a kitchen, bathroom and toilet) and which is occupied by 3 or more tenants who form two or more households.
    • A building which is converted entirely into self-contained flats if the conversion did not meet the standards of the 1991 Building Regulations and more than one-third of the flats are let on short-term tenancies.
    • In order to be an HMO the property must be used as the tenants’ only or main residence and it should be used solely or mainly to house tenants. Properties let to students and migrant workers will be treated as their only or main residence and the same will apply to properties which are used as domestic refuges.
    source: http://www.nationalhmonetwork.com/definition.php
     
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    MrsPWN

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    Jul 25, 2009
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    Thanks for the input, from what I can gather it WOULD be an hmo if it was their main residence but it wouldn't be, and it wouldn't be a B&B as I wouldn't live there..

    Guess I will have to wait and call the local council on Monday.

    Edited to add, I wonder what the definition of a migrant worker is.
     
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    Alan

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    I think (common sense, not law) a migrant worker move to an area for seasonal work and then returns home after a period of time.

    I think a lot may hinge on the rental agreement, if you are renting under an AST to the group, then as they are staying their the majority of the week (5 out of 7) then I would think that may be considered their main residence.

    I don't think living onsite is relevant to B&Bs or Hotels.
     
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    I believe If you have 3 people living there with 3 contracts and none of them are related to each other then yes as they still reside their on a weekly basis. Ring the council but I'm sure if they all have contracts and live their 5 days of 7 they will say it does.
     
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    alang23

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    Jul 27, 2013
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    Hi.
    I must totally disagree with everyone who told you to contact the Council. The first port of call should be your local residential Landlords Association, who will give you information that is to the benefit of the Landlord. (Similary if you have a question about your business accounts you generally ask your own Accountant). Councils give information that is to the Councils advantage.
    We own a large number of properties from the Midlands down to Cornwall, some of which are HMO's and some that are not. Previously I was Chairman of the National Federation of Residential Landlords which evolved into Local Landords Assns/NLA/RLA etc.
    The rules/Laws governing what is not and what is an HMO are complex and can vary from Council to Council. For example there were already a plethora of Laws regulating HMO's which became more complex under the last Labour Government who brought in Mandatory Licensing for certian categories of HMO's and then allowed Councils to have additional Mandatory Licensing under Discretionary Licensing !!! So some Councils went for Licensing everything (but at the same time excluding their own properties !!) which of course made Landlords liable to pay expensive Licensing fees (and even more expensive Fire Protection works) to the Council and of course jobs for life for the Council staff enforcing the Regulations. Exact rules would depend upon what Regulations the Council have adopted.
    If the Council have only followed the Mandatory Licensing Scheme then short answer is ...it depends upon 'how' you rent the property. Certain categories do not form an HMO. For example if you have 3 workmen and they ALL work for the same Company, came as a group (have a sigle Tenacy Agreement covering all 3), work together,will leave as a group, and are responsibile for Utility Bills as a group...then it is not a HMO. However if you have individual Tenancies starting at different times,they work for different Company's, they have their own rooms with locks on their doors preventing others from accessing their rooms ...then it will be a lower order HMO.

    So Landlords can 'manoever' into certain categories (to the Landlords advantage) depending upon 'how' they let the property.

    That is just an outline. If you want more info then please let me know. It can be complex. However I suggest you do join your local Landlords Association as Landlords act together as a group just like this forum, some Landlord somewhere in the Country will know the answer to a question. There are benefits from Membership of whatever Landlords Assn you join as we get exceptionally low insurance costs by bulk buying power and from paint supplies/builders merchants/Ktichen units etc

    Regards
     
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    vvaannmmaann

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    Nov 6, 2007
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    An interesting take on the subject.
    However as the local Council are responsible for licensing HMO's (or whatever it is classed as) they will have the final say,and the legal powers to control the building owners. Landlords ultimately have to comply with their instructions.
    Landlord associations are a good source of information,but they are only a talking shop.
     
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    There was an interesting program on the bbc a couple of weeks ago about landlords and one in particular was the HMO Daddy who specializes in HMO properties, have a look at his website you might find some useful info from there that may help you.
     
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    MrsPWN

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    Just a quick update, here in Gwynedd an HMO is 3 unrelated people in the same dwelling, it doesn't matter how many storeys it is.

    We have found a great 5 bed house and made an offer, tenants lined up and ready to go..decided for now a family is easier and they want a long term let so as long as we get the house we are sorted :)
     
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