There are two types of HMO Licences: National Licensing and Selective Licensing. Neither should be confused with HMO Planning Permission.
Selective HMO Licensing is where a council selects an area of the city. Properties in this area will have to obtain a licence from the council. Each council differs, so check with yours.
National Mandatory HMO Licensing is much more simple. You will be required to have an HMO Licence if the property is rented out by 5 or more people.
There are a few exemptions, such as:
- if 5 or more people are close relatives.
- there are no shared facilities (toilet, bathroom, kitchen)
You need your HMO licence prior to renting to 5 or more people. If you are purchasing a property, our mortgage lender will want to see evidence you have applied for the licence. If the property is not HMO ready, you will require bridging finance to convert it.
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