What is a HMO Property? Houses in Multiple Occupation

If you’re a landlord looking to expand your portfolio, then there’s a good chance you’ve come across the term ‘HMO’ at one point or another. HMO is an acronym that stands for ‘Houses in Multiple Occupation’. The question then, is what is a HMO property? In this article, we’ll be answering this. We’ll also be explaining how they differ from non-HMO properties, how to convert a property into a HMO and whether HMOs require licensing.

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Navigate our article on HMO properties:

• What is a HMO property?
• What’s the difference between a HMO and non-HMO property?
• What determines whether or not a property is classed as a HMO?
• How to convert a property into a HMO
• Minimum room sizes
• Safety requirements
• Do HMOs require licensing?

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What is a HMO Property?

HMO stands for ‘House in Multiple Occupation’ and refers to any accommodation owned by a private landlord which is shared amongst several tenants. There’s a range of different accommodation types that could fall under the definition of HMO, depending on how many people are living there and the exact living arrangements. 

As a general rule though, a HMO can include a property where there are three or more tenants with a shared toilet, bathroom or kitchen facilities. This property can be:

• A shared house
• A block of converted flats
• Individual shared self-contained cluster flats
• Private halls of residence
• A hostel
• Several bedsits within a single building

Often, whether something is or isn’t classed as a HMO depends on the number of ‘households’. Within a property, a household is either members of the same family who are living together or a single person. In a shared student house for example, each person would be classed as a separate household (if none of them are related or partners/married).

What’s the difference between a HMO and non-HMO property?

Aside from what actually qualifies a property as a HMO, they also tend to be treated differently by local councils and authorities. 

Health and safety standards in HMOs are taken very seriously by local authorities, which means that tenant complaints are likely to be acted upon if brought to the attention of their tenant liaison officer. 

Within local councils, the Environmental Health Department will listen to tenant complaints and ask landlords to address any issues as they see fit. When issues aren’t resolved, the council has the authority to prosecute the landlord and can even take over management of the property.

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What determines whether or not a property is classed as a HMO?

To be classed as a HMO, a property needs to have these four common features:

1. Occupants aren’t forming a single household – we explained what this means earlier on. In essence, any occupants living together who aren’t related or married/in a partnership will form multiple households
2. Occupants must be using the property as their main or only residence
3. The accommodation must only be used for residential purposes
4. At least one of the occupants must be paying rent

All of these conditions need to be met for a property to be legally classed as a HMO. The only exception is when a HMO declaration has been made by the local authority. 

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Converting a property into a HMO

Because of the larger number of people that’ll be living under the same roof, HMO landlords have to meet higher standards. For example, gas safety checks need to be carried out every year, along with electrical system checks every five years. Smoke and carbon monoxide alarms also need to be fitted.

Some of the other things that need looking out for include sanitation – ensuring there are an adequate number of rubbish disposal facilities, bins and bin bags – washing and cooking facilities and generally keeping communal areas in a good state of repair.

Minimum room sizes

There are now guidelines for the minimum room sizes in a HMO. These are as follows:

• The floor area of any room in the HMO used as sleeping accommodation by one person aged over 10 years must be at least 6.51 square metres

• The floor area of any room in the HMO used as sleeping accommodation by two people aged over 10 years must be at least 10.22 square metres

• The floor area of any room in the HMO used as sleeping accommodation by one person aged under 10 years must be at least 4.64 square metres

In a HMO, no room with a floor area of less than 4.64 square metres can be used as sleeping accommodation. The local housing authority should be notified of any room with a floor area less than this figure.

New rules relating to overcrowding were also introduced that landlords need to comply with:

• Where any room in the HMO is used as sleeping accommodation by persons aged over 10 years, it can’t be used by more than the maximum number of persons aged over 10 years specified in the licence

• Where any room in the HMO is used as sleeping accommodation by persons aged under 10 years, it can’t be used by more than the maximum number of persons aged under 10 years specified in the licence

• Where any room in the HMO is used as sleeping accommodation by persons aged over 10 years and persons aged under 10 years, it can’t be used by more than the maximum number of persons aged over 10 years and under 10 years specified in the licence

Depending on your local authority, there may be other criteria relating to room size that needs to be met. 

Safety requirements

Due to the extra number of tenants and increased stringency from local authorities, HMO landlords need to be organised when it comes to safety. Here’s a list of safety requirements that you should keep in mind when managing a HMO:

• Gas safety (annual checks)
• Electrical safety (checks every five years)
• Fire safety – smoke and carbon monoxide alarms need to be fitted and maintained
• Provide rubbish disposal facilities
• Provide and maintain adequate cooking, cleaning and washing facilities
• Keep communal areas to a high standard (so they don’t become dangerous to live in)
• Manage any overcrowding issues

Some other alterations that you may need to make when getting a property ready could include:

• Locks for each bedroom
• Emergency lighting for fire safety
• Carrying out pest control (and keeping records of this)

Again, safety requirements relating to HMOs tend to be fairly extensive and will differ slightly from local authority to local authority. That’s why we’d recommend contacting them to get a full list of safety requirements before embarking on any conversion plans.

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Do HMOs require licensing?

Some HMOs require licensing, but not all. Licensing is usually required when a HMO becomes classed as a ‘large HMO’. According to GOV.UK’s section on private renting, a large HMO fulfils the following criteria:

• A building at least 3 storeys high
• A building that houses at least 5 tenants
• Facilities such as bathrooms, toilets and kitchens are shared between the occupants

A landlord with a property that meets the above requirements must apply for a licence through their local authority. There will then be an assessment of the property – including safety features and its size – along with a ‘fit and proper’ assessment of the landlord.

Tenants are advised to check if their landlord has a licence when living in a property that could be classed as a HMO. A HMO landlord without a licence (who should have one) can’t use the section 21 notice procedure. 

If you’re still unsure as to whether your property requires a licence, then we’d recommend contacting your local authority for guidance. 

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