HMO Licensing Explained
The licence your property needs depends on where it is, how many people will live there and how the households are structured.
There is no single HMO licensing rule across the UK.
In England, mandatory licensing generally applies where five or more people from two or more households share facilities. Some councils operate additional licensing schemes covering smaller HMOs.
In Wales, mandatory licensing generally applies to HMOs with three or more storeys, occupied by five or more people from two or more households. Additional local schemes and separate Rent Smart Wales requirements may also apply.
In Scotland, an HMO licence is normally required where three or more unrelated people share kitchen or bathroom facilities.
In Northern Ireland, a property occupied by three or more people who are not all part of the same family will generally require an HMO licence before it is let.
The council will consider whether the property is safe, suitable for the proposed number of occupiers and properly managed. Requirements, fees and licensing conditions can vary locally.
Before purchasing, converting or refinancing an HMO, check the exact position with the relevant council. A property can look like a strong deal on paper but still face licensing restrictions that affect the project, timescale and finance.
