New licence application fees 2022-23 The fee is payable in two stages: The first payment of £626 must be made at the time of application. The second payment of £371 must be made when you have been sent your draft licence. This must be paid within 21 days or your full licence will not be granted.
What is a HMO Licence fee?
HMO licence fees
Fee type. Cost. Standard. £408 per unit. Member of a landlord’s professional association or accreditation scheme.
Is HMO license expensive?
The standard HMO licence fee is £1,100,split into two payments. For larger HMOs with more than ten units of accommodation the fee is increased by an extra £50 for each additional unit of accommodation in excess of ten. NB For very large HMOs there is a maximum fee of £6,000.
How much is a HMO licence UK?
Standard fee for a new HMO licence
The fee for a new licence is £1420. This is split into: £468 for payment one. £952 for payment two.
Do I need a HMO licence for 3 rooms?
Licences. An HMO must have a licence if it is occupied by 5 or more people. A council can also include other types of HMOs for licensing. Find out if you need an HMO licence from your council.
Is a HMO worth it?
HMOs are a fantastic investment as they produce rental returns far in excess of those offered through traditional buy to let investment.
Is it illegal to rent without a HMO licence?
You must have a licence if you’re renting out a large HMO in England or Wales. Your property is defined as a large HMO if all of the following apply: it is rented to 5 or more people who form more than 1 household. some or all tenants share toilet, bathroom or kitchen facilities.
How much profit does a HMO make?
When compared to standard buy to let rental properties, on an HMO you should expect a minimum of 12% gross yield, and on average a likely 15% realistic gross yield. That is why an HMO investment can give you a life of luxury in retirement.
What do I need to run a HMO?
HMO regulations state that for a person to obtain an HMO license, they must be ‘fit and proper’. Which means they cannot have broken any criminal laws, housing law or landlord and tenant law (i.e fraud, illegal eviction). The council must be satisfied with the managing person’s plans to run an HMO.
How big does a kitchen need to be for a HMO?
As a bare minimum, you’ll need a worktop of at least 0.6m depth x 2m length. For larger HMOs (6–10 people), you’ll need a larger worktop of no less than 0.6m depth x 3m length.
Is it easy to sell an HMO?
An HMO, or house in multiple occupation, is a unique kind of property and so selling one needs a special approach. If you don’t follow a suitable procedure then selling an HMO can be difficult – with a high risk of the sale falling through, not getting the best price, or even not being able to sell it at all.
How long does a HMO licence last?
4, How long is the licence valid for? Licences can be granted for up to five years. The council may grant licences for shorter periods, such as two years, in certain circumstances.
Can a landlord enter a HMO without notice?
Yes, they are. If a tenant lives in a shared house/HMO then the landlord has the right to access the shared areas (kitchen, lounge, etc) to complete inspections and complete maintenance work, and to collect rent, for example.
How many bathrooms does an HMO need?
Health and Safety. Health and safety regulation for an HMO typically requires one bathroom for every four tenants. If you have five tenants you will probably need to supply separate toilets from the main bathroom in the main bathroom suite.
Do I need HMO for 2 lodgers?
You will need a licence for a shared house or flats where three or more people share facilities such as a kitchen or bathroom. The property must consist of two or more households. If there are two or more households and 5 or more people sharing facilities, you will require a mandatory licence.
Can you turn any house into a HMO?
HMO Licensing
If your property is let to five or more tenants from more than one household, some or all of the tenants share toilet, bathroom or kitchen facilities and at least one tenant pays rent, then your property will be considered as a large HMO and will need a licence.
What is a disadvantage of HMO?
Disadvantages. If you need specialized care, you will need a referral from your primary care physician to an in-network provider. Must see in-network providers for care-less flexibility than a PPO plan.
What is one disadvantage of an HMO?
On major disadvantage is that it is difficult to get any specialized care because the members must get a referral first. Any kind of care that is sought that is not a referral or an emergency is not covered.
What are 2 disadvantages of choosing the HMO?
What are the disadvantages of HMOs?
- Limited options: One reason HMOs tend to be more affordable is that they offer a smaller selection of providers.
- Coverage does not travel: If you’re far from home, and you see an out-of-network doctor, that visit will be covered only if it was a medical emergency.
Can my landlord evict me from a HMO?
Tenants living in a HMO have the same right as any other tenant. The landlord is required to follow the correct legal process in order to evict you. This applies even if the landlord has been told by the council that the property is not properly licensed as a HMO.
Can two couples live together HMO?
Tenants who are married or living together as a couple, form one family. This includes couples in same-sex relationships and their children. All relatives & half-relatives count as the same family e.g. grandparents, step-parents, aunts, uncles, siblings & step-siblings.