There will always be a need for cost effective housing and living spaces. Houses of Multiple Occupancy (HMOs) can provide an answer to this demand, and are commonly inhabited by three groups of tenants. These being for student occupation, low income individuals, and young professionals looking for a social lifestyle.
In all the above it is common to find shared kitchen and bathroom facilities. For many, properties of multiple occupancy often offer a viable option, and for landlords they offer a high cashflow model.
Whilst HMOs may have a somewhat negative reputation for being low quality accommodation, this is no longer the case. Many HMO landlords have realised the potential to provide high quality living spaces as per the image above by Sara Poskitt of Lomot Properties. (see Sara’s guest blog here)
In this blog we look at the hoops that a HMO landlord will need to jump through?
When is Planning Permission Needed for a HMO?
Unfortunately, this isn’t a simple answer. Generally speaking, a property owner will need planning permission to change the use from a single dwelling to a house of multiple occupancy however this is not always the case.
Smaller houses that will accommodate a single household, or two unrelated individuals living together as their only main residence will not usually need planning permission. This would be considered as Class C3
A small HMO would be defined as Class C4 in planning terms. This is a small shared property occupied by 3-6 unrelated individuals as their main residence. It is permitted development right to move between C3 and C4 classes and back without planning permission in most cases (see article 4 below)
Larger HMOs would be classed as Sui Generis. This is used where a property does not fit with a standard use class. These type of HMO do need planning permission. A large HMO is defined as houses or flats which are occupied as a main residence by 7 or more unrelated people who share amenities such as communal kitchen and bathroom areas.
It is always advisable to check with the local planning authority, as additional limitations and conditions may well apply.
If the proposed change of use is found not to be within the permitted development scope, the owner could be required to reverse any alterations already undertaken, or retrospectively apply for permission. This will likely incur financial costs in doing so.
What is an Article 4 Area?
Article 4 of the General Permitted Development Order gives Local Planning Authorities the right to restrict some types of permitted development. The intention behind the rule was always to protect the character of conservation areas.
This is often now used to restrict the number of HMOs within an area to prevent a distinct change in character from a predominantly single-family residential area, into an area of high density, transient population.
In simple terms, if you are in an Article 4 area then you will need permission to change from C3 to C4 or Sui Generis.
Conforming to the Latest Building Regulations
Because of the property’s change of use (from a single dwelling designed for an individual or family unit to a house with multiple unrelated occupants), it is advisable to check that the building is safe and fit for purpose.
With this type of property there is usually an increased risk from fire and potentially compromised escape routes. Furthermore, walls and doors may need upgrading to comply with current fire safety regulations... There are many considerations which is where we can advise in conjunction with the Building Inspector.
HMO Design Guides
Whilst your property does need to comply to the minimum building regulations standards as set out by the approved documents, a HMO is subject to additional design guidance set out by Local Authorities.
For example, the Building Regulations do not set out a minimum ceiling height, yet the National Space Standards would set this at 2.3m for a minimum of 75% of the total floor area. This would be a material consideration during an application. Similarly the building regulations do not outline minimum room sizes or total floor areas. Instead HMO owners must comply with the National Space standards.
When is a Licence for a HMO Needed?
Larger houses in multiple occupation require a licence from the local council as standard. In certain areas Local Authorities can choose to implement ‘Selective Licensing’ for all privately rented properties. In these locations, all private landlords must obtain a license and failure to do so will most likely end in enforcement action by the council. This could include fines, court proceedings etc.
The licenses apply to each property, not the landlord. As such each property needs an individual specific licence - even if the landlord is the same person. The large house would be able to accommodate five or more tenants forming more than one household and sharing common facilities. The small house would accommodate three or four tenants.
The landlord is responsible for the licence and has a duty to maintain certain standards of accommodation and obligations to the tenants. The council, in turn, has a duty to enforce these standards and can take action against a landlord failing to comply with these terms and conditions. The licence will be issued for five years at which time the licence will need to be renewed prior to the expiry date.
When is a HHSRS Risk Assessment Undertaken?
A Housing, Health and Safety Rating System (HHSRS) is undertaken by the council within five years of receiving a licence application. The council must be informed if either the landlord or tenant makes changes to the house in multiple occupation, or if a tenant’s circumstances change – for example if they become disabled.
A Place to Call Home
Houses of multiple occupancy provide vital shelter and accommodation for people at various stages of their lives. Here at EDG Architecture, we support developers who are looking to produce housing of this nature. We often work alongside homeowners who wish to convert or change the use of their existing property.
Please feel free to get in touch with us to discuss your initial thoughts; we can help with dividing the space, produce viable drawings to submit to planning authorities and guide you through the various regulations and directives.
Everyone needs a place to call home.