What is a HMO?
There are five different ‘types’ of HMO at s.254 of the Housing Act 2004, which says that a building or a part of a building is a HMO if:
The tests are dealt with below in more detail but in brief the current position is:
A property will meet the standard HMO test if has three or more occupiers forming more than one household where rent is being paid , and in which one of the occupiers lives in the property as his/her principal home AND where at least two of the households share basic amenities such as washing or cooking facilities.
There are exemptions, a list of which can be found at Schedule 14 of the Act.
- It meets “the standard test”
- It meets “the self-contained flat test”
- It meets “the converted building test”
- It is a s.257 HMO (whole building HMO)
- it is declared to be a HMO under s.255
The tests are dealt with below in more detail but in brief the current position is:
A property will meet the standard HMO test if has three or more occupiers forming more than one household where rent is being paid , and in which one of the occupiers lives in the property as his/her principal home AND where at least two of the households share basic amenities such as washing or cooking facilities.
There are exemptions, a list of which can be found at Schedule 14 of the Act.
The Standard Test
A building or a part of a building meets the standard test if:
(a) it consists of one or more units of living accommodation not consisting of a self-contained flat or flats;
(b) the living accommodation is occupied by persons who do not form a single household (see section 258);
(c) the living accommodation is occupied by those persons as their only or main residence or they are to be treated as so occupying it (see section 259);
(d) their occupation of the living accommodation constitutes the only use of that accommodation;
(e) rents are payable or other consideration is to be provided in respect of at least one of those persons' occupation of the living accommodation; and
(f) two or more of the households who occupy the living accommodation share one or more basic amenities or the living accommodation is lacking in one or more basic amenities.
A building or a part of a building meets the standard test if:
(a) it consists of one or more units of living accommodation not consisting of a self-contained flat or flats;
(b) the living accommodation is occupied by persons who do not form a single household (see section 258);
(c) the living accommodation is occupied by those persons as their only or main residence or they are to be treated as so occupying it (see section 259);
(d) their occupation of the living accommodation constitutes the only use of that accommodation;
(e) rents are payable or other consideration is to be provided in respect of at least one of those persons' occupation of the living accommodation; and
(f) two or more of the households who occupy the living accommodation share one or more basic amenities or the living accommodation is lacking in one or more basic amenities.
The Self-Contained Flat Test
A building or part of a building meets the self-contained flat test if:
(a) it is a self-contained flat and
(b) the living accommodation is occupied by persons who do not form a single household (see section 258);
(c) the living accommodation is occupied by those persons as their only or main residence or they are to be treated as so occupying it (see section 259);
(d) their occupation of the living accommodation constitutes the only use of that accommodation;
(e) rents are payable or other consideration is to be provided in respect of at least one of those persons' occupation of the living accommodation; and
(f) two or more of the households who occupy the living accommodation share one or more basic amenities or the living accommodation is lacking in one or more basic amenities.
A building or part of a building meets the self-contained flat test if:
(a) it is a self-contained flat and
(b) the living accommodation is occupied by persons who do not form a single household (see section 258);
(c) the living accommodation is occupied by those persons as their only or main residence or they are to be treated as so occupying it (see section 259);
(d) their occupation of the living accommodation constitutes the only use of that accommodation;
(e) rents are payable or other consideration is to be provided in respect of at least one of those persons' occupation of the living accommodation; and
(f) two or more of the households who occupy the living accommodation share one or more basic amenities or the living accommodation is lacking in one or more basic amenities.
The Converted Building Test
A building or part of a building meets the converted building test if:
(a) it is a converted building;
(b) it contains one or more units of living accommodation that do not consist of a selfcontained flat or flats (whether or not it also contains any such flat or flats);
(c) the living accommodation is occupied by persons who do not form a single household (see section 258);
(d) the living accommodation is occupied by those persons as their only or main residence or they are to be treated as so occupying it (see section 259);
(e) their occupation of the living accommodation constitutes the only use of that accommodation; and
(f) rents are payable or other consideration is to be provided in respect of at least one of those persons' occupation of the living accommodation
A building or part of a building meets the converted building test if:
(a) it is a converted building;
(b) it contains one or more units of living accommodation that do not consist of a selfcontained flat or flats (whether or not it also contains any such flat or flats);
(c) the living accommodation is occupied by persons who do not form a single household (see section 258);
(d) the living accommodation is occupied by those persons as their only or main residence or they are to be treated as so occupying it (see section 259);
(e) their occupation of the living accommodation constitutes the only use of that accommodation; and
(f) rents are payable or other consideration is to be provided in respect of at least one of those persons' occupation of the living accommodation
S.257 HMOs
This is a separate category of HMO concerning a “converted block of flats” (which either comprise a whole building or part of a building) where:
If a building has been refurbished to comply with 1991 or more recent Building Regulations then s.257 does not apply.
It is entirely possible for a flat within a building to be a s.254 HMO and the building itself to be a s.257 HMO, and for a licence to be required for each.
This is a separate category of HMO concerning a “converted block of flats” (which either comprise a whole building or part of a building) where:
- a single dwelling has been converted into “self-contained flats.”
- the conversion work does not comply with the 1991 Building Regulations and
- where one third or more of the properties are let out on leases of less than 21 years.
If a building has been refurbished to comply with 1991 or more recent Building Regulations then s.257 does not apply.
It is entirely possible for a flat within a building to be a s.254 HMO and the building itself to be a s.257 HMO, and for a licence to be required for each.
HMO Declaration
Under s.255 a local authority can substitute the ‘sole use’ criterion for ‘significant use’ and providing all the other conditions of one of the HMO tests are met, it can declare that a property is a HMO. A landlord has 28 days to challenge such a decision.
The issues of sole or significant use are rebuttable presumptions.
Under s.255 a local authority can substitute the ‘sole use’ criterion for ‘significant use’ and providing all the other conditions of one of the HMO tests are met, it can declare that a property is a HMO. A landlord has 28 days to challenge such a decision.
The issues of sole or significant use are rebuttable presumptions.