Managing a House in Multiple Occupation (HMO) requires landlords and letting agents to navigate a complex web of regulations and compliance requirements. Whether you are a seasoned HMO manager or just starting out, ensuring your property adheres to HMO compliance standards is essential to avoid hefty fines and to protect your tenants’ safety. This comprehensive guide provides an in-depth HMO compliance checklist to help you meet legal obligations and maintain a high standard of property management.
What is an HMO?
An HMO is defined as a property where three or more people from two or more households share facilities such as bathrooms or kitchens. These properties are also known as house shares or flat shares. HMO regulations are stringent, as they aim to provide safe, secure, and comfortable living conditions for tenants.
Let’s dive into the key areas of compliance to ensure your property meets the necessary requirements.
1. Obtaining an HMO Licence
The first step in your HMO compliance checklist is determining whether your property requires an HMO licence. A large HMO, defined as a property with five or more tenants from at least two different households, will typically require a licence.
More specific licensing measures are necessary for some councils, meaning you may require an additional or selective licence. Use our free property licence checker to find out what kind of licence your HMO property will need. HMO licences are valid for up to five years. Ensure your licence is renewed on time to avoid legal complications.
Without a valid licence, you risk penalties of up to £30,000 or even criminal prosecution.
2. Room Size Requirements
Meeting minimum room size requirements is a critical part of HMO compliance. The following room sizes are the legal minimums:
- Adults (10+ years): 6.51m²
- Children under 10 years: 4.64m²
- Two adults sharing: 10.22m²
These measurements ensure tenants have adequate living space. Always measure rooms carefully and verify with your local council, as some councils impose stricter standards. Non-compliance could lead to fines and restrictions on renting out the property.
3. Energy Performance and Efficiency Standards
All HMOs must meet the minimum energy efficiency requirements set out by law. As of June 2022, the Energy Performance Certificate (EPC) rating for rented properties must be E or higher.
- Improvement Works: If your property fails to meet this standard, you’ll need to carry out energy efficiency improvements, such as adding insulation or upgrading heating systems.
- Exemptions: Certain properties, such as listed buildings, may be exempt. However, it’s crucial to document these exemptions and confirm them with your local authority.
- EPC Display: While not legally required in advertisements, displaying the EPC can attract tenants by showcasing your property’s efficiency.
Failure to comply with EPC regulations can result in fines of up to £5,000.
4. Health and Safety Certificates
Health and safety are at the heart of HMO compliance. Landlords must obtain and maintain the following certificates:
- Gas Safety Certificate: This must be renewed annually and covers all gas appliances.
- Electrical Installation Condition Report (EICR): Required every five years to ensure the electrical system is safe.
- Smoke Alarms: At least one smoke alarm is required on each floor of the property.
- Carbon Monoxide Detectors: These are mandatory in rooms with fuel-burning appliances.
Additionally, regular inspections should be conducted to identify and address any health and safety risks.
5. Fire Safety Measures
Fire safety is a top priority in HMOs. Landlords must ensure the following:
- Escape Routes: Provide clear and unobstructed escape routes, marked with appropriate signage.
- Fire Doors: Install fire doors in high-risk areas, such as kitchens and communal hallways.
- Fire Extinguishers: Keep fire extinguishers accessible and ensure they are regularly serviced.
Failure to comply with fire safety regulations can result in severe penalties, as well as endanger tenant lives.
6. Tenancy Agreements and Legal Obligations
Every HMO tenancy must be governed by a written tenancy agreement outlining the rights and responsibilities of both the landlord and tenants. Key elements include:
- Rent Terms: Specify the rent amount, payment schedule, and deposit arrangements.
- Maintenance Responsibilities: Clarify who is responsible for property maintenance.
- Tenant Behaviour: Include rules on tenant behaviour to minimise disputes.
By ensuring clarity in tenancy agreements, landlords can reduce the risk of legal conflicts.
7. Planning Permission for HMO Conversion
Converting a property into an HMO may require planning permission, depending on the property’s location and intended use. While small HMOs often do not need planning permission, larger conversions usually do.
- Local Council Consultation: Check with your local council before beginning any conversion work to avoid potential delays or fines.
- Change of Use Applications: Some councils require a formal application to change a property’s classification to an HMO.
8. Inspections and Ongoing Maintenance
Regular inspections are crucial to maintaining compliance. These inspections should cover:
- Room Sizes: Ensure no alterations have reduced room sizes below the legal minimum.
- Health and Safety: Check for hazards such as damp, mould, or broken appliances.
- Shared Facilities: Inspect shared bathrooms and kitchens for cleanliness and functionality.
Create a schedule for routine inspections to address issues promptly and maintain a good relationship with tenants.
9. Council-Specific Requirements
Different councils may have unique rules for HMOs, including additional licensing schemes or stricter health and safety standards. Landlords and letting agents should:
- Stay Informed: Regularly check council updates and attend landlord forums.
- Document Compliance: Keep records of all correspondence, certificates, and inspections as proof of compliance.
10. Risk Assessments
Conducting a risk assessment helps identify potential hazards and implement measures to mitigate them. Key areas to evaluate include:
- Electrical Safety: Ensure wiring, sockets, and appliances are safe.
- Fire Risks: Address risks related to flammable materials or blocked escape routes.
- Health Risks: Check for issues like pest infestations or inadequate ventilation.
11. Shared Facilities Management
Shared facilities such as kitchens and bathrooms require extra attention in HMOs. Landlords must:
- Provide Adequate Facilities: Ensure there are enough bathrooms and kitchen spaces for the number of tenants.
- Regular Cleaning: Either arrange professional cleaning or outline cleaning responsibilities in the tenancy agreement.
Summary: Staying Ahead with Your HMO Compliance Checklist
HMO compliance involves meeting multiple legal and safety requirements, including obtaining licences, ensuring room size and energy efficiency standards, and conducting regular inspections. By following this checklist, landlords can protect their investment and provide safe, comfortable housing for tenants.
