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Pitfalls For Unwary Landlords

04 April 2007

Landlords who fail to licence rented property with three or more storeys - or five or more tenants in two or more households - face a fine of up to £20,000.

They can also find themselves paying back up to 12 months of housing benefit to their local authority, warns Sarah Cassell, legal assistant at leading south east law firm Furley Page.

She commented: “Licensing HMOs – houses in multiple occupation – helps to raise the standard of accommodation for tenants and ensure better management. It is essential for landlords to register and put their HMOs in good order. For example, a landlord without a licence would not be able to obtain a possession order.”

Sarah explains that a ‘household’ is a family living together - married, unmarried and same sex couples including parents, grandparents and other relatives. Three friends sharing are considered three households; a couple sharing with a non-relative is two but an au pair is included in their household.

The non-transferable licences, which are valid for five years, are required for each property and the licence holder must be the person who manages the property. There is a fee involved but as they differ from area to area, landlords should contact their local authorities.

Properties must meet the minimum prescribed standards on the number, type and quality of shared bathrooms, toilets and cooking facilities.

For more information contact Sarah Cassell. 
or call on 01227 763939

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