Converting empty homes into HMOs could help solve housing crisis

Converting empty homes into HMOs could help solve housing crisis

Row of empty derelict houses with a building hazard warning sign
12:01 AM, 15th July 2025, 9 months ago 17

Thousands of empty homes could become Houses of Multiple Occupation (HMOs) according to new research.

Property management platform COHO, claim the way to solve the housing crisis is to return empty homes to the market as HMOs.

Currently, HMOs represent an estimated 1.8% of all housing stock in England. If this same proportion were applied to the country’s long-term empty homes, it could add more than 5,000 HMOs to the market.

Growing number of empty homes

As the Labour government claim to deliver 1.5 million homes by the end of the current Parliament, however, the growing number of empty homes presents a challenge.

According to the latest UK government housing data (2024), there are 264,884 long-term vacant dwellings across England, up 1.3% from the previous year.

On a regional level, the North West tops the list with 38,894 empty homes, closely followed by London (38,386) and the South East (35,869). The East of England has seen the sharpest rise, with an 8.2% year-on-year increase bringing the 2024 total to 28,103.

Immediate boost to supply

However, property management platform COHO claims that by converting empty homes into HMOs, more than 5,000 could be added to the housing supply, without building a single new home.

In London, HMOs make up an estimated 3.8% of all dwellings. Applying that proportion to the city’s 38,386 long-term vacant properties suggests scope for around 1,473 additional HMOs.

Using the same methodology, Yorkshire & the Humber could add 591 HMOs, followed by the South East (568), North West (526), South West (450), and West Midlands (446).

COHO founder and chief executive, Vann Vogstad, says councils should convert empty homes into HMOs to solve the housing crisis

He said: “This analysis highlights a clear opportunity for local councils and planning authorities to rethink how we utilise the existing housing stock, particularly the tens of thousands of long-term vacant properties that sit completely unused across the country.

“At a time when demand for affordable housing is at an all-time high, not least in densely populated cities where development space is limited, unlocking these homes as HMOs could provide a powerful and immediate boost to supply.”


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Comments

  • Member Since January 2025 - Comments: 57

    1:16 AM, 15th July 2025, About 9 months ago

    This is nonsense!

    Councils have effectively banned HMO’s via Article 4, hence many former student landlords are turning to supported housing and Serco as they are exempt.

  • Member Since December 2023 - Comments: 1581

    8:42 AM, 15th July 2025, About 9 months ago

    Converting empty hones will help store more people and ease the pressure on Councils. However, it creates a new problem and serves only to return us to the slum conditions of the past.

    We need proper homes for people to live in family units. We need fewer people and more homes.

  • Member Since May 2022 - Comments: 89

    9:50 AM, 15th July 2025, About 9 months ago

    Is it serviced accommodation and if so who funds the services because LHA will not if tenants are on benefits?

    If not services, I fear a return to the days of bedsits, which is a retrograde step taking the provision of housing back 30 years, caused primarily by Government failures and proposed legislation.

    Why not leave the PRS to the people who “know” what is happening, rather than those who just “think” they know?

  • Member Since June 2015 - Comments: 333

    9:54 AM, 15th July 2025, About 9 months ago

    Good, well run HMOs where great care is taken to select compatible tenants can be very pleasant places to live.
    It isn’t simply a case of acquiring a house and bunging in a load of random people.
    As Billy says many councils have effectively banned any more HMOs with Article 4 Directives.

  • Member Since December 2023 - Comments: 1581

    11:12 AM, 15th July 2025, About 9 months ago

    Reply to the comment left by Jo Westlake at 15/07/2025 – 09:54
    No matter how well run the HMO may be, if it was built as a family home in an area with other family homes, it will be depressing for the neighbours.

  • Member Since October 2013 - Comments: 1640 - Articles: 3

    11:31 AM, 15th July 2025, About 9 months ago

    Are these empty houses already council owned? If so, the councils should already have a programme to bring them back into social housing. If they are private, how would the council renovate them?
    Maybe, councils should compulsorily purchase long term empty properties. This would put a rocket up owners who refuse to sell or update for no good reason e.g. Inheritance disputes.

    No mention of selective licensing, I see!

  • Member Since September 2018 - Comments: 3515 - Articles: 5

    12:16 PM, 15th July 2025, About 9 months ago

    Reply to the comment left by Billy Gunn at 15/07/2025 – 01:16
    no brainer if its not in a great area.

    Even if you take the moral stance and try and rent privately to a family – no one wants to live there because of the existing HMO’s….

  • Member Since June 2015 - Comments: 333

    12:23 PM, 15th July 2025, About 9 months ago

    Reply to the comment left by Cider Drinker at 15/07/2025 – 11:12
    Absolute nonsense.
    I live on a modern estate where several houses are rented as HMOs to graduate professionals and hospital workers. All of these houses were built as 4 bedroom family homes and are now either 4, 5 or 6 bedroom HMOs.
    There’s nothing depressing about being surrounded by young, educated, middle class HMO dwellers.

  • Member Since October 2013 - Comments: 1640 - Articles: 3

    12:30 PM, 15th July 2025, About 9 months ago

    Reply to the comment left by Jo Westlake at 15/07/2025 – 12:23
    But, we’re not talking about young single professionals and nurses (although I did buy a 4 bed townhouse in Highgate which had been let to nurses for years. My neighbours were very relieved!).

    Let’s be honest here, we’re talking about society’s underclass, who don’t care how they live, and certainly don’t care about the impact they have on others in the neighbourhood. We had several nearby, and they’ve been taken back into family ownership… after clearing up the needles and massive refurbishment.

  • Member Since January 2025 - Comments: 57

    12:38 PM, 15th July 2025, About 9 months ago

    Reply to the comment left by NewYorkie at 15/07/2025 – 12:30I live in a major city close to a uni and a hospital and many houses were rented to students/young professionals.
    Since the council introduced Article 4 essentially banning HMO’s, the area has got much much worse as a lot of the properties are now rented to supported housing residents (people who have come out of prison and people with substance abuse issues) as these are exempt from Article 4, licensing etc
    Trust me, we would all rather live next to students/young professionals!

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