HMO rooms rated as Band A?
After having gained planning permission we recently carried out a renovation of a large house into a 7 bedroom HMO with all the rooms benefitting from their own en-suite, but still having to share kitchen and lounge facilities, and all services of electric, heating and Wi-fi included in the all-inclusive rent.
When the rating officer looks at the situation, he rates all rooms as Band A, not as an HMO!
My question to other Landlords caught in the same situation which I believe are many is:
Should it be necessary to re licence it as an HMO as they are now all “self-contained dwelling units” and paying their own Band A rates does the HMO planning still apply as the rating office has surely changed the category by making them independent dwellings, or would it be necessary to apply for a change of planning to not pay the licencing fees and having all the bureaucratic requirements surrounding such properties?
Anyone with experience in this relatively new situation?
Many thanks
Martin
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Member Since July 2021 - Comments: 29
3:53 PM, 11th December 2021, About 4 years ago
Hello, may I ask if an HMO can be rented on a licencing agreement, on a single or group basis. Providing for the tenants to stay a short or longer term period. Rather than a 6 month AST. If a licence, could this potentially help with the VOA deciding not to band bedrooms as separate units, as the occupiers would not necessarily qualify as staying there permanently.
Member Since July 2021 - Comments: 29
4:00 PM, 11th December 2021, About 4 years ago
Reply to the comment left by Des Taylor & Phil Turtle, Landlord Licensing & Defence at 11/12/2021 – 15:05
Thank you, much appreciated!
Member Since July 2021 - Comments: 29
4:01 PM, 11th December 2021, About 4 years ago
Thank you, much appreciated!
Member Since July 2013 - Comments: 1996 - Articles: 21
6:16 PM, 11th December 2021, About 4 years ago
Reply to the comment left by Stephen Johnson at 11/12/2021 – 15:53
Stephen, the tenure you offer, licence of AST, will not affect how the VOA view the property. In practice “licences” usually turn out to be leases and it is a mistake to think you can improve matters by calling the contract a licence. If you grant exclusive possession of a room and are paid for it, it’s a tenancy.
Member Since July 2021 - Comments: 29
6:21 PM, 11th December 2021, About 4 years ago
Hello Ian,
Thank you for this information.
Member Since July 2021 - Comments: 29
6:46 PM, 11th December 2021, About 4 years ago
I was thinking of a licence in terms of the rule relating to the tenant not being transient. Apparently the tenant has to be transient for the room to be classed as a separate unit. Although it is not defined how long transient is.
However, if the licence is not defined by a time unlike an AST, say 6 months. I was thinking this may help?
Member Since July 2021 - Comments: 29
6:50 AM, 12th December 2021, About 4 years ago
Reply to the comment left by Buddie at 11/09/2021 – 18:36
I would like to second this. Something can only be explained this well when someone has a clear understanding of the subject matter. Excellent job!I It has certainly helped me get a clear understanding and I am sure many other landlords. Thank you Phi
Member Since July 2021 - Comments: 29
6:52 AM, 12th December 2021, About 4 years ago
I would like to second this. Something can only be explained this well when someone has a clear understanding of the subject matter. Excellent job! It has certainly helped me get a clear understanding and I am sure many other landlords. Thank you.