Resident landlord in HMO to pay the bills

by Readers Question

4 years ago

Resident landlord in HMO to pay the bills

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Resident landlord in HMO to pay the bills

I run and HMO, I have to it’s the only way I can pay my mortgage. I have been told that as my wife myself and my son live there we count as three people for the purposes of occupancy so that the change from C3 to C4 occupancy occurs with three people to give six I thought that a resident landlord and family counted as one person for the numbers of people in and HMO.

I am worried sick because if I have to cut down the number of people then I can’t pay the bills. Five people become homeless and I go bankrupt .

I did see something about three households sharing but cant find it.

Richardquestion



Comments

Which authority are you in? It would appear from your post that they have an article 4 directive which is the bit from C3 to C4...... this should not be an issue if you had established use before the expiry of the notice period.
As far as the definition of an HMO is concerned, this is clear within the 2004 housing act. Three or more occupants comprising two or more households would be an HMO. your family would count as one household. Unless the authority has introduced additional licensing, you would only require a license if there were 5 or more occupants (2 or more households) over three floors.
There are exceptions......... (wrinkles) as in any legislation. For example staff do not count! so if your occupants were staff they would not constitute a different household; equally if you were an educational establishment you would be exempted from licensing.
Hope this helps..... if you need further info call me (number available on our website)

Mandy Thomson

4 years ago

Hi Richard,

I hope this gets sorted out for you soon. You are correct insofar as your family (you, your wife and son) should only count as one household and therefore one occupier - "A household is either a single person or members of the same family who live together." source - Government Leaflet 8 on Private Renting - Houses in Multiple Occupation https://www.gov.uk/private-renting/houses-in-multiple-occupation

As Mark Crampton Smith asks, it might be helpful if you can tell us which borough you live in, as rules about what constitutes an HMO vary between authorities, but what constitutes a household should not. It would also be helpful if you could tell us how large the house is and whether it's more than 2 storeys, or if the lodgers have separate entrances or have their own cooking and bathroom facilities.

Neil Robb

4 years ago

Is there away to spit it into two separate flats.


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