The definition of a House of Multiple Occupancy

HMO Definition

The definition of a House of Multiple Occupancy (HMO) is complex and each local council may interpret the rules slightly differently, but generally speaking a house of multiple occupancy will be a property “occupied by more than one household and more than two people, and may include bedsits, shared houses and some self contained flats.” (As defined by the Housing Act 2004).

Some examples of typical HMOs are:

  • Student accomodation
  • Some property conversions
  • Bedsits
  • Hostels
  • Hotels

The definition is important for tenants and landlords alike. Landlords must be sure that if they own a HMO, all regulations are adhered to and the necessary local authority licenses are in place, whilst for tenants it is important to “know your rights”. For more information on the specific regulations that apply, contact the relevant department of your local council.

Your home may be repossessed if you do not keep up repayments on your mortgage.

For mortgage advice we can charge a fee of typically £500 or we can receive commission from the lender.

Buy to let mortgage adviceCondidering Buy to Let?

A Buy to let mortgage allows you to buy a property and rent it out for commercial gain. The rent that you receive should at least cover the monthly mortgage payments or you will have to pay the difference yourself. The benefits are the potential to gain from an uplift in valuation or provided the rent received is higher than the mortgage costs, equity can be accrued in the property over time or an income can be derived.

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Blot on the landscape or beneficial financial outlay? the kingskerswell bypass..

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