Posted on 26th September 2018
Landlords who let out properties to five or more tenants, from two or more different households, must apply for House in Multiple Occupation (HMO) licences by 1 October.
Currently, the legislation only applies to properties with three or more storeys. However, after 1 October, homes with any number of floors must be covered by the HMO licence if they meet the above criteria.
Designed to crack down on poor living conditions for multiple occupancy tenants, the mandatory licensing change is expected to affect over 77,000 landlords in England and Wales. So, if you rent property to a number of unrelated tenants – such as students or professional sharers – you need to be aware that your responsibilities are changing.
Research carried out by the Centre for Economics and Business Research has suggested that landlords in England will be hit with a licensing bill of £495 per property. With more landlords turning to multiple occupancy letting because it tends to be more lucrative for large properties than renting to families, this new fee is not good news for the sector.
With this in mind, it’s important as a landlord to make sure you’re saving money wherever you reasonably can. Our accountancy services offer excellent value for money, with fees that are much lower than many of our competitors.
Why not get in touch with our friendly, professional team today and see how much you could save? As the new regulations loom, we could provide the key to a better financial future for landlords.