Planning permission & Article 4
Different types of dwelling are categorised into planning classes:
- C3 - standard residential family home
- C4 - small HMOs housing between three and six people
- Sui Generis - large HMOs of seven people or more
To move in and out of the Sui Generis class, you’ll always need planning permission, so any HMO with seven or more people living in it will require planning permission regardless of location.
Moving between C3 and C4 class falls under permitted development, so in most cases, a small C4 HMO won’t require planning permission, unless there is a planning condition on the property restricting its use. However, in an Article 4 area, planning permission is required to convert a C3 single dwelling property into a small C4 class HMO.
Article 4 is a special planning regulation introduced by local planning authorities to provide additional powers over development in a particular location, for example if they wish to protect the character of the local area. These regulations remove permitted development rights for certain minor alterations, extensions and changes of use.
Article 4 is usually introduced because of the density of HMOs that already exist in the area, so it is important to know the rules in your area if you are thinking of buying a property to let out as an HMO.
HMO council tax rules
In HMOs where each room is let out on an individual tenancy, the landlord is responsible for paying council tax on the property as a whole. Rent charged in an HMO usually includes utility bills and reflects some contribution towards council tax.
Furnishing an HMO
The standard requirements for any HMO include a 4ft or double bed, a double wardrobe, a chest of drawers and a bedside table. Divan beds can offer extra storage space and landlords often include desks as well, as this allows people to work from home, or use a computer.
It is possible to furnish an HMO without breaking the bank, but good quality is as important as price if you’re looking to attract professional tenants. Decoration should be to a professional finish and ideally furniture should complement the décor.
The landlord is expected to furnish the communal kitchen and lounge or dining area, as well as the individual bedrooms. Kitchen items provided usually include a fridge/freezer, storage area, washing machine, oven and hob, tumble dryer and microwave oven. Items should be suitable for the number of tenants sharing them, so in bigger HMOs you sometimes find multiple ovens, hobs, fridges and washing machines.
Standard expected furnishings in the living area normally include a dining table and chairs, sofa, TV and storage space. The HMO market can be competitive, so you want your property to look as appealing as possible.
Unlike single-let rental properties, where the tenant is responsible for any damage to the furnishings, in an HMO, the landlord is responsible for dealing with any damage to items of furniture in communal areas of the property. However, this doesn’t apply to furnishings provided in the tenants’ individual rooms, or to the tenants’ own possessions.
General wear and tear is classed as an expected part of everyday use. Damage is unfortunately more likely due to the number of people living there and it is the landlord’s responsibility to replace any items that become unusable due to general wear and tear.
Paying for repairs and damage caused by tenants in communal areas is one of the pitfalls of HMOs. However, the higher return on investment that most HMOs provide make up for this issue.