If you let a property to multiple tenants who aren't from the same household, you may be running a House in Multiple Occupation (HMO). Depending on the size and location, you might need a licence — and operating without one can result in fines up to £30,000 and rent repayment orders.

This guide covers when an HMO licence is required, how to apply, and the conditions you'll need to meet.

What is an HMO?

A House in Multiple Occupation is a property let to 3 or more tenants who form 2 or more separate households and share facilities such as a kitchen, bathroom, or toilet.

Common examples:

A 4-bedroom house let to 4 individual tenants on separate tenancy agreements
A converted house with bedsits where tenants share a kitchen
A house let to a group of 3 friends who aren't related

Not an HMO:

A house let to a single family
A house let to a couple
A house let to 2 tenants from different households (below the 3-tenant threshold)
Purpose-built flats in a block (usually — though the block itself may be considered an HMO in some cases)

When is a licence required?

There are two types of HMO licensing in England:

1. Mandatory licensing

Your property must have an HMO licence if it is:

Occupied by 5 or more tenants
From 2 or more separate households
Regardless of the number of storeys (this changed in 2018 — the old rule only applied to 3+ storey properties)

This applies across all of England. There is no exemption and no opt-out.

2. Additional licensing

Local councils can introduce additional licensing schemes that extend HMO licensing to smaller HMOs — typically properties with 3 or 4 tenants from 2+ households.

Additional licensing varies by council:

Not all councils have additional licensing schemes
Some apply it to the entire borough; others apply it to specific wards
The criteria may differ (e.g., some cover all HMOs with 3+ tenants, others only specific property types)

Check your local council's website to find out if additional licensing applies to your property. You can also search the Gov.uk licensing register or contact your council's private sector housing team directly.

Action point: Before reading further, look up your council's licensing page. Search for "[your council name] HMO licensing" or call the private sector housing team. Additional licensing schemes change regularly — councils introduce, extend, and expire them — so only your council can confirm what currently applies to your specific property and area.

Selective licensing

Some councils also operate selective licensing schemes that require a licence for all private rental properties in a designated area, regardless of whether they're HMOs. This is separate from HMO licensing and has different conditions.

Use our compliance score tool to see which licensing obligations may apply to your property.

How to apply for an HMO licence

Step 1: Check eligibility

Before applying, make sure:

You are a "fit and proper person" to hold a licence (no relevant criminal convictions, no history of unlawful discrimination, no breach of housing law)
The property meets the required standards (fire safety, room sizes, amenities)
You have the right to let the property (e.g., no restrictive covenants or lease conditions preventing HMO use)

Step 2: Prepare the property

You'll need to meet several standards before your application will be approved. The main requirements are covered in detail below.

Step 3: Submit the application

Apply to your local council's housing team. Most councils have an online application form. You'll need:

Property details (address, number of storeys, number of rooms)
Tenant details (number of tenants, household composition)
Details of amenities (kitchens, bathrooms, toilets)
Floor plans
Fire safety measures in place
Gas safety certificate (current)
Electrical safety report (EICR)
Evidence of buildings insurance
The licence fee (varies by council — typically £500–£1,500)

Step 4: Inspection

The council may inspect the property before granting the licence. They'll check that the property meets the standards set out in the licence conditions.

Step 5: Licence granted

HMO licences are typically valid for up to 5 years. You'll need to renew before the licence expires.

HMO standards you must meet

Minimum room sizes

Since 2018, minimum room sizes for HMOs are set nationally:

Room use	Minimum floor area
Bedroom (1 person, age 10+)	6.51 m²
Bedroom (2 persons, age 10+)	10.22 m²
Bedroom (1 child under 10)	4.64 m²

These are absolute minimums — rooms below these sizes cannot be used as sleeping accommodation. Councils may set higher standards as licence conditions.

Rooms must also have adequate ceiling height. Floor area where the ceiling height is below 1.5 metres does not count towards the minimum.

Kitchen facilities

Kitchen facilities must be adequate for the number of tenants. As a general guideline (exact requirements vary by council):

Number of tenants	Kitchen requirement
1–5 tenants	1 kitchen with standard facilities
6–10 tenants	1 large kitchen or 2 separate kitchens
11+ tenants	Additional kitchens as required

Standard kitchen facilities for up to 5 tenants typically include:

Cooker (4-ring hob + oven)
Refrigerator with adequate freezer compartment
Sink with draining board and hot/cold water
Adequate worktop space and storage cupboards
Washing machine (or access to laundry facilities)

Bathroom and toilet facilities

Minimum bathroom/toilet provision (varies by council):

Number of tenants	Minimum bathrooms	Minimum toilets
1–4 tenants	1 bathroom	1 toilet
5 tenants	1 bathroom + 1 separate toilet	2 toilets total
6–10 tenants	2 bathrooms	2 toilets

En-suite bathrooms count towards the total. If a bedroom has an en-suite with a toilet, that reduces the shared facility requirement.

Fire safety requirements

HMO fire safety is one of the most scrutinised areas during licensing inspections. Requirements typically include:

Fire detection:

Interlinked fire alarm system (mains-powered with battery backup)
Heat detectors in kitchens
Smoke detectors in hallways, landings, and living rooms
Larger HMOs (3+ storeys or 5+ tenants) may need a full fire alarm system to BS 5839-6

Means of escape:

Protected escape routes (fire-resistant doors on all rooms opening onto escape routes)
Fire doors: 30-minute fire doors (FD30S) on all bedrooms and kitchens opening onto escape routes
Self-closing mechanisms on all fire doors
Escape route free from obstructions

Fire-fighting equipment:

Fire blanket in each kitchen
Some councils require fire extinguishers in communal areas

Emergency lighting:

Required in larger HMOs (typically 3+ storeys)
Battery-backed emergency lighting in escape routes and communal areas

The exact fire safety requirements depend on the property's size, layout, and the number of storeys. Your council will specify requirements in the licence conditions — or in a fire risk assessment.

Waste and general management

Adequate bin storage for the number of tenants
Communal areas kept clean and in good repair
A clear management plan (especially if you use a managing agent)

Costs

Item	Typical cost
HMO licence application	£500–£1,500 (varies hugely by council)
Licence renewal	£400–£1,200
Fire door installation (per door)	£200–£500
Fire alarm system (interlinked, mains)	£500–£2,000
Emergency lighting	£300–£1,000
Kitchen upgrades	£500–£3,000+

Licence fees are set by the local council and can vary significantly. Some councils charge more for larger HMOs or for late applications.

Penalties for operating without a licence

The consequences of running an unlicensed HMO are severe:

Penalty	Amount
Civil penalty (per offence)	Up to £30,000
Criminal prosecution	Unlimited fine
Rent Repayment Order	Up to 12 months' rent repaid to tenants
Banning order	Can be banned from letting property entirely

Tenants in an unlicensed HMO can apply to a First-tier Tribunal for a Rent Repayment Order, even if you didn't know a licence was required. "I didn't know" is not a defence.

You also cannot serve a Section 21 notice while the property requires but does not have an HMO licence.

Planning permission

Larger HMOs may also need planning permission under the Use Classes Order:

Class C4 (small HMO): 3–6 tenants — some councils require planning permission for a change of use from C3 (dwelling house) to C4. Many councils in areas with high HMO concentrations have introduced Article 4 directions removing permitted development rights.
Sui generis (large HMO): 7+ tenants — planning permission is always required for a change to sui generis use.

Check with your council's planning department before converting a property to HMO use.

How DueProper will help

DueProper will track your HMO licence expiry dates and help you manage the related compliance obligations — gas safety, EICR, fire safety, and room size compliance. Get reminders before your licence expires and keep all your evidence in one place.

Coming soon — join the waitlist for early access.

Check your compliance score for free →

This article is for information only and does not constitute legal advice. Always verify your obligations with your local council and current legislation at legislation.gov.uk.

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