What is an HMO?
The legal definition of an HMO and why it matters for licensing and management.
The legal definition
A House in Multiple Occupation (HMO) is defined in the Housing Act 2004. A property is an HMO if it is occupied by three or more people who form two or more separate households, and who share basic amenities such as a kitchen or bathroom.
A 'household' is a single person, a couple (married, civil partners or cohabiting), or a family group (parents and children). Three unrelated individuals sharing a house are three separate households — making the property an HMO.
- 3+ occupants from 2+ separate households
- Sharing kitchen, bathroom or toilet
- Includes bedsits, shared houses and some converted blocks of flats
- Does not include purpose-built student accommodation managed by universities
If you are unsure whether your property is an HMO, contact your local authority's private sector housing team. Getting this wrong can result in prosecution and unlimited fines.
Why the definition matters
If your property is an HMO, you are subject to additional legal obligations: mandatory or additional licensing, minimum room size requirements, fire safety standards, the HMO Management Regulations and HHSRS enforcement. These obligations do not apply to single-let properties.
Operating an unlicensed HMO that requires a licence is a criminal offence. The maximum fine is unlimited. The local authority can also apply for a Rent Repayment Order requiring you to repay up to 12 months' rent.