HMO Licensing Conditions

Welcome to another edition of The Business Owners' Property News - my newsletter dedicated to helping business owners get started in property investing.

Today we look at HMO Licensing. People often ask what are the complexities of creating houses in multiple occupation - ie a dwelling that is occupied by 3 or more unrelated people, forming two or more households, sharing some communal facilities?

One complexity is operating the HMO to a set of standards stipulated by the local council. Usually, a HMO with 5 or more people will require a license - but certain areas have additional licensing which means ANY sized HMO requires a license.

So here are the licensing conditions for Birmingham. Whether you need a license or not, this is a useful list of management considerations you should have when operating a HMO.

Additional Licensing Conditions

Condition 1 - Gas Supply

If a property has a gas supply, the Licence Holder must present a Gas Safety Certificate, dated within the last 12 months, to the Council at the time of application and subsequently upon request.

Condition 2 – Electrical Appliances and Installations

The Licence Holder must ensure that all appliances and furnishings they provide, as well as every electrical installation, are functioning correctly and safe for ongoing use. A declaration affirming the safety of these installations must be supplied at the time of application and upon request.

Condition 3 – Furniture and Furnishings

The Licence Holder must confirm that all provided furniture and furnishings comply with the Furniture and Furnishings (Fire) (Safety) Regulations 1988 (as updated in 1989 and 1993). They must provide a declaration regarding their safety at the application stage and upon request.

Condition 4 - Smoke Alarms

The Licence Holder must install smoke alarms on every level of the property where there is a room used wholly or partially as living accommodation. A declaration regarding the placement of these alarms must be provided to the Council upon request.

The Licence Holder must maintain the smoke alarms in good working order. A declaration confirming the proper functioning of these alarms must be provided to the Council upon request.

Condition 5 - Carbon Monoxide Alarms

The Licence Holder must install a carbon monoxide alarm in any room used as living accommodation that contains fixed combustion appliances other than a gas cooker.

A declaration regarding the positioning of these alarms must be provided to the Council upon request.

Note: "Room" includes halls or landings, and a bathroom or lavatory is considered living accommodation.

The Licence Holder must ensure these alarms remain in good working order.

A declaration confirming the proper functioning of these alarms must be supplied to the Council upon request.

Condition 6 – Bedroom Sizes

The Licence Holder must ensure:

Any room in the HMO used as a bedroom by a single person over 10 years old has a minimum floor area of 6.51 square meters.

Any room in the HMO used as a bedroom by two persons over 10 years old has a minimum floor area of 10.22 square meters.

Any room in the HMO used as a bedroom by a child under 10 years old has a minimum floor area of 4.64 square meters. • Rooms with a floor area of less than 4.64 square meters are not used as bedrooms. • Rooms used by persons over 10 years old are not occupied by more than the maximum number specified in the Licence.

Rooms used by persons under 10 years old are not occupied by more than the maximum number specified in the Licence.

Rooms used by both persons over 10 and under 10 years old are not occupied by more than the maximum number of each group as specified in the Licence.

Condition 7 - Terms of Occupation

The Licence Holder must provide tenants with a written statement of the terms of their occupation of the HMO, typically a tenancy or licence agreement. A copy of these terms must be supplied to the Council upon request.

Condition 8 – Waste

The Licence Holder must ensure adequate and appropriate provisions are in place for the storage and disposal of household refuse from the property, adhering to the Council’s guidelines for storage and waste disposal.

Condition 9 – Bedroom Area

Any area where the ceiling height is less than 1.5 meters cannot be included in the minimum room size calculation. Common areas in other parts of the HMO cannot be used to compensate for rooms that are smaller than the required minimum size.

Condition 10 – Change of Circumstances

The Licence Holder must inform the Council within 14 days of any significant changes in circumstances that could affect the validity or terms of the licence. This includes changes in address, management, ownership, or any alterations to the property layout.

Condition 11 – Energy Performance Certificate

The HMO must maintain a valid Energy Performance Certificate (EPC) in compliance with the Minimum Energy Efficiency Standard in effect during the licence period. The EPC must be displayed in a common area of the HMO.

Condition 12 – Security

The Licence Holder must:

Change locks before a new tenant moves in if the previous tenant did not return all keys. • Maintain security provisions in good working order to prevent forced entry.

Ensure tenants have access to necessary security keys, including window locks if applicable.

Inform tenants about the operation of any burglar alarm and the circumstances under which the code can be changed.

Ensure any necessary security repairs are made within 24 hours of being notified, such as damage to windows or entry points.

Condition 13 – Crime and Anti-Social Behaviour

The Licence Holder must:

Take all reasonable and practical measures to prevent criminal or anti-social behavior by tenants or visitors.

Investigate complaints of criminality or anti-social behaviour and take appropriate action to resolve them. Records of the complaint and the resolution process must be kept for the duration of the licence.

Inform appropriate authorities, such as the Police, if there is reason to believe criminal activity is occurring at the HMO or its vicinity.

Address instances of recurring but intermittent anti-social behavior as much as reasonably possible, up to and including eviction if necessary.

Condition 14 – Refuse and Recycling

The Licence Holder must:

Ensure adequate provision for refuse storage and inform tenants about the arrangements, including collection dates and proper waste presentation.

Ensure the responsible disposal of items the Council does not typically collect (e.g., large items, hazardous waste).

Prevent refuse or bulky waste from being left in the front or rear garden or other areas, except in designated storage containers. These areas must be kept litter-free.

Condition 15 – References

The Licence Holder must obtain references from prospective tenants, considering their previous tenancy history and right to rent. The Licence Holder must provide evidence of these checks upon the Council's request. They must also respond to tenant reference requests within 14 days.

Condition 16 – Inventory

The Licence Holder must create a detailed inventory, agreed upon with each tenant at the start of their tenancy, and provide a copy to the tenant while keeping a copy for themselves.

Condition 17 – Rent Payments

The Licence Holder must keep a record of all rent payments received and provide tenants with a rent book or receipt. Weekly rent payments should be documented weekly, and monthly payments should be documented at least monthly.

Condition 18 – Copy of Licence

The Licence Holder must provide tenants with a copy of the licence at the start of their tenancy and display a copy prominently in the common areas of the HMO.

Condition 19 - Emergency Arrangements

The Licence Holder must have suitable emergency and management plans in place for when they are unavailable. Tenants must be informed of an alternative contact's name and details.

So there we have it - a comprehensive list of licensing conditions for HMOs in Birmingham. Still want to do HMOs? It looks daunting, but don't fear! Creating a HMO portfolio can be very rewarding and we can provide lots of great guidance and support on our training programmes to make sure you get it right!

Get in touch on 0121 647 7090 or info@brahmaproperty.co.uk to find out more.