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4 tenants on a group contract - is this a HMO?


Lorcan

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Hi

Is it right that if I have four (unrelated) tenants sharing a house on a group contract, this

is legally a HMO. The council tell me it is because of new legislation and the council tax has got to be in my name as the owner, despite the group living as one household and paying their own bills. But I was also told by the council that if they were living as one group on a group contract, it wouldn't be classed as a HMO. Can anyone clarify this please?

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Hi mate,

It will be viewed as an HMO, and the council will make you pay the council tax even if they are all on 1 contract.

I think that if there are 3 or more unrelated tenants then it is classed as an HMO, albeit, not licenceable until there are 5 or more tenants and 3 or more storeys.

I may be wrong, it may even be 2 or more unrelated tenants, but that would be a bit ridiculous.

The silly thing is that I bet your lender won't lend on HMO and will insist (in the contract) that it is rented by a family. You could be breaking those terms. However, based on this most people will be breaking the terms of their mortgage agreement.

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HMMMmmmmmmmmmmm

Think you will all find that anthing more than 1 "household" within a prop is classed as an hmo ...there are different "classes" hmo and as there are more "households and number of heads they regs get more demanding !!

uNMARRIED PARTNERS OR COUPLES COUNT AS ONE!

(and rightly so )

But in this case and as far as i am aware, all cases regardless of no's :

If leases are seperate then LL will be legally responsible for payment of CT

If all on 1 AST then they come as a "unit" and as such can Bxxxy well deal with it themselves !!!!

(and yes legally they are responsible !!! )

Unless something has changed very recently ....

I have an 8 let which most definately is payable by Ts as on joint ast - THIS CONFIRMED WITH COUNCIL A FEW WEEKS AGO !!! when they tried to billme for it !

Simon

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Hi many thanks for the advice.

Despite this, my local council says judging by the property layout they're treating it

as a HMO and the bill needs to be in my name, despite it being an AST group

contract between 4 friends. They say I can appeal against this decision which I

am doing.

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I would not accept what they are saying -"layout" is irrelevant - if they have taken the whole property as a self contained unit, provide them with a copy of the ast which proves that they are legally responsible -if they refuse to change the name on the bill -tell them you will see them in court --for a bill which has nothing to do with you !(and you will be looking foward to it !)

Ask to speak to a senior officer who knows what they are talking about !

Unless of course...there is something you are not telling us !!

I have 16 similar props with 4,5 6 and 8 t's on joint ast's and NO i dont either pay or have the bill in my name on any of them ....why would I ...

Let us know the outcome ....

also get a friend to ring(with out give name ) with a 4 let prop on 1 ast and see what they say ....

There is policy with some councils (inc Cardiff) that student props as they exempt are left in LL name and itis upto LL to declare T's as students each year - personally i have "opted" or "fought" my way out of this scheme as it becomes my responsibility to provide "exemtion certs from students, course details etc) and i havent got the time or the inclnation to do the CT offices work for them ! (as i told them quite bluntly !!)

Simon

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