A house in multiple occupation (HMO) is a property let to at least three tenants who form two or more 'households' and who share a toilet, bathroom or kitchen.
A household can be:
- relatives including grandparents, siblings and stepchildren
- couples including civil partnerships and same-sex relationships
- a single person living alone
HMOs can include a shared house or renovated self-contained flats.
HMOs that need a licence
You must have a licence if you’re renting out a large HMO in England or Wales. Your property is defined as a large HMO if all of the following apply:
- it is rented to five or more people who form more than one household
- some or all tenants share toilet, bathroom or kitchen facilities
- at least one tenant pays rent (or their employer pays it for them)
- each HMO must have its own licence
The following properties also need a licence:
- purpose-built flats of no more than two units where tenants form more than one household and they share a toilet, bathroom or kitchen
- a commercial property with purpose-built flats of no more than two units, where at least one flat has tenants that form more than one household and they share a toilet, bathroom or kitchen.
Purpose-built flats of three or more, such as halls of residence, do not need a licence. If you are on the list of Specified Educational Establishments you do not need a licence.
You can check with our licensing team if you're not sure if you need a licence.