Hi, everyone!
Could anyone help me to clear up the issue of HMO licensing?
As far as I know, some HMOs are subjected to applying for a license. How do you know, if you need a license or not? And what is the approximate cost of this license? And are there any penalties for operating a HMO without a license?
I would really appreciate your help.

Michellien,
I'm afraid I cannot help you with the cost of the HMO license, however, I am almost 90% positive that there is a penalty for running any business that has to be license without one.
I would recommend that you talk to a solicitor.

Hi there! My understanding is that licencing is compulsory if you have 5 or more tenants livin in your property. I'd speak to your local authority first (by local authority i mean the one where your HMO property is). The cost of the licence varies depending on the local authority.

If your HMO is 3 storeys plus, has 5 or more people (representing two more more households) living there, then you will need a licence. It is obtained from the local authority upon showing that your property meets certain requirements. The licence lasts up to 5 years. Local authority should be able to advise you on all the details. And, as suspected, if you are supposed to have a licence and you dont..., you could be prosecuted or fined. And the fine could be anything up to £20,000. However, you cannot be fined you if you've applied for your HMO licence and awaiting their reply. Hope this helps