The changes in regulations mean that as of Monday 1st October, any HMO rental property with five or more Tenants, will now need to be licensed in order to lawfully continue to be rented out, or risk a significant fine.
The new rules – which are an extension of the existing licensing rules for Houses in Multiple Occupation (HMOs) – now encompass any HMO occupied by 5 or more individuals (not all related to one another).
The licensing scheme was previously only applicable for properties that were three or more storeys in height, but the removal of this rule means that more than 160,000 properties are anticipated to be affected – and more than 77,000 landlords will be required to apply for the new licence before the deadline.
It is predicted that this new legislation is going to cost Landlords across the UK about £95.4m in fees and admin charges, according research commissioned by Currys PC World Business.
While the new licensing laws will incur an estimated charge of £1,235 for each Landlord, failure to comply with the new legislation risks fines of up to £30k per property.
If you want help keeping up with the seemingly every-changing property laws for Landlords, why not consider letting your property through Let Leeds, where our experts can keep you fully up to speed on how the changes impact you and your property?
Contact us for more info or click here for an instant valuation.
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