Converting a property into a House in Multiple Occupation (HMO) can be an attractive opportunity for landlords and property investors. However, before converting a house into an HMO, extending an existing property, or purchasing a property for this purpose, it is important to understand the planning and legal requirements that may apply.
Depending on the circumstances, you may need planning permission, an HMO licence, building regulations approval, or other forms of consent. These are separate requirements, meaning that satisfying one does not necessarily mean you have satisfied the others.
At Charrette Law, we advise property owners, landlords and developers on planning and property-related matters, helping clients understand the legal and planning requirements affecting HMO conversions and property development.
What Is an HMO?
A House in Multiple Occupation, commonly known as an HMO, is generally a property occupied by multiple people who are not all part of the same household and who share facilities such as a kitchen, bathroom, or other amenities.
HMOs can include accommodation occupied by:
- Students.
- Young professionals.
- Workers.
- Other unrelated tenants.
The precise legal definition can depend on the circumstances and relevant legislation. Before converting or purchasing a property for HMO use, it is important to establish whether the proposed arrangement falls within the relevant legal definition.
Do You Need Planning Permission for an HMO?
Potentially.
Whether planning permission is required will depend on the property’s existing lawful use, the proposed HMO use and the planning rules that apply to the site.
Some smaller HMOs may benefit from permitted development rights, while other conversions may require a full planning application. The relevant planning use class is also important when determining whether the proposal involves a material change of use.
HMO Use Classes
Planning legislation places different types of property use into use classes.
Some smaller HMOs can potentially fall within Class C4, while larger HMOs may fall outside this category and require a different planning approach.
However, the planning position is not determined solely by the number of occupants. The existing use of the property, proposed use, and specific circumstances must also be considered.
When Is HMO Planning Permission Required?
Planning permission may be required where the proposed HMO use does not benefit from permitted development rights or where the change amounts to a material change of use.
This may arise where:
- A family dwelling is being converted into an HMO.
- The number or nature of occupants changes the planning use.
- The proposed use falls outside the relevant permitted development rights.
- An Article 4 Direction applies.
- Physical development or substantial alterations are proposed.
Before starting an HMO conversion, it is important to establish the property’s existing lawful planning use and determine whether the proposed use requires planning permission.
Article 4: Directions and HMOs
One of the most important issues for landlords is whether an Article 4 Direction applies to the property.
An Article 4 Direction can remove specified permitted development rights within a particular area. This means that a change of use that might otherwise be possible without a full planning application may require planning permission.
Article 4 Directions are particularly relevant to HMOs because some local authorities use them to control the concentration and spread of HMOs within certain neighbourhoods.
Why Should Landlords Check for an Article 4 Direction?
If you are purchasing a property specifically for HMO investment, checking whether an Article 4 Direction applies should form part of your due diligence.
Buying Before Checking the Planning Position
Purchasing a property without first establishing the planning position can create significant risks. A landlord may acquire a property expecting to convert it into an HMO, only to discover that planning permission is required or that local planning policies restrict the proposed use.
Establishing the position before committing to a purchase can help identify potential restrictions and avoid unnecessary costs.
HMO Planning Permission and HMO Licensing
Planning permission and HMO licensing are not the same thing.
Planning permission deals with whether a proposed development or change of use is acceptable under the planning system.
HMO licensing concerns whether the property meets the relevant requirements for operating as an HMO.
Can You Have Planning Permission Without an HMO Licence?
Yes.
Planning permission does not automatically provide an HMO licence. Equally, obtaining an HMO licence does not necessarily mean that the property has the required planning permission.
Depending on the property and its location, a landlord may need to address both requirements before operating an HMO.
What Does HMO Planning Permission Consider?
Where a planning application is required, the Local Planning Authority will assess the proposal against relevant planning policies and material planning considerations.
Impact on Neighbours
The authority may consider the effect of the proposed HMO on neighbouring properties.
Potential issues can include:
- Noise and disturbance.
- Increased activity.
- Refuse storage.
- Parking pressures.
- Occupancy levels.
- Impact on residential amenity.
Parking and Highways
Converting a dwelling into an HMO may increase parking demand or affect traffic movements.
The Local Planning Authority may consider whether the proposal would create unacceptable pressure on local parking or highway infrastructure.
Residential Amenity
The authority may consider whether the proposed use provides an appropriate living environment for occupants and whether it could adversely affect neighbouring residents.
Character of the Area
In areas where HMOs are already concentrated, the Local Planning Authority may consider the cumulative impact of additional HMO accommodation.
HMO Concentration
Some areas have specific local planning policies designed to prevent an excessive concentration of HMOs. These policies may be particularly relevant where the proposal would change the existing character or balance of a residential area.
HMO Planning Applications and Refusals
An HMO planning application may be refused where the Local Planning Authority considers that the proposal conflicts with relevant planning policies or creates unacceptable impacts.
Potential reasons for refusal may include:
- Excessive concentration of HMOs.
- Harm to residential character.
- Parking or highway concerns.
- Noise and disturbance.
- Poor living conditions.
- Inappropriate design.
- Insufficient supporting information.
A refusal does not necessarily mean that the property can never be used as an HMO.
What Can You Do if an HMO Application Is Refused?
- Depending on the circumstances, it may be possible to amend the proposal and submit a revised application or appeal the decision where a statutory right of appeal exists.
Our article on Planning Applications and Appeals provides further information about the planning process and challenging decisions.
HMO Extensions and Building Work
Converting a property into an HMO may involve physical alterations, such as:
- Creating additional bedrooms.
- Constructing an extension.
- Converting loft space.
- Adding bathrooms.
- Altering internal layouts.
- Installing additional windows.
- Constructing outbuildings.
Planning permission may be required for some works, while others could potentially benefit from permitted development rights.
Building Regulations and Planning Permission
The fact that a particular alteration does not require planning permission does not mean that building regulations can be ignored.
Planning permission and building regulations are separate requirements, and both may need to be considered before work begins.
HMO Planning Permission and Permitted Development
Some property alterations or changes of use may benefit from permitted development rights. However, these rights are subject to conditions, limitation,s and restrictions.
Permitted development rights may also be affected by:
- Article 4 Directions.
- Conservation areas.
- Listed building controls.
- Other site-specific planning restrictions.
Landlords should therefore avoid assuming that a property can automatically be converted or altered without planning permission.
Our article on Permitted Development Rights provides further information about how these rights operate.
HMO Planning and Restrictive Covenants
Planning permission is not the only potential restriction affecting an HMO.
A property’s title may contain a restrictive covenant limiting how the property can be used or developed.
For example, a covenant may restrict:
- Business use.
- Multiple occupation.
- Certain forms of development.
- Subdivision of the property.
- Particular activities carried out at the property.
Planning Permission Does Not Override a Restrictive Covenant
Even where planning permission has been granted, a private restrictive covenant may still affect your ability to use the property as an HMO.
This means that planning due diligence should consider both the planning position and any relevant restrictions contained within the property’s title.
Our article on Restrictive Covenants explains how private legal restrictions can affect property development and use.
Buying a Property for HMO Investment
If you are purchasing a property specifically to operate as an HMO, planning and legal due diligence are particularly important.
Before completing a purchase, you may want to establish:
- The property’s existing lawful use.
- Whether HMO planning permission is required.
- Whether an Article 4 Direction applies.
- Whether local planning restrictions affect the property.
- Whether restrictive covenants exist.
- Whether an HMO licence may be required.
- Whether previous planning decisions affect the property.
- Whether the proposed building works require permission.
- Whether the intended occupancy is acceptable.
Identifying potential problems before purchasing can help reduce the risk of acquiring a property that cannot be used in the way you intended.
Can an HMO Be Operated Without Planning Permission?
This depends on the individual circumstances.
Where the proposed HMO use requires planning permission, operating the property without the necessary consent could potentially result in planning enforcement action.
Questions may also arise where a property has operated as an HMO for a significant period. In some cases, the lawful planning use of the property or the suitability of applying for a lawful development certificate may need to be considered.
Professional advice should be obtained before assuming that an existing HMO is lawful simply because it has been operating for a long period.
What Happens If You Receive a Planning Enforcement Notice?
If the Local Planning Authority believes that a property is being used in breach of planning control, it may take enforcement action.
An enforcement notice can have serious consequences for a property owner or landlord.
What Should You Do?
If you receive a planning enforcement notice relating to an HMO, it is important to obtain advice promptly.
Depending on the circumstances, there may be rights of appeal or other legal options available. Ignoring an enforcement notice can increase the risk of further enforcement action.
How Charrette Law Can Help With HMO Planning
HMO projects can involve planning, property, and development issues.
At Charrette Law, we advise property owners, landlords, and developers on matters connected with HMO conversions and property development.
Our wider planning and property-related services include:
- HMO planning permission.
- Planning applications.
- Planning objections.
- Planning appeals.
- Permitted development.
- Change of use.
- Restrictive covenants.
- Commercial planning permission.
- Property development matters.
Obtaining advice at an early stage can help you understand the planning position before investing significant time and money into an HMO project.
Get Expert Advice on HMO Planning Permission
Converting a property into an HMO can be a valuable investment opportunity, but the planning position should be established before work begins or a property purchase is completed.
Planning permission, permitted development rights, HMO licensing, building regulations and restrictive covenants are separate considerations. Failing to identify the relevant requirements could lead to delays, additional costs, or enforcement action.
If you are considering an HMO conversion, purchasing a property for HMO use or dealing with a planning issue affecting an existing HMO, contact Charrette Law for expert planning and legal advice tailored to your circumstances.
Frequently Asked Questions About HMO Planning Permission
Do I Need Planning Permission to Convert a House into an HMO?
It depends on the property’s existing lawful use, the proposed HMO use, local planning rules and whether permitted development rights apply. An Article 4 Direction may also remove relevant permitted development rights.
What Planning Use Class Is an HMO?
Some smaller HMOs can potentially fall within Class C4, while larger HMOs may fall within a different planning category. The precise planning position depends on the circumstances.
Is an HMO Licence the Same as Planning Permission?
No. HMO licensing and planning permission are separate requirements. Depending on the property, you may need to satisfy both.
What Is an Article 4 Direction?
An Article 4 Direction can remove specified permitted development rights within a defined area. Where one applies, planning permission may be required for a change of use that could otherwise benefit from permitted development rights.
Can a Restrictive Covenant Prevent Me From Operating an HMO?
Potentially. A restrictive covenant is separate from planning permission and may restrict the use or development of a property.
What Happens if My HMO Planning Application Is Refused?
Depending on the circumstances, you may be able to amend the proposal and submit a revised application or appeal the decision where a statutory right of appeal exists.
Can Charrette Law Help With HMO Planning Permission?
Yes. Charrette Law can advise landlords, property owners and developers on HMO planning permission, change of use, planning applications, appeals and related property matters.
