HMO and MUFB
Here's our handy guide to house in multiple occupation (HMO) and multi-unit freehold block (MUFB) products.
Here's our handy guide to house in multiple occupation (HMO) and multi-unit freehold block (MUFB) products.
A House in Multiple Occupation (HMO) is essentially a residence occupied by at least three individuals who are not all part of the same family and who share amenities such as bathrooms, toilets, or kitchens.
So, if a house meets these conditions, it's considered an HMO, no matter how many rental agreements there are or who the renters are.
Only experienced landlords are accepted, not first-timers.
It's okay for there to be multiple rental agreements.
The rental income should be assessed based on similar properties being rented out separately.
There can't be more than 12 bedrooms.
Sufficient liability insurance and savings set aside for property upkeep and emergencies.
Tenants with diplomatic immunity aren't accepted.
The property needs to be valued at least £200,000 in London or £100,000 elsewhere.
Your income should comfortably cover your expanses and show you can manage your finances effectively.
If needed, the conveyancer (legal advisor) should confirm that an application for the license has been made before the purchase is completed.
A multi-unit freehold block (MUFB) is a setup where several separate living spaces are owned together under one freehold. This can include:
Wondering the minimum monthly rent needed to cover expenses? Find out by using our affordability calculator
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