A landlord in Bognor Regis has been fined for operating an unlicensed House in Multiple Occupation (HMO), highlighting the importance of adhering to housing regulations.
Sebastian Orszak, 47, of Orchard Way, was found guilty of renting out a three-storey mid-terrace property at 38 Linden Road to at least five individual tenants without the necessary HMO licence. Crawley Magistrates’ Court ordered him to pay a total of £562, comprising a £223 fine, an £89 victim surcharge, and £250 in council costs .
Councillor Sue Wallsgrove, Chair of the Environment Committee at Arun District Council, emphasized the gravity of the offence: “HMO Licensing schemes are in place to protect the health and safety of tenants and ensure that rented accommodation is maintained to a high standard. The HMO team are proactive in their enforcement so our message to landlords is clear – licence your properties or face prosecution or a civil penalty notice”.
As a result of the conviction, Mr. Orszak is now barred from holding an HMO licence, and tenants may seek a rent repayment order, potentially reclaiming up to 12 months of rent.
Understanding Illegal HMOs
A HMO becomes illegal when it operates without the required licence. Under the Housing Act 2004, a property is classified as an HMO if it houses three or more tenants forming more than one household and sharing facilities like kitchens or bathrooms. Mandatory licensing applies to properties with five or more tenants forming more than one household. Local councils can also implement additional licensing schemes for smaller HMOs.
Operating an unlicensed HMO poses significant risks, including inadequate fire safety measures, overcrowding, and poor living conditions. Landlords found in violation may face fines, criminal convictions, and rent repayment orders.
Becoming a Legal HMO Landlord
To legally operate an HMO, landlords must:
- Apply for a Licence: Submit an application to the local council, providing details about the property and management arrangements.
- Pay the Licence Fee: Fees vary by council. For instance, Haringey Council charges a total of £1,360, split into two parts: £618 upon application and £742 before licence issuance.
- Purchase Appropriate Insurance: A HMO will require a dedicated HMO Insurance policy. Policies for HMOs are designed to cover additional risks to both the tenants and the landlord.
- Ensure Property Standards: The property must meet specific health and safety standards, including fire safety measures, adequate facilities, and proper maintenance.
- Comply with Additional Licensing: In some areas, like certain wards in Bognor Regis, additional licensing schemes require smaller HMOs to be licensed.
Landlords should consult their local council for specific requirements and fees related to HMO licensing.
