At the recent Newcastle Landlords Conference, Managing Partner Surbhi Vedhara and Solicitor Charlie Lynn spoke to delegates about common issues faced by Sweeney Miller’s landlord and buy-to-let clients including the Landlord Licensing Scheme (LLS). The Scheme is designed to help councils protect tenants, improve the quality of privately rented homes and root out ‘rogue landlords’.
Buy To Let properties can fall under 3 licensing categories:
- Mandatory House of Multiple Occupation (HMO) Licensing
All HMOs have five or more occupants living in two or more households who share facilities i.e., kitchen, and bathroom. All such properties require an HMO licence. - Selective Licensing
A local council can ‘designate’ certain areas that fall within selective licensing. All BTL properties within a selective licensing area require a licence, regardless of the number of rooms or the number of tenants. - Additional Licensing
If an area falls designated as an ‘additional licensing zone’, then any property which is occupied by three or more people in two or more households with shared basic amenities will require a licence. For example, all of Newcastle falls within additional licensing and any 3 + tenant properties will need an HMO licence.
Comprehensive information is available on the Newcastle City Council website.
Planning Permission
In addition, planning permission may also be needed if there is a change of use, unless it can be demonstrated that the use has been continuous for 10 years. Planning is an entirely different issue and even if a property has planning for use as any of the above, a licence is still needed and vice versa as there is no correlation between the 2 – just because you have one does not mean you will get the other.
Landlords should consider getting a Lawful Development Certificate if there are any concerns regarding planning when buying a property.
Of particular note is the recent case of a Landlord, Tirath Singh, in Ilford who was ordered to pay back rent received of £110,670 under the Proceeds of Crime Act. Although the Landlord obtained his HMO licence, he failed to get planning permission for the seven units he constructed at the East London property.
Landlord & Tenant and Buy-to-Let Experts
At Sweeney Miller Law we have dedicated Landlord and Tenant and Buy-to-Let teams dealing with all aspects of rental property for clients across the North East and nationally, working with established landlords with an extensive portfolio, through to first time property investors.
Alongside other prominent regional businesses, Sweeney Miller Law deliver regular events, support and updates to landlords in the local area from industry experts as part of the North East Landlords forum.
For any questions or advice about the Landlord Licensing Scheme, or any other rental property queries, get in touch with Sweeney Miller Law on 0345 900 5401 or email enquiries@sweeneymiller.co.uk.