LOOKING AT MULTI OCCUPANCY LETTING

The Housing (Management of Houses in Multiple Occupation) Regulations 1990 defines and governs multi occupancy letting and requires each letting to be registered with the local authority and for that local authority to then monitor the letting, pursuing action should any of the set standards not be met. The Housing Department of the local authority will supply detailed information on the regulations and a registration form. The regulations governing multi occupancy letting include:

• fire safety - fire doors, fire alarms, emergency lighting
• overcrowding
• upkeep of the communal areas
• supply of utility services - electricity, water, gas
• display of statutory notices.

REGISTERING AS A PRIVATE LANDLORD (SCOTLAND ONLY)

From 30 April 2006, the law requires that all private landlords letting property in Scotland apply to be registered. Each applicant will be vetted and, if found to be ‘fit and proper’, will be added to the register. It is an offence for a landlord to let property in Scotland without applying to be registered. The register is available for anyone to see and includes:

• a landlord's name
• a landlord's contact address
• the name of any managing agent.

This information is available to anyone online at www.landlordregistrationscotland.gov.uk or directly from each local authority. The local authority may also release a home address on request if it is considered that the enquirer has legitimate need.

Registration lasts for a term of three years after which a landlord must re-register.

Registering as a landlord

A landlord's details must appear on the register of the local council in whose area his let property is situated. If a landlord owns property in two or more different local authority areas, he must appear on the register of each council. There is a centralised system for online applications at www.landlordregistrationscotland.gov.uk or a landlord may apply separately to each relevant local authority. Both details of the landlord himself and details of his let properties are required.

Registering HMO licence holders

Landlords who already hold an HMO (House in Multiple Occupation) licence must still appear on the register but since they have already been found to be ‘fit and proper’, they will automatically be placed on the register by the local authority. However, the details of any additional non-HMO property let by that landlord must be passed to the local authority.

Registering joint owners

Joint owners who do not together form a single legal person, must all register.

Keeping your details up to date

When you register, you agree to notify the local authority of changes to any of the information you supply.

Paying for registration

Registration attracts a principal fee, currently £55, and an additional sum of £11 per property. The payment is made at the time of application. Online applications at www.landlordregistrationscotland.gov.uk attract a 10% discount and this method is recommended when registering with more than one local authority as a discounted principal fee will apply to second and subsequent local authority registrations.

Applying for fee reductions

Holders of a current HMO licence will be exempt from the principal fee unless they also rent non-HMO properties. And joint owners within the same family will pay only one principal fee although all must register.

Changes to any of the registration details during the three-year term are free except when a new property is added to the landlord's portfolio.

Avoiding penalty payments

Late applications, defined as ‘after a local authority has issued two separate requests’, will attract a penalty payment, likely to be around £110.

Recouping registration costs

Landlords are, of course, free to recoup registration costs from their tenants through rent and should consider these costs when setting the amount. The registration cost may be regarded as an allowable expense when submitting figures for income tax purposes.