HMO Licensing & Planning Explained

Planning and licensing are very different entities, but far too often investors seem to confuse them when it comes to projects. In this week’s show, Simon lays out a simple-to-follow guide to both areas, that will ensure your knowledge is up-to-date, and prevent you from making costly mistakes!   KEY TAKEAWAYS In October 2018, licensing requirements changed. Any property with five or more tenants now requires a license. For more guidance speak to the HMO licensing department of your local council. A National Landlord Association accreditation course can provide an exhaustive course on all landlord responsibilities, as well as mean a discount on your council license fee. Minimum room sizes also play a part in whether your property requires a license. Some councils have interpreted this in their own way, so check with the relevant department. Planning permission is always required for properties containing seven or more people, as you will be changing the identity of the building into a “class of its own” If you need planning, seek the HMO department of your council and ask them if Article 4 is in effect, and when it came in. This can spark a gold rush in some areas among investors.   BEST MOMENTS ’Some see this as a revenue-generating exercise. It’s not supposed to be that’ ‘Once you understand it, it’s actually a very straightforward process’ ‘Councils don’t like lots of HMOs in concentrated areas. They call it student-ification’ ‘You can make very expensive mistakes just by not educating yourself'   VALUABLE RESOURCES To access Simon’s online training course, go to  www.HMOcourse.co.uk Property Magic: How to Buy Property Using Other People's Time, Money and Experience by Simon Zutshi iphone:  http://bit.ly/pinAPP1 Android https://bit.ly/pinAPP2 Register at Mindset For Property at - www.mindsetforproperty.co.uk  PIN Meeting - www.pinmeeting.co.uk (Use ZUTSHI as your voucher code to get your first meeting for free)   ABOUT THE HOST Simon Zutshi, experienced investor, successful entrepreneur and best-selling author, is widely recognised as one of the top wealth creation strategists in the UK. Having started to invest in property in 1995 and went on to become financially independent by the age of 32. Passionate about sharing his experience, Simon founded the property investor’s network (pin) in 2003www.pinmeeting.co.uk.    pin has since grown to become the largest property networking organisation in the UK, with monthly meetings in 50 cities, designed specifically to provide a supportive, educational and inspirational environment for people like you to network with and learn from other successful investors. Since 2003, Simon has taught thousands of entrepreneurs and business owners how to successfully invest in a tax-efficient way.  How to create additional streams of income, give them more time to do the things they want to do and build their long-term wealth. Simon’s book “Property Magic” which is now in its sixth edition, became an instant hit when first released in 2008 and remains an Amazon No 1 best-selling property book. Simon launched his latest business, www.CrowdProperty.com, in 2014, which is an FCA Regulated peer to peer lending platform to facilitate loans between private individuals and property professionals.   CONTACT METHOD Contact and follow Simon here:   Facebook: http://www.facebook.com/OfficialSimonZutshi  LinkedIn: https://www.linkedin.com/in/simonzutshi/ YouTube: https://www.youtube.com/SimonZutshiOfficial Twitter: https://twitter.com/simonzutshi Instagram: https://www.instagram.com/simonzutshi/