Guide
Do I need an HMO licence for 3 tenants? (or 4?)
Updated
Three unrelated tenants make your property an HMO. Whether that HMO needs a licence is a different question, and the answer lives with your council, not in national law.
The short answer
Not under mandatory licensing. England's mandatory HMO licensing starts at 5 people forming 2 or more households sharing facilities (gov.uk). A house shared by 3 or 4 tenants is still an HMO under the Housing Act 2004, it just is not automatically licensable. It needs a licence only where the local council has designated an additional licensing scheme that covers it.
Why '3 tenants' still matters
- It is already an HMO. 3+ people from 2+ households sharing a kitchen or bathroom meets the standard HMO test, so HMO management regulations apply even without a licence.
- Additional licensing is common. Many councils, including large parts of London and university cities, run schemes that license smaller HMOs. Schemes start, end and change boundaries, so check the council's current designation, not a forum post.
- Selective licensing can catch you anyway. In a designated selective area, every privately rented property needs a licence, HMO or not.
- Planning is separate. In Article 4 areas, changing a family house to a small HMO (use class C4) needs planning permission, a different regime from licensing entirely.
How to check for your address
Find your council with gov.uk/find-local-council, then search its site for 'additional licensing' and 'selective licensing'. Councils must publicise designations, and most publish maps of the streets covered. If the property is in scope, apply before the tenancy starts, the penalties for an unlicensed licensable property are the same as for larger HMOs: a civil penalty of up to £30,000 or an unlimited fine, and rent repayment orders.
Not sure whether your setup is an HMO at all? Run the checker, it walks the household and sharing tests in order.