Recommended elements of tenancy / occupancy agreements

The licensing authority will normally require to check the form of tenancy or occupancy agreement that you use, before granting an HMO licence.

The licensing authority will normally require to check the form of tenancy or occupancy agreement that you use, before granting an HMO licence. This may be a formal tenancy or may come in another form, such as, in temporary accommodation, a list of house rules and service standards, or as part of a contract of employment or a care and support plan. This section is not intended to provide a model occupancy agreement, but to identify elements that local authorities will look to see included in all agreements.

As with the licensing conditions, the tenancy elements set out below are intended to be applicable to all types of HMO accommodation. This means that in some cases the requirements or restrictions may be “none”, but for the sake of clarity they should still be included, so that there is no uncertainty should a dispute arise. The importance of the tenancy / occupancy agreement is not simply as a piece of paper, but as a statement of intent and commitment to acceptable behaviour from both parties, which can then be monitored.

This guidance does not cover all the clauses which are required by legislation in different types of formal tenancy. You should consult with a solicitor, if you are unsure, to check that your arrangements comply with the law, and protect your rights as a landlord and your ability to regain possession of your property. The following elements cover issues which need to be clear between the landlord and the tenant to ensure the landlord can effectively manage the property, and the tenant knows what is expected of them.

• The tenancy / occupancy agreement clearly sets out the amount of rent, what it covers, how it is to be paid, how any changes of rent will be notified to the tenant, arrangements for return of rent deposits and how any deductions from the deposit will be agreed.

• The tenancy / occupancy agreement clearly sets out the respective responsibilities of the landlord and the tenant for cleaning, maintaining and repairing the property, fittings and furnishings. This includes timescales for the tenant to report any disrepair which is the responsibility of the landlord to rectify, and for the landlord to respond.

• The tenancy / occupancy agreement states that the tenant is entitled to receive 24 hours notice, in writing, of the landlord’s intention to enter the property, or areas of the property to which he or his staff do not normally have access, for the purpose of carrying out maintenance, repairs or inspection. (This does not restrict emergency access if necessary. Access for other purposes, such as cleaning, security or to provide care, should be dealt with separately where appropriate.)

• The tenancy / occupancy agreement makes clear that the tenant, and any person visiting the tenant, must not commit any form of harassment, or behave in a way that causes nuisance or distress, to other tenants, neighbours or (where relevant) staff.

• The tenancy / occupancy agreement gives details of the landlord or agent’s name and address.

• The tenancy / occupancy agreement clearly sets out whether the tenant may sublet, and any restrictions on tenants having visitors.

In assessing whether a property is suitable to be licensed as an HMO, the licensing authority will want to see that it is safe and has sufficient facilities for the number of occupants. The following paragraphs set out the aspects which will be considered.

While guidance is provided to local authorities to provide a degree of consistency between similar HMOs, the standards which will be appropriate may vary, depending on the circumstances of each case. It may also be possible to achieve an adequate level of accommodation or safety through different packages of measures. Detailed requirements can only be set by the licensing authority, taking into account the individual circumstances of each property.