HMOs have driven amateur landlords away

The introduction of the House in Multiple Occupation (HMO) licensing laws two years ago has driven many inexperienced landlords away from the market, according to a landlord adviser.

Chris Horne, editor of Property Hawk, claims that the unveiling of the HMO laws - which required some landlords to install special fire systems costing up to £10,000 - have made the private rented sector more specialised.

Since July 6th, 2006, landlords failing to license their properties as multiple-occupancy have faced prosecution by councils fines of up to £20,000 - in a government initiative designed to protect tenants.

"I think a lot of them [landlords] have found it a nuisance. It's scared a lot of amateur landlords off doing HMOs because of the potential cost implications," said Mr Horne.

Earlier this month, Property Hawk also revealed there is still a lack of awareness amongst landlords about what is required of them in meeting the HMOs standards.

UK Property News posted on 25/07/2008 16:00:17