Hammersmith and Fulham is the latest in a succession of boroughs to introduce additional and selective licensing schemes in the area, with the National Landlords Association urging local buy to let property investors to be aware of the changes.
Landlords who own investment properties in the London borough of Hammersmith and Fulham will now need to pay for licences in order to let certain types of property on the private rental market. The scheme came into effect on the 5th of June 2017, and will run for the next five years.
The additional HMO licensing scheme is applicable to landlords across the borough who rent out a property that is occupied by three separate people who do not make up a single household. The residents must also share a kitchen, bathroom and toilet.
The criteria for the selective licensing scheme is dependent on area rather than property type. Landlords must obtain the licence if they let any form of private rental property on certain streets in Hammersmith and Fulham. However, they are exempt from this new licensing requirement if their property already requires a licence under the additional or mandatory licence schemes.
To obtain the additional and selective licences, landlords will need pay a flat fee of £540 per licence. This will last the duration of the scheme’s five year period.
Other areas to recently introduce landlord licensing include Nottingham, which announced last week that a proposal for a scheme had made it past the local council.
However, landlords who have signed up to the ‘landlords’ rental charter’ will be offered a £50 reduction in price per property. Furthermore, if a landlord is a member of a recognised landlord body, such as the National Landlords Association (NLA) they are able to receive a £75 reduction in the cost of the scheme.