Is an EPC required for an HMO where rooms are let out on a room by room basis? Our landlords pay the bills and rent rooms individually.
There is a lot of conflict about whether an EPC is required for nothing other than validating a section 21.
Some landlords have EPC’s done so that they can satisfy section 21 legislation should we be asking all of our HMO landlords to get an EPC in case they need to issue a section 21?
3 Comments
The government guidance states that an EPC is not required where the dwelling is not self-contained i.e. they share facilities. Therefore “bedsit” type rooms do not require one according to the guidance.
However, we disagree. The legislation refers to an EPC being required for a “building” which uses energy to heat the building (hence a garage does not require an EPC). We need to remember it’s not about cost – it’s about how much CO is emitted into the atmosphere. It’s coincidence that if you reduce the CO, you also reduce the cost. That’s why who pays the bills is not relevant to the question (for example if all bills were included in a normal house letting, it still needs an EPC).
It’s true that the legislation then talks about giving an EPC to the prospective tenant of a “self-contained letting” but we still don’t agree that negates the requirement for a “building”.
You have also hit the nail squarely on the head in respect of section 21. Is it worth the argument for £75.00 for an EPC which lasts 10 years? In our view no.
Therefore, our advice is where the house is bedsit type accommodation (individual room lets), to get an EPC for the whole house and give that to prospective tenants and ultimately attach it to the tenancy of whoever becomes the actual tenant. No arguing that way.
There is also the requirement to have provided the tenant with the EPC in order for a Section 21 to be permissible. I don’t believe there’s any provision exempting bills-inclusive HMOs from this.
Thank you. I’ve advised all of our landlords it’s in their best interests to get EPC’s completed.