HMO Rules in Scotland: What Every Landlord Needs to Know

If you're renting out a property to multiple unrelated tenants in Scotland, your property may qualify as a House in Multiple Occupation (HMO) and that comes with strict legal obligations under Scottish housing law.

Here’s everything Scottish landlords need to know to stay compliant and avoid costly penalties.

What is an HMO in Scotland?

A property is classed as an HMO if it is:

• Occupied by three or more unrelated people, from three or more separate households, and
• They share bathroom or kitchen facilities.

This includes:

• Student flats
• Young professional house shares
• Bedsits

If your property meets this definition, you must have a valid HMO licence from your local council.

Is an HMO Licence Mandatory in Scotland?

Yes. Under the Housing (Scotland) Act 2006, it’s a criminal offence to operate an unlicensed HMO.

Penalties for non-compliance include:

• Fines of up to £50,000
• Refusal or revocation of your licence
• Difficulty evicting tenants legally

Licensing Requirements in Scotland

To obtain an HMO licence, you must meet strict criteria, including:

✅ Fit and Proper Person Test

The landlord and any managing agent must pass this test, which looks at criminal records, previous housing offences, and compliance history.

✅ Property Standards

You must meet the Repairing Standard and Tolerable Standard, covering:

• Fire detection and prevention systems
• Room sizes and occupancy limits
• Heating, ventilation, and safe electrics

✅ Overcrowding Thresholds

Local authorities will assess whether your property is suitable for the number of tenants. Room size minimums and shared facility ratios apply.

✅ Anti-Social Behaviour Management

You must take steps to prevent and manage tenant misconduct, including neighbour complaints.

How Long Does an HMO Licence Last?

Most HMO licences in Scotland are granted for 3 years, though local authorities may issue shorter terms under certain conditions.

How Much Does an HMO Licence Cost?

Fees vary by local authority but typically range between £1,000–£2,000, depending on the number of occupants and property size.

Common Pitfalls for HMO Landlords in Scotland

• Renting without a licence while waiting for approval
• Ignoring new fire safety guidance for 2024
• Insufficient room sizes or overcrowding
• Poor tenant behaviour management

Don’t Forget - You Also Must Be Registered as a Landlord in Scotland

Under the Scottish Antisocial Behaviour etc. (Scotland) Act 2004, Private Landlords must register with their local authority.  The aim is to ensure that only fit and proper people are allowed to let a residential property.

Registration can be completed online via the official Scottish Landlord Register at www.landlordregistrationscotland.gov.uk. The application must be submitted by the property owner themselves.

Let Albany Lettings Take the Hassle Out of HMO Management

At Albany Lettings, we specialise in full-service HMO property management, from licensing support to maintenance and tenant oversight. We can take care of your complete HMO application every time it is required, ensuring you are always compliant without any hassle!  With Scottish legislation changing frequently, our local experts keep you compliant and stress-free.

📞 Contact us today for a no-obligation consultation.