What should I do if my property is reclassified to a domestic property?

What should I do if my property is reclassified to a domestic property?

0:02 AM, 15th August 2024, About 4 months ago 2

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Hi, I have a property with eight flats, including the one I live in. I used to do holiday lettings, but due too my age (76) and less holiday makers, I have decided to let them on a six month assured tenancy.

The property is listed on the Valuation Office Agency (VOA) as Holiday Lettings (Non-Domestic) I telephoned the VOA and got an email reply to “Register for the check and challenge service.” To change the property to permanent lets.

I was told that if I did not return the form VO6048 by a certain date I would be reclassified as a domestic property. Some 15 years ago I received notification from the council that the property was no longer a HMO. I queried this and was told “It is because the property is only two stories high”.

I also asked if I could do six month or permanent lets? The verbal reply was “You can do what you like” (So I have) The question now is what do I do?

If the VOA changes the property to domestic, will the council charge council tax for each flat separately, or just for the whole property? If they charge for the whole property, can I split that cost between tenants? Do I register it as a HMO again?

I have complied with regulations such as replacing electrical consumer units (fuse boxes) with metal clad units, fire alarm tests, extinguisher tests, fitting FD 30 fire doors or substantial doors as required by the council. Is there likely to be more expensive stuff I need to do? I have the property rated as band C in the EPC rating, but one is band D when let to a benefits tenant.

Over time I have had tenants leave without warning, leaving no new address. The latest one who was here for less than three weeks precipitated an enquiry from the council who by telephone declared that: “They will visit the property”.

I am, as you could note, working as fast as I can to make the property marketable as I wish to sell it. I have had enough at 76 years old.

Best regards,

George


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Zelda Glasspell

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10:57 AM, 15th August 2024, About 4 months ago

Hello George,
Can I ask what area of the country your property is in please and if you'd like to share details with me ?
Thank you,
Zelda

Ian Narbeth

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11:48 AM, 15th August 2024, About 4 months ago

George, you write: "Some 15 years ago I received notification from the council that the property was no longer a HMO. I queried this and was told “It is because the property is only two stories high”."

Do not rely on 15 year old advice! If you are selling, then it is best to sell with vacant possession,. If you need to let the property, I suggest you find a competent agency to manage your properties or else you will find yourself in breach of the rules. It will be a disaster if you inadvertently create an HMO.

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