Council tax liability in HMO flats in Edinburgh
Edinburgh is a student city and many of Edinburgh’s letting agents manage HMO (Houses of Multiple Occupation) properties. One of the first questions investors and landlords enquire about is – who will be liable for the council tax in an HMO in Edinburgh?
Here are two types of HMO lettings
- The property is let to a group of sharers.
- Rooms are let out to individuals.
Flats let to a group of sharers
Flats where rooms are let to individuals
In HMO properties where each bedroom becomes a separate dwelling and each tenant signs individual lease agreements, it is the landlord who is responsible for the council tax. Letting agents should recommend that landlords take the additional expense into account when setting rents. In this scenario rents quite often include other amenities, such as internet, gas and electricity.