HMO remortgage

Underwriters care about licence status, maximum occupancy, rent evidence by room, and sometimes planning use. A clean single-let track record does not automatically transfer. Read the HMO mortgage overview and mortgage valuation notes before you assume a high street product fits.

1. Clarify your goal — rate change, capital raise, or product-term end.
2. Gather licence, rent schedule, gas/EICR, and planning evidence.
3. Speak to a broker authorised by the FCA about product criteria.
4. Expect a panel valuation suited to HMO use.
5. Compare fees, ERCs on the current deal, and stressed affordability — yourself or with the broker.

Illustrative repayment maths only: the mortgage calculator tool (not an offer).

HMO use usually needs disclosed landlord/HMO insurance. Further reading: property insurance and landlord insurance comparison articles on AgentHMO when you review cover with your insurer — product choice is theirs. Any lenders listed on AgentHMO are for discovery only and are not recommendations.

Without a required licence, many lenders will not proceed. Use the HMO licensing guide early. Soft asset value: AgentHMO valuations.

Some owners compare remortgage cash-out with selling. That comparison needs your own tax and advice stack — AgentHMO will not pick. Sale with a charge is a different process overview on the mortgaged-sale article.

• Recommend a lender from any lenders directory
• Quote live rates as fact
• Tell you to remortgage instead of selling

• mortgage advisers authorised by the FCA
• Lender criteria guides (product-specific)
• GOV.UK — HMO licence

Expect: proof of ID and income/company accounts as relevant, tenancy or room-rent schedule, bank statements, licence PDF, EPC, gas and EICR, buildings insurance, and sometimes a portfolio schedule. Incomplete packs slow offers more often than rate shopping does.

If your current product still has an ERC, put the charge in the break-even maths beside any fee on the new deal. Timing completion around ERC expiry is a common broker conversation — still not advice from AgentHMO.

Raising capital against HMO equity depends on lender LTV caps for HMO stock and the panel valuation. Optimistic online equity calculators ignore both. Use human criteria before you commit to works funded by a raise that may not land.

If the house is unlicensed where a licence is required, or major fire works are outstanding, fix compliance first. Paper rate savings rarely survive an enforcement letter.