HMO valuation in Lambeth

Sharer demand across Brixton, Streatham and neighbouring wards still supports rents, yet capital value now depends on whether the address sits inside the new Article 4 wards. Open with the rent roll, then test whether an adequate shared living area is present before picking 6.51 m² or 9 m² as the single-room floor. That fork alone can change underwritable occupancy.

Lambeth’s Article 4 direction covering two Streatham wards came into force on 11 August 2025. Inside those wards, relevant C3 to C4 changes need planning permission that did not previously apply on the same terms. A soft figure written for a Streatham address should show that gate explicitly rather than treating Lambeth as uniform.

Source: Lambeth — Article 4 direction.

Lambeth’s HMO standards expect 9 m² for one person and 14 m² for two where no adequate shared living area is provided. Where an adequate shared living area exists, the floors fall to 6.51 m² and 10.22 m², and a shared kitchen must not be used by more than five people. Standards page: Lambeth HMO amenity standards.

Capitalise occupied licensed stock outside the Streatham wards when planning is otherwise clear. Inside the wards, stress-test liquidity for post-direction exits and keep a vacant-possession fallback if planning looks thin. Method guide: valuation methods.

Hold or exit with the Streatham ward map and shared-living evidence kept beside the licence. Sale route: Sell an HMO in Lambeth. Browse live stock: HMOs for sale in Lambeth.