398.This section sets out the meaning of references in this Act to a “relevant HMO”. This includes all HMOs wholly or mainly in Wales other than that which subsection (3) excludes. Those exclusions cover houses containing more than one dwelling unit (e.g. two or more flats), houses occupied by people who share the same rights to the whole property (e.g. where a group of people occupy a whole house under a single joint tenancy), houses occupied by an owner, leaseholder or tenant and no more than two lodgers, and houses under the control or management of a Police and Crime Commissioner. Subsection (3) also allows the Welsh Ministers to make regulations excluding other types of properties from being relevant HMOs.
399.Subsection (5) provides that a relevant HMO includes other areas and structures like gardens, garages and sheds which are available for the residents’ use. Where a relevant HMO is part of another building it also includes the structure and exterior of the building adjoining the HMO, and any common areas of the building for the use of the residents of the HMO.
400.It is possible that a relevant HMO may be part of a regulated building – for instance, if one or more flats in a block is occupied as an HMO. In that case, subsection (6) provides that the HMO does not include the common parts of the building, as they are covered by the provisions in the Act relating to regulated buildings.
401.Subsection (8) provides a power for the Welsh Ministers to make regulations to amend this section except subsection (1).
Commentary on Sections Key terms Section 78 - Meaning of “relevant HMO”