The Complete HMO Property Investment Strategy For Landlords
With the returns on investment, they deliver it’s easy to see why houses in multiple occupation (HMOs) have become so popular over the last few years. The demand for affordable housing is increasing exponentially in most large towns and cities and there is currently a lot of pressure on the housing market to supply what’s needed; namely, cheap and flexible living possibilities for a variety of different tenant types.
Renting by the room alleviates a lot of the pressure that is currently placed on the UK’s housing stock.
The reason for this is twofold.
1) It’s more affordable for the tenant.
2) It increases capacity. Single buildings can be used to provide multiple homes.
HMOs can work for many tenant profiles from social housing, to students, to professional tenants.
And, they are also becoming very popular with landlords. This is because the returns that landlords can achieve with HMOs are excellent.
Often, a landlord can expect double the yield from an HMO than they would from a vanilla buy to let.
So the business model for HMOs looks great. Both sides of the equation are catered for. You have a rising demand as well as a rising supply – making for a perfect match!
Source: Property Investments UK | Originally published on: 31/10/2017 | See the original post on Property Investments UK