HMOs are one of the most profitable sectors in the buy to let market. Research shows that landlords can earn around 3 times more letting out rooms in a shared house, compared to letting a property to a single family. Rental arrears or empty rooms are less of an issue too as you still have rent payments coming in from the other tenants.
However, an HMO does mean that you have more tenants, which can mean more work. HMO properties are heavily regulated. This means that you need to stay on top of laws, legislations and regulations. That said, when you team up with a lettings company like the team here at AGT Property Management and Lettings – we can manage your HMO property in Peterborough and look after your tenants for you.
If you are ready to find the right HMO property for your rented property portfolio in Peterborough, there are certain things you need to consider. We can help you source an HMO property if you would like? Just give us a call.
There are certain homes that are more suited to HMOs than others. For example, older Victorian Houses are well suited to becoming HMOs. This is because they often have larger rooms and are set over three floors. There will also be sufficient space for a bathroom to be created on each floor, if there isn’t one already. It’s important to note that older properties will often require more remedial works though, because of their age.
If you are new to the HMO business, it may be worth considering an existing HMO property. This will often be sold to you complete with the tenants. That way, most of the work has been done for you. You will just need to check that the property meets HMO licencing requirements to ensure you, the property and your tenants and safe and legal.
When choosing your HMO property in Peterborough think about how many bathrooms are in the property and if there is enough for the tenants. If not, is there room for additional bathrooms in the property? Is the kitchen large enough for a shared house too? Think about parking too as this will be important to your tenants and neighbouring homes.
If you are considering converting a family home into an HMO, check the planning permission you need. If you were to convert a house illegally you could be asked to turn it back to its original layout, which will be very costly.
Need help sourcing or managing your HMO property in Peterborough? Call our team now.
