Houses in Multiple Occupation

A property is classed as an HMO if three or more unrelated persons rent the same home, possibly sharing facilities like bathrooms and kitchens. Not all properties are suitable to be HMO’s and there are a number of extra regulations and costs but HMO’s can be substantially more profitable in comparison to standard residential lets. HMO’s have more overheads but can produce up to 75% more rental income and a ROI of 8% to 15%