What tenants can I target through my HMO? - Low-cost / affordable Housing / Housing Benefit Tenants: Some landlords let their entire properties to local authorities to use as low cost housing. In return, they get an income stream and a discount. - Professionals: A growing number of working professionals rent their properties into their late 20s to 30s. They prefer higher-spec properties (often having more bathrooms), but are more stable and live a quieter life. -
You need to get the best financing deal possible in order to achieve long-term returns. Our HMO Mortgage Finance specialists are available to assist you.
A mortgage lender is never a good idea. It's not wise to approach them in the hopes of securing a loan. A specialist can ensure that the right lender is approached, and that you are eligible for the best rates. For more information, or to make an enquiry, simply contact our experts with your questions.
What is an HMO-mortgage? HMO mortgages can be used by landlords to rent their property to more tenants than one household. These specialist buy to let mortgages offer some key distinctions.
Naturally, higher potential rewards are associated with higher risk. A traditional buy to let will have a higher turnover, but you're also more likely than a traditional buy to let to have tenants that leave. Each additional tenant is an unknown variable (e.g. What will their rent be? Do they cause any damage? Are they likely to cause problems? Also, you will need a specialist mortgage.
For a great long-term return, it is important to get the best finance deal. Reach out to our HMO Mortgage finance specialists.
HMOs may not be valued equally by lenders. Some will base their valuation on rental income, while others will base it on the HMO being a regular home. This can reduce the amount you are able to borrow, which defeats why an HMO mortgage is needed.