I'm a first-time investor looking at a HMO conversion. What gross rental yield percentage indicates a genuinely good deal for a 4-bed HMO in a university town, given increased licensing and management complexities?
Quick Answer
For a 4-bed HMO in a university town, aim for a gross rental yield of 12-15% to buffer increased costs and complexities. This range provides a healthier income stream compared to typical single-let properties, making it a genuinely good deal for first-time HMO investors.
About This Topic
First-time HMO investor? Discover the ideal gross rental yield for a 4-bed HMO in a university town to ensure a genuinely good deal, factoring in licensing, management, and current UK property regulations.
This question is part of our Buying Your First Property category, providing expert guidance on UK property investment.
Expert Guidance from Steven Potter
Steven Potter is a UK property investment coach with a £1.5M portfolio and over 5 years of hands-on experience. He has helped over 1,000 students achieve their property investment goals through practical, ethical strategies.
Ready to Take Action?
Get personalised property investment coaching with Steven Potter's Property Freedom Framework.
Learn about the Property Freedom Framework