Given rising interest rates, what's a realistic target yield for a new-build or conversion 6-bedroom HMO in a university town like Nottingham or Leeds to still be profitable after all expenses?
Quick Answer
For a 6-bedroom HMO in university towns like Nottingham or Leeds, a target gross yield of 12-15% is advisable to cover current interest rates and operating costs, ensuring profitability.
About This Topic
Achieve 12-15% gross yield for a 6-bedroom HMO in university towns like Nottingham or Leeds to ensure profitability after current 5.5-6.5% mortgage rates and expenses.
This question is part of our Buying Your First Property category, providing expert guidance on UK property investment.
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