Beyond traditional single-let properties, are HMOs or short-term lets likely to offer significantly better returns and resilience against potential market downturns in 2026, considering increased regulation and local licensing requirements in certain areas?
Quick Answer
HMOs and short-term lets can offer higher gross returns but face increasing regulatory burdens and localized costs. Their resilience against downturns depends heavily on careful analysis of operating expenses, licensing requirements, and potential discretionary council tax premiums.
About This Topic
Assess HMOs and short-term lets for 2026 returns. Learn about new Council Tax premiums (100% from April 2025), HMO licensing rules, and EPC changes. Maximize your property investment profit.
This question is part of our Tax & Accounting category, providing expert guidance on UK property investment.
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