Jump to content

HMO conversion by train station connecting to London


Recommended Posts

HI, hoping for a little advice.

 

I'm buying a 3 bed  semi in the SE which is in great condition and because the area ( Didcot)  has a pretty buoyant  market, I'm buying at full market value . 

 

I'm planning on doing about 15K of work to  create a 5 bed HMO ( 2 single rooms, and 3 doubles). Its location  is the most important factor in its desirability as its really close to the trainline serving London.

 

The area has decent demand- its a market town but there is ready employment from 2 science and industrial parks and  a new shopping centre which is being built- so professional renters. There are no universities/colleges.

 

I'm told  by management agents that singles are being rented by folk who are  interested in

 

After management costs ,  allowing for 7% voids ,  maintenance  and mortgage, this leaves about 790 pounds in profit per month and a 15% ROI.

 

 

My questions to those with some experience-

1. is this profit  enough of a  buffer in case demand is as high as expected

2. There is demand for single rooms but is it taking too much of a chance on having two singles ?

 

I'm really grateful for your advice.

 

TS

Link to post

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
×
×
  • Create New...