What is a HMO?
A HMO – or ‘House of Multiple Occupants’ – is a property rented by at least three people from separate households who share facilities (e.g. bathrooms and kitchens).
HMO property investments – the benefits
There are numerous benefits to reap when investing in HMO property, such as:
High rental yields
As a rule, HMOs are continuously outperforming other types of buy-to-let properties. Profit and increased income from HMOs makes for a higher return on your investment.
Less impactful void periods
With multiple occupants renting rooms at any given time, void periods are less of a threat to your cash flow and rental income. What’s more, your student tenants will all have guarantors as a rent safety net for extra peace of mind.
Consistently high demand
The increasing student population in Edinburgh means you will always have a vast pool of potential tenants to choose from.
If you’re a property investor looking to diversify your portfolio, investing in an HMO property is another string to your bow.