5 Tips for Effective HMO Management
What makes a HMO work?
There are two factors to balance when creating your HMO:
- Getting the most out of the property for better Return on Investment
- Meeting the expectations of tenants (YOUR CUSTOMERS)
To get the best out of your HMO development, use an experienced architect or planner. At the same time, think about the needs of your customers (the tenants that will live there).
- HMO tenants want to be relatively close to work, so locations with easy access to city centres or large employment centres work better.
- 90% of tenants want an en-suite bathroom. If you don't have these, you are restricted to 10% of the tenant market. [The bottom 10%].
- Room size is important. Just meeting legal minimum requirements is not enough. Tenants often have lots of "stuff", so room size and creativity are important. Open storage beds, plenty of cupboard space etc can help.
- Plenty of kitchen cupboard space and fridge/freezer space will be essential.
- Tenant Selection. The most important element. Careful and selective tenant processing is vital. Get this wrong and you are in for constant problems.
Planning the furniture layout in each room prior to development enables electrical sockets and switches to be located in the most suitable locations.
Ensure you have sufficient communal spaces and storage spaces in your HMO. Comfortable communal areas enable tenants to form a "community". This is shown to increase the length of tenancies, reduce maintenance issues, and reduce tenant issues. Sufficient storage space for vacuums, mops, etc keeps the place neat and tidy.
HMO Management
For more tips on preparing and managing your HMO, contact Steve at Crown Rentals. Management experts in Chester, Liverpool, and Cheshire.
