Whilst it is recognised that a good HMO property investment can bring better returns than stocks, shares and pensions, the key question is how much control should you take in managing your investment – or is it wise to leave it to the experts?
The most common difficulty for a self-managed investor is finding and then managing tenants. The key to your portfolio’s success will be ensuring that your properties are occupied for as close to 100% of the time as possible. If they sit empty you will still have some costs but no income to cover these and then make a return on top.
As well as this the tenants need to be sourced carefully so that your property is looked after and maintenance costs are kept to a minimum. Difficult tenants can be very expensive and cause landlords major headaches.
Using a professional agent ensures that paperwork is properly done, tenants are screened and inventory managed amongst the many other tasks and legal requirements that landlords must comply with.
Of course an agent wont do all of this for nothing, they will charge a fee and this is typically 10-15% but for a student let this can represent only 1 to 1.5% of your total yield and still leaves you a healthy return on your investment of around 9 or 10%.
As a developer with a proven track record in Liverpool, Salford and across the North West, Mistoria are specialist HMO developers with hundreds and student properties under management.
We can help you secure an additional income stream by building your armchair portfolio for you. That’s why we call it an “armchair” portfolio, we manage every aspect of the process alongside you.
We think it’s a fantastic product and would welcome the chance to show you more. Why not give us a call for an initial discussion or browse our investment opportunities on this website.