Managing HMOs: 5 Tips For More Success & Less Stress
HMOs or houses of multiple occupation are tenancies where at least three tenants from different households live within a property. They share the main facilities like bathrooms, kitchens, and living areas, but have private bedrooms. For landlords, managing HMOs can be challenging!
HMO lets are a popular choice among landlords in Liverpool these days. One reason for this is that a tenancy of this type can bring in higher yields. HMO landlords in Liverpool can charge rent for each room or command higher monthly rents from groups of sharers, increasing their earnings.
However, along with this benefit comes a higher level of responsibility. Even more so when you are dealing with HMO property management for several buildings.
Here are five tips to help you successfully manage your HMO responsibilities.
1 – Fire Regulation Compliance When Managing HMOs
One of your top HMO property management considerations is fire regulation compliance. All HMOs must meet specific requirements concerning fire safety to be legally rented out. You must carry out fire risk assessments, ensure fire
doors are fitted in the property, and have clear escape routes. The property should be equipped with fire alarms, fire extinguishers, exit signage, fire blankets, and emergency lighting.
2 – Furnishings in HMOs
Although you aren’t legally obliged to furnish your HMO property, furnishings will help you find tenants faster. You’ll need to provide sufficient furniture to accommodate the number of tenants living there. If there are six occupants, you must ensure you have sufficient beds and large enough sofas to meet their needs. Bear in mind that HMO furniture is more likely to require more frequent replacement due to the higher usage level.
3 – Choose The Right HMO Tenancy Agreements
As a landlord managing HMOs in Liverpool, you can choose between two types of Assured Shorthold Tenancies. You can opt for a joint AST for all your property’s tenants or separate ASTs – one for each tenant individually. Separate ASTs are often the best choice unless you rent to groups of students or friends who know each other well.
4 – Is Your HMO Well Insured?
HMOs are a higher risk than other properties; therefore, standard landlord insurance won’t give you sufficient cover. If you take out specialist HMO insurance, you’ll have the financial protection you need should your property have a flood, a fire or experience malicious or accidental damage.
5 – Inspect And Maintain Your HMO Property Regularly
Landlords managing HMOs must inspect their properties regularly to ensure that any possible maintenance issues and hazards are spotted early. Also check tenants are adhering to their tenancy agreements. However, it’s also essential to ensure that you give adequate notice of these inspections.
You must also carry out all maintenance work promptly and to a high standard as you are legally required to ensure your HMO rental properties in Liverpool are comfortable and safe to live in.
Managing HMOs is usually more time-consuming and challenging than that of a standard rental. That’s why it’s always sensible to use a specialist HMO property management company like Portus Lets Ltd.
What Do HMO Property Management Companies In Liverpool Do?
HMO managers deal with every aspect of renting out HMO properties. From finding and vetting suitable tenants to handling routine inspections and maintenance, it’s all covered. A professional HMO management company can collect rent on the owner’s behalf and deal with any issues.
To learn more about how we can help you with your HMO property management needs in Liverpool, call our team today on 0151 329 3538 or email us at firstname.lastname@example.org.