The 5 Essential Steps to Building a Successful HMO Business in Liverpool
Whether you’ve already invested in a HMO in Liverpool or whether you’re considering taking the plunge, you’re sure to want to make a success of your investment.
Managing a HMO can be complex and finding ways to ensure your property business is sustainable, profitable, and future proofed couldn’t be more important.
The team at Portus Lets Ltd. is bringing you the five essential steps to building a successful HMO business, so you can make the most of your property investment.
1 – Understand the Local Population and Popular Locations
If you’ve already purchased your HMO, it may be a little too late for this first step, but if you’re still debating which properties are right for you, it’s essential to gain an in-depth understanding of the population and where in Liverpool they want to live.
- What do the local statistics tell you?
- Are there enough people living in your chosen area looking for HMO accommodation?
No matter how appealing you make your property, if it’s poorly located and there is a lack of demand, it can never be truly successful.
2 – Build Key Relationships
HMO investment has many moving components, so building strong relationships with the key people who can support you in your enterprise is vital. You need to work to establish connections with local agents, suppliers, and builders so that you can be confident of everything running smoothly once your HMO is up and running.
3 – Understand Where Your HMO Is Going to Fit into the Local Market
If you’re going to invest in any business, you need to understand its local market and where you fit into it. You’ll need to look closely at property specs, room prices, and what your competitors are doing so that you can position your HMO appropriately.
Knowing the HMO marketplace in Liverpool will allow you to determine the right rental prices and the best tenants to market your property to.
4 – Get to Grips with Planning and Licensing Requirements
These days, planning policy for HMOs is complex. You need to get to grips with what your local council needs from you, what approach their planning
department is likely to take, the timeframes you’re likely to encounter, and how you will demonstrate your property’s use before you make your investment.
You’ll also need to determine what you need to do from a licensing perspective. There are nationwide guidelines that you are required to comply with nationwide if your HMO will be home to five or more tenants, but there may also be local requirements too, especially minimum bedroom sizes and amenity standards. Making an error with this could be a costly mistake, so take the time to learn all the facts before you jump in.
5 – Who Will be Responsible for HMO Management?
Managing a HMO is no mean feat, and it’s an area where a lot of landlords fall down. Trying to undertake the task independently can be stressful, time consuming, and challenging.
The best course of action is to find a reliable HMO property management company like Portus Lets Ltd. Our team are experts and have years of experience.
To find out more about how we can help, get in touch with us today. Call us on 0151 329 3538 or email us here hello@portuslets.co.uk.