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Description
This HMO has loads of potential as its currently been run as a 4 bed however it used to be a 5 bed.
Rents as its current layout could be vastly increased to obtain a better yield or with a few tweaks this 4 bed could become a fully licensed HMO.
Current gross yield - £19,920 Per year
Potential with same layout - £23,660 - 25,480 Per year
Potential as a 5 bed HMO - £27,560 - 29,640
Current lay out of the property and rents :
Ground floor
- Kitchen
- Room 1 (£495 pcm) - This room has its own living space, bedroom and Ensuite. In the past this has been 2 bedrooms one of which has the en suite and the other sharing the house bathroom on the 1st floor.
First Floor
- Large house bathroom currently been shared by 2 of the rooms
- Room 2 - Standard double room (£325 pcm)
- Room 3 (£345 pcm) - This has its own living area and bedroom and shared the house bathroom with room 2.
Second Floor
- Room 4 - This room has its own living area, bedroom and en suite. It is currently vacant however on last rental was obtaining £495 pcm)
This property has a certificate of lawful use.
What you could do with this property?
You could keep the lay out as is. If these rooms were listed on todays market you could expect the following rents :
Room 1 - £6,760 - 7,280
Room 2 - £4,940 - 5,200
Room 3 - £5,200 - 5,720
Room 4 - £6,760 - 7,280
If you was to look at turning into a 5 bed HMO you would have to cost in a few compliance costs for example the property would need a fire panel system as well as emergency lighting installed as what is needed now is only a interlined smoke alarm.
You can use the floor plan along with the guidance from the council to work out its amenity standards.
Please note currently some of the rooms have a kitchenette, this can sometimes cause issues with lending so you must check to see if this is ok however the owners of the property will remove any additional cookers if needed.
The council tax is one band and this is band A
The information we have received on outgoings for the utilities are :
WiFi £29.50 per month (new owner would have to find their own deal)
Water £39.20 per month (Yorkshire water)
Gas and Electric £214.57 (average over the year)
Council tax £132 per month (standard over 10 months)
This property is tenanted and we need to give ample notice to them to be able to view.
If you have any other questions or you would like to view our buyers pack please do let us know.
We also offer a HMO management service which is 15% vat included. If you would like to see sight of our terms for this service please le us know.
Council Tax Band: A
Tenure: Freehold