We specialise in developing residential properties into
high-yielding, high-end Houses of Multiple Occupation (HMOs).
We develop residential properties into high-yielding Houses of Multiple Occupation (HMOs). Our process often involves stripping the property back to brick and extending into the rear and loft to create additional space and bedrooms, maximising both the property's capacity and rental income potential.
We leverage our team of expert HMO architects, builders, and planning professionals to deliver top-quality developments.
This allows us to transform original spaces into amazing, modern living environments that meet the highest standards.
We are passion and committed to reshaping the future of rented accommodation by providing high-quality, luxury and affordable living spaces.
Our goal is to create amazing HMO rooms with our properties that set new standards for modern, comfortable and accessible housing for our tenants.
We acquire properties below market value to ensure maximum return on investment. This strategic purchasing approach allows us to identify opportunities with strong potential for growth and profitability.
Our team strips properties back to brick and modernizes them to meet the latest standards. This ensures a high-quality finish, energy efficiency, and long-term durability for tenants.
We add value by extending into the rear and loft to create additional bedrooms and increase the property’s capacity. These modifications not only boost rental income but also enhance the overall appeal and functionality of the property.
By converting residential houses into commercial properties, we generate high-yielding income for our investors. This transformation maximises property valuation and creates stable, long-term revenue streams.
Our professional HMO lettings and management services ensure smooth and efficient property rentals. We handle tenant relations, maintenance, and compliance, providing peace of mind for property owners.
We are excited to introduce our latest development project, a 3-bedroom house we are transforming into a 6-bedroom luxury HMO, expertly designed to maximise space and comfort for our tenants.
The location is less than 2 miles from the Town Centre, this property allows the benefit of great rental yields and the potential of long term growth. This house has great access to transport links, including being on the main bus route into the town centre as well as being situated close to the A14 major motor to the north and south of the country. This property is situated between a variety of large employers and companies, including the Anglia Retail Park, Hadleigh Road Industrial Estate, Amazon Warehouse and closely located to the employers within the town centre. Additionally, the house provides two off road parking spaces and the road provides additional on road parking too.
The original floor plan consisted of a traditional 3 bedroom family house spread across two floors, offering basic accommodation with limited capacity. Here we will look to develop this further, scroll down to see how we will do this.
For this specific development, we will be transforming the property to feature 6 bedrooms, including 4 studios and 2 ensuite double rooms, by extending the ground floor at the rear and expanding into the loft. This upgrade will increase the square meterage of the property by over 20m² and create three additional bedrooms.
Here’s a breakdown of the key financials for this deal.
Explore the attractive investment rates we are currently offering to our investors on this deal.
What exactly is a House of Multiple Occupation (HMO), and how does it differ from other rental properties?
A House of Multiple Occupation (HMO) is a rental property where three or more tenants who are not from the same household live together and share facilities like a kitchen or bathroom. Unlike single-let properties where one family or group rents the entire house, HMOs are rented out by individual tenants, often leading to higher rental income due to multiple sources of rent.
What are the potential financial benefits of investing in HMO properties compared to other types of real estate investments?
Investing in HMOs can offer higher rental yields due to multiple tenants contributing rent. They can provide a more stable income stream with reduced vacancy risks, as having several tenants means that the impact of one vacancy is less significant. Additionally, HMOs often have lower turnover rates compared to single-let properties, contributing to steadier cash flow.
What are the regulatory and legal requirements for HMOs that I should be aware of as an investor?
HMOs require an HMO licence from the local council, which ensures that the property meets safety and habitability standards. Regulations include compliance with fire safety rules, room size standards, and the provision of adequate facilities. It’s important to stay updated with local regulations and ensure the property meets all required standards to avoid penalties and ensure tenant safety.
How do you determine whether a property is a good candidate for conversion into an HMO?
We evaluate properties based on their location, condition, and layout. Key factors include proximity to public transport, local amenities, and demand for rental properties in the area. We also consider the property’s potential for refurbishments and extensions to maximise the number of rentable rooms and ensure it meets HMO standards.
What are the typical costs involved in an HMO development, and how can I assess the potential return on investment?
Typical costs include the purchase price of the property, refurbishment and renovation expenses, licensing fees, and ongoing management costs. To assess the potential return on investment, we analyse projected rental income against these costs, considering factors such as vacancy rates and property appreciation.
How can I be assured of the quality and success of your HMO development process, and what experience do you bring to the table?
At R Charles Property Ltd, our process involves thorough market research, meticulous planning, and high-quality refurbishments to ensure each project meets and exceeds regulatory standards. We identify promising properties, manage the refurbishment efficiently, and deliver exceptional results. We leverage experts in all fields, including specialist HMO builders, architects, and planning and licensing officials, to ensure each project is executed to the highest standards.
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