This is a very common question I hear every day. If you are new to property or an experienced Investor, there is always room to learn new things. 

I'm consistently pushing myself and learning new ways to invest in Properties so that I can help people change their lives. 

One of my biggest role models is Richard Branson (Owner of Virgin) and I got to spend some time with him earlier this year and learning from a Billionaire opened my eyes to looking at life in a different way. 

The Property World is always evolving, there a number of strategies that can work, but for now I would like to speak to you about Houses of Multiply Occupancy (Also known as HMO). 

HMO also stands for House of Multiple Occupations, so what does that mean?

To keep this simple, in a HMO you would rent out all the rooms individually, also known as multi-let. Another way to describe a HMO is that its a house that is like a cash machine (you will know why in a minute). 

3 bedroom house 

Rented out to a family at £800 pcm

Expenses:

Utilities, Council tax, management fees, mortgage etc - approx £650

With taking all them into account you would be getting a profit of a whopping - 

Now lets have a look at the same house that you would be converting to a HMO.

In a HMO you would be converting the 2 reception rooms into extra bedrooms, and rent out per room basis. Depending on where you are say on average each room brings £500, now image what that would do to your bottom line. 

5 Bedrooms at £500 = £2500

Bills + Utilities + Mortgage = £1500

With one house you will be earning £12,000 per year, now imagine how many of these houses you would need?

Does the HMO Model sound good to you now? :) 

This is such a great cashflow model that anyone can do, you do need to speak to your local council first so that you can understand the HMO regulations. Each area has different requirements. 

The most common is that with a 3 storey building and 5 or more tenants you will require a HMO licence. If you are in an Article 4 area, this will not be possible but your best way to find out for sure is to speak to your local council.

Voids is something every Investor has to deal with, but there are ways to minimise this, so far in all my Properties (100 Units), I have had 100% Occupancy rate. 

The way I have managed to do that is through systemising my business and making sure all tenants are referenced properly. 

This is one strategy of many more you can learn about e.g. Flipping, Lease Options, Rent to Rent, Service Accommodation.

If this interests you, as in you can earn a lot more money and get financial freedom......

then click the link below and enter your details to my FREE Training where I will show you how you can do it and also how you can get houses for FREE?!! 

Yes FREE.... I will show you how you can use other people's money to get houses which in return will mean you don't spend anything more than a £1. 

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