Why investing in Platinum can be good for you and your HMO tenants

When you care about more than profits, it shows. Just one of the many reasons why Platinum Property Partners’ network is enjoying consistently high occupancies across their HMO properties.

When it comes to making a difference, many of us want to do our bit to make the world a better place. Which is why investing in Houses with Multiple Occupancy (HMO) property feels so good, to many of our Platinum franchise partners. It’s a win for our tenants, and a win for our business owners. But, let’s show you how:

Providing people with homes they love

For young professionals, the idea of staying at home because they can’t yet get on the property ladder is not something they want to do. But what are the alternatives? When it comes to the kind
of homes young professionals want to live in, our HMO landlords have turned the tables with gorgeous properties anyone would be proud to call home. No pokey-hole bedsits or squashed in
a room-rentals for us, thank you! Our homes are stylish, elegant, with an air of calm spaciousness.

As one of our Franchise Partners, Andrew Wallace, said, “People in their 20s and early 30s have a right to live in a decent location in great quality accommodation – especially when they do not want to buy a flat in the area because they might be moving jobs in 12 months or so.”

Providing people with a sense of community

When you bring like-minded people together, you automatically build a sense of community. Something our franchise partners take into consideration, when they rent out one of the rooms within one of their properties. The wrong person, in the wrong HMO can unbalance the home’s equilibrium, causing unnecessary problems for your tenants. One group of our franchise partners, who collectively own Snug Living, go so far as to encourage their community of housemates to enjoy life together by hosting various events, like May’s Tapas night, throughout the year. When you create a sense of purpose and community, your tenants won’t want to leave!

Providing people with cost-saving measures

For many young professionals, the chance of saving is often a priority, made harder over recent years, thanks to the cost-of-living crisis. Our tenants quickly discover how renting a high-quality room in one of our HMOs, works out to be around 50% cheaper than single tenancy letting.

  • Renting a room vs 1-bed flat could save tenants at least £3,660 a year
  • The average cost to rent a one-bedroom flat was around £708 per month (September 2022 data) [1]
  • Average bills on minimum usage for this property size is an additional £305 per month (September 2022 data) [2]
  • In comparison, Platinum Property Partner tenants pay an average monthly room rent of £695, bills included

This is not because our franchise partners cut corners or under-charge, it’s a matter of sharing the burden between multiple housemates, when it comes to bills and other household items needed throughout the year.

Providing you with a profitable business

The Platinum Property Partners promise is to help you build a portfolio of HMOs which will yield a strong return for you. By following our model, and taking onboard the advice and guidance of our experts, we can help you elevate your portfolio, and have a positive impact on the lives of your future tenants.

Julia and Phil Matthews, who own 5 HMOs with 30 tenants in Swindon and Andover, have adopted a meticulous approach and management style to not only maintain but enhance the quality of their properties. This has led to them attracting loyal tenants. "After 6 years, our properties still look as good as they did on day one. We have an average occupancy rate of 97%, with tenants staying for years," Julia says proudly. “Having followed the high-standard process taught by PPP, we have only ever had three problematic tenants and in fact, six love stories in our houses too!”

Andrew & Christina Wallace levelled up their first 7-bedroom HMO, originally a 3-bed house, in 2014, investing in a further two 8-bedroom HMOs within years. “All our properties are running at 99% occupancy. The returns have been even better than we expected - 22% ROI and £35,000 annual profit per property on average.”

So, what about you? Could you do more with your property? Contact Platinum today, and let’s see what we can help you achieve.

[1] www.property118.com/research-reveals-cost-benefits-to-tenants-of-living-in-an-hmo/

[2] www.property118.com/research-reveals-cost-benefits-to-tenants-of-living-in-an-hmo/