HMO properties are some of the most lucrative investments on the rental market. In the last decade, demand for HMOs in the UK has grown by 25% helping landlords reach gross rental yields as high as 15%. The rise of build-to-rent, however, means landlords have to pay particularly close attention to their HMO Interior Design, as design-led living spaces are the key to attracting quality tenants.
BTR provides residents with a range of extra amenities, but this often comes with a steeper rental figure. Because of the costs, an HMO that offers the core elements of co-living to a high standard is still significantly appealing to renters.
The essence of co-living can only be reached if landlords focus their attention on HMO Interior Design. By focusing on the purpose your property will have to renters and by giving them great value for money, your UK-based HMO will never be short of tenants.
In this blog, we will explain how important Interior Design is in creating a successful investment.
HMO Interior Design Helps Form a Community
Both HMOs and BTR properties have the potential to help residents form close-knit communities, but there’s always room to improve on this through Interior Design. With the extra amenity space and more residents to interact with, build-to-rent appears to have a bigger advantage over HMOs in this regard.
However, this doesn’t have to be the case. HMOs are well known for bringing residents closer to one another. As an example, Progressive Property states most typical student rentals are HMOs, and many students who move away from home for the first time struggle in unfamiliar surroundings without help and support from housemates.
JLL’s UK Student Housing Report noted student wellbeing is a high priority among educators and housing operators. It’s estimated a third of students are currently experiencing depression or loneliness with relationship difficulties and quality accommodation being two major concerns.
The right HMO Interior Design can do a lot to help residents combat loneliness. Communal spaces need to be open and inviting to allow residents to feel more relaxed and at home. This can help create the
perfect opportunity for residents to start talking and forming friendships. To ensure residents are comfortable in their surroundings, cosy seating and creative interior design is a must, as it will encourage them to spend more time in communal areas than in their private quarters.
Promoting wellbeing and advocating the growth of friendship not only helps residents with their mental health, it gives them a reason to stay in the property for longer, meaning there’s a good chance your tenants will spend the foreseeable future renting from you.
LOFT has advised many landlords on how to use their space effectively. With our help, HMO properties across the UK have become small but close communities that residents don’t want to leave. Our Interior Design team specialise in community living, and have the expertise and knowledge to transform any HMO into a social hub.
Your HMO Has to Appeal to the Target Market
HMO Interior Design should always be centred around what the target market expects from premium living quarters.
As an example, many HMOs in the UK are rented by students and young professionals who want social interaction with other residents, but a private place where they can work or study productively. When designing the interior of an individual’s room, it’s important to take this need into consideration.
Your choice of furniture should reflect what a room is going to be used for. By installing a work desk, suitable shelving and decorating the room with bright but tranquil colours, you can create an environment that will greatly appeal to anyone who needs some personal space to work.
Communal areas, such as the living room and kitchen, are places where you can instill more character. Vibrant colour schemes, spacious furniture and unique statement pieces create cool spaces where residents can relax in each other’s company. Bold interiors have the potential to encourage tenants to be bold themselves, opening up a dialogue and helping to form a tight-knit community.
Residents Expect Value For Money
To make a sizable return on your investment, it’s important to remember tenants will expect the property to be completed to a high standard. If the furniture you’ve provided doesn’t reach their expectations, you’ll find it difficult to source tenants unless you’re willing to rent space out at a lower price.
Fortunately, luxury furniture doesn’t have to be expensive and can be a great way to increase your ROI after the initial expenditure. The
furnishings you use in your property are important in making a good first impression on potential tenants. By picking luxury, stylish and comfortable furniture, it shows that you care about your tenants quality of life, which in turn adds to the possibility of them staying for the long term. LOFT has a fantastic range of landlord furniture packs that bring a touch class to all HMOs for a low price. Take a look at what we have to offer by clicking here.
How LOFT Can Help With HMO Interior Design
Appealing HMO Interior Design can be difficult to get right, as a lot of focus has to go into making communal spaces friendly and inviting, whereas private quarters have to cater to an individual’s need for peace and tranquility. Finding that balance requires the vision of an expert Interior Designer.
At LOFT, our Interior Designers have shared their skills and knowledge to improve the lives of residents in HMOs with countless landlords in the UK. The team here specialises in creating spaces that encourage social interaction among residents, but we also understand how important it is for tenants to have their own unique and private rooms.
From start to finish, our team can help. Our Interior Designers know how to put a room together perfectly, and our installation crew will deliver and set up anything you order from us to save you time and money.
For more information on our services, get in contact with the LOFT team today.