HMO FINANCE

ClosedBridgingFinance have pioneered the HMO (House of Multiple Occupancy) Bridging Finance Strategy enabling experienced professional property investors to buy a property, convert it into an HMO and leave No Money Left In. Your recycle your funds and repeat the process to build a high yielding HMO portfolio with little to no money left in each property. It’s the power of Leverage.

You need cash to fund the deposit and refurbishment costs including legals, stamp duty, bridging fees and furnishings, within 3 months you can pull all cash back out of the deal using our Commercial Finance facility. Call 08456 440 911 for more information.

We use a combination of your cash and short term bridging funds to purchase a property that can be converted into an HMO that meets all HMO legislation with the local authority in the area. Prior to the purchase, we arrange for an Exit with a Commercial Lender. This gives you certainty and peace of mind. As all good investors know, cash is king, HMO’s can generate significant cash flow compared to single lets.

To find out more about this exciting strategy, complete the form here to access the FREE HMO Strategy Report. This will revolutionise the way you invest.

Example HMO Deal:

Purchase a 6 Bed Property to convert into an HMO. Bridging provided for 4 months. Commercial Mortgage arranged to take out the Bridge. Clients’ cash required is approx £61,000 to cover deposit, Refurb and fees for bridging and valuation.

Your Net Position is low to No Money left in the deal, meaning that you can recycle your £61,000 fund and repeat the process again.

  • Purchase Price:
  • £120,000
  • Cost of Refurb:
  • £20,000
  • Number of Rooms:
  • 6
  • Weekly Rent per Rooms:
  • £79
  • Gross Annual Rent:
  • £24,648
  • Expected Commercial Value:
  • £261,885
  • Expected Commercial Loan:
  • £157,131
  • Clients Cash Required:
  • £60,834
  • Bridging Advance:
  • £86,880
  • Loan Term:
  • 4 Months

*This excludes fees for SDLT, legals and furnishings.

Call 08456 440 911 for a tailored illustration for your project today.