our faq's

What does Yieldme specialise in?

YieldMe specialises in the sale and acquisition of HMO investment properties, with particular expertise in the student property market. We work with investors looking to acquire individual HMOs, grow existing portfolios or dispose of student investment properties and portfolios.

Who do you work with?

We work with a wide range of clients, including institutional funds, private landlords and property investors. We also work closely with student lettings companies and landlord networks, alongside other agents and property professionals across the market.

Do you work with first-time HMO investors as well as experienced landlords and portfolio owners?

Yes. We work with first-time investors looking to start their property portfolio as well as experienced landlords and investors looking to expand.

Our team can provide market insight, property valuations and confidential advice to help investors assess opportunities and make informed decisions.

How does your HMO property sourcing process work?

Our sourcing is built around the relationships we have developed over many years within the student property market. We maintain direct relationships with landlords, agents and other property professionals, as well as sourcing opportunities through networking and the open market where appropriate.

For larger and institutional clients, we can also undertake targeted searches based on specific acquisition criteria.

Do you have access to off-market HMO properties?

Yes. A significant part of our business is generated through direct relationships with landlords, giving us access to HMO investment opportunities that may not be openly advertised.

Registered investors can be introduced to suitable off-market opportunities based on their investment criteria.

Can you source properties based on my specific investment criteria?

Yes. We can source properties around specific investment requirements, including location, budget, number of bedrooms, rental income, yield, tenancy position and portfolio size.

Understanding your investment criteria at the outset allows us to focus on opportunities that are most relevant to you.

What information will I receive about a property before deciding whether to proceed?

We aim to provide as much relevant information as is available to us. This may include photographs, floorplans, current and future rental income, tenancy information, bills allowances, planning documentation, HMO licensing information and other relevant property or compliance documents.

Where information is not immediately available, we will aim to obtain it from the seller or their representatives as part of the transaction process.

How do you assess whether an HMO represents a good investment opportunity?

We consider a combination of local comparable evidence, our knowledge of the student rental market and the individual property's financial performance.

This includes factors such as purchase price, rental income, yield, location, tenancy position and property condition. We also consider whether there may be opportunities to add value through rental growth, refurbishment, development or improved use of the property.

Every investment is different, so we encourage buyers to assess the full financial and legal position of a property before proceeding.

 What is the difference between gross yield and net yield?

Gross yield measures the annual rental income of a property against its purchase price before operating costs and other expenses are deducted.

Net yield takes relevant property costs into account and therefore provides a more realistic indication of the income being generated by the investment.

For HMO investors, it is important to consider both figures rather than relying solely on the headline gross yield.

What costs should I allow for when calculating the true return from an HMO investment?

Costs vary from property to property but may include utilities where these are landlord-paid, council tax where applicable, property management, maintenance, repairs, insurance, compliance costs and allowances for void periods.

Buyers should also consider their own finance, taxation and acquisition costs when assessing the overall return from an investment.

Can I buy an HMO with tenants already living in the property?

Yes. Many of the HMO properties we sell are purchased with tenants already in situ.

For investors, purchasing a tenanted property can be attractive because there may already be contracted rental income in place from the point of completion. Buyers should review the existing tenancy agreements, rental schedule, deposit information and other relevant documentation as part of their due diligence.

What compliance checks should be carried out before buying an HMO?

Initial compliance information can be considered when an opportunity is presented, with more detailed checks taking place during the legal due diligence process.

Depending on the property, this may include reviewing its HMO licence, planning status, tenancy documentation, safety certificates, EPC, fire safety provisions and other relevant compliance information.

Buyers should instruct appropriate legal and professional advisers to independently verify the property's compliance and legal position before completion.

What HMO compliance information and documentation will be available to a buyer?

Where applicable and available, we will request relevant documentation from the seller and make this available to prospective buyers or their professional advisers.

This may include the HMO licence, planning documentation, tenancy agreements, EPC, electrical and gas safety documentation and other relevant information.

The exact documentation available will vary from property to property, and buyers should satisfy themselves through their own legal and professional due diligence before completing a purchase.

What is the difference between HMO licensing and planning permission?

HMO licensing and planning are separate requirements.

An HMO licence relates to the operation and management of the property and can specify matters such as the permitted number of occupants and required property standards.

Planning relates to the authorised use of the property. Depending on the size of the HMO, its location and local planning controls, planning permission may be required for the property to be used as an HMO.

Having an HMO licence does not necessarily confirm that the property's planning use is lawful, and having the correct planning status does not remove any licensing requirements.

What is an Article 4 Direction and why does it matter to HMO investors?

An Article 4 Direction is a planning control that can remove certain permitted development rights within a defined area.

In areas where an Article 4 Direction covering HMOs is in force, planning permission may be required to change a residential property into a small HMO where that change might otherwise have been permitted without a full planning application.

This makes the planning history and established use of a property particularly important when purchasing an HMO. Article 4 requirements vary between local authorities and locations, so each property should be checked individually.

What happens if an HMO has missing or incomplete compliance documentation?

Missing documentation does not automatically mean that a property cannot be purchased, but it should be investigated carefully before proceeding.

Depending on what is missing, further evidence may need to be obtained from the seller, local authority or other relevant parties. In some cases, specialist planning, licensing, legal or building advice may be required.

We will highlight the information available to us, but buyers should ensure that their solicitor and other professional advisers are satisfied with the property's planning, licensing and compliance position before completion.

 Does YieldMe charge buyers a fee, and when is it payable?

For applicable off-market transactions, YieldMe charges the buyer a fee of 2% + VAT of the purchase price.

The fee is success-based and is payable upon successful completion of the purchase.

Any applicable buyer fee will be made clear before proceeding with an opportunity.​

Does YieldMe charge sellers a fee, and how is it calculated?

Where YieldMe is instructed to market a property on behalf of a seller, our standard seller's fee is 1% + VAT of the sale price.

The fee is success-based and is only payable upon successful completion of the sale.

The applicable fee structure will be agreed with the seller as part of our instruction.

Can I sell an HMO with tenants in place?

Yes. In fact, many of the investors we work with specifically look for properties that are already let.

A tenanted HMO can provide the incoming investor with contracted rental income from completion, making it attractive to buyers who are looking for an income-producing investment rather than a vacant property.

We can market HMOs with existing tenants and provide prospective buyers with the relevant tenancy and rental information supplied by the seller.

Can YieldMe sell my HMO or HMO portfolio directly to another investor, including off-market?

Yes. We use a two-stage approach to selling HMO investment properties.

We will generally begin with a preliminary off-market process, presenting the property or portfolio to suitable members of our investor network and, where appropriate, our institutional clients. At this stage, an applicable buyer's fee is charged to the purchaser, with no selling fee charged to the seller for an off-market transaction.

If a suitable off-market sale is not agreed and the seller wishes to proceed to the wider market, we can then openly market the property. At this stage, our standard seller's fee is 1% + VAT of the sale price, payable only upon successful completion.

This approach allows sellers to initially explore a discreet off-market sale while retaining the option of wider marketing if required.