John an out of town HMO landlord had been struggling with the management of his hmo for while. The problem he had was the current manager was miss-managing this asset, it had 50% occupancy and one tenant was in several months rent arrears, the property was tired and dirty, the rental rates were extremely low in comparison to the local market. All of these factors meant that this property was in negative cash flow, i.e. each month the landlord had to reach into his own pocket to cover the mortgage and other running costs.
Inspired Solutions Property Management was contacted as he was at a loss, he was losing money each month and he wasn’t achieving the asking price required to allow him to sell.
Inspired Solutions assisted with the successful eviction of the non rent paying tenant, gave the whole house a deep clean and light refurb which included the addition of kitchen units, extra worktop space and additional electric outlet points. After 1 week of receiving the keys the property looked more appealing from the outside and the inside. To maintain this level of cleanliness a weekly cleaner was instructed to keep the communal areas clean. The benefit of Inspired Solutions Property Management service had a great effect on the tenants and the landlord, we were able to raise the current tenant’s rents as the property had been improved and the vacant rooms were soon populated at local market rates.
After 1 month the landlord was now actually making a profit, and the tenants had a clean well maintained property to live in with the added bonus of 24 hour access to log maintenance and other issues.
Each week there was a representative of Inspired Solutions Property Management to check the state the property highlighting any potential issues and a fire alarm check.