Houses in Multiple Occupation (HMOs) remain one of the most compelling property investment models in London, offering higher rental yields, diversified tenant risk, and strong demand from professionals, students, key workers, and sharers. Despite rising regulatory pressure, existing HMOs in London continue to command premium pricing, especially where licensing, compliance, and location advantages are already in place.
London’s dense urban population, constrained housing supply, and ongoing demand for affordable private rented accommodation support HMO viability. Fraser Bond helps investors identify, evaluate, and acquire HMOs for sale across London, ensuring deals are compliant, income-generating, and value-add compatible.
Nuroa currently lists 757 HMO properties for sale in London, ranging from small share-house units to larger HMO portfolios.
Mitula aggregates over 700 HMO listings across London, including 6-bedroom houses and purpose-converted units.
Allsop advertises prime London HMO portfolios, including a value-add HMO site in W2 near Hyde Park.
Pisoria markets HMO properties in E-zones (E1, E2, E14) and central East London with HMO licenses.
DMN Property Solutions provides advisory for HMO buy/sell deals across London with hands-on process support.
These listings include properties with existing HMO licences, turnkey operations, or potential conversion opportunities.
HMOs with five or more occupants or households require mandatory HMO licensing; each London borough may impose specific safety, fire, and amenity standards. Ensure the property’s license is valid or can be renewed.
Proximity to transport (Tube, rail, bus), universities, hospitals, and employment centres is essential. Some boroughs also have Article 4 directions limiting new HMOs, which increases scarcity value of existing ones.
Check electrical wiring, fire alarms, fire doors, communal areas, plumbing, heating, and ventilation. Many HMOs require ongoing capital investment to stay compliant and attractive.
While gross rent is important, net yield (after voids, management, maintenance, licensing, utilities) is the true metric. Also, model room-by-room tenancy rather than aggregate tenancy.
Lenders often demand higher deposits or interest for HMO financing. Also consider the market’s resale appetite for multi-occupancy assets vs single let conversion.
Understand whether your HMO is better suited for professionals, students, key workers, or mixed tenants. Management intensity and letting strategy differ by tenant type.
| Type | Features | Risks / Opportunities |
|---|---|---|
| Turnkey licensed HMO | Fully compliant, tenanted, immediate income | Premium pricing but lower execution risk |
| Licensed but under-performing HMO | Some tenant voids, requires management improvement | Higher yield potential with repositioning |
| Unlicensed / conversion opportunity | Requires licencing, upgrades, and conversion work | Greater risk but stronger upside |
| HMO portfolio | Multiple units or blocks under one deal | Operational scale, diversified exposures |
Fraser Bond provides full advisory support across the HMO investment process:
Deal sourcing & off-market access — access to HMO listings before broad market exposure
Licensing & regulatory review — confirm license status, renewal, and compliance risk
Due diligence & condition surveys — technical assessment of structure, M&E, fire safety
Income modelling & yield projection — net cash flow, sensitivity, vacancy stress test
Finance structuring & lender liaison — support with HMO-capable lenders and bridging structures
Transaction & management planning — handover, tenant management set-up, compliance maintenance
If you’re actively seeking an HMO for sale in London, Fraser Bond can deliver a bespoke shortlist aligned with your budget, risk tolerance, and location preferences. Contact us via FraserBond.com to begin your HMO acquisition journey.
