It’s no secret, Rockstar Property Partners have acquired £6 million worth of HMOs in little over a six month period in 2021. The Rockstar team have worked tirelessly to not only reach but exceed the goals set at the start of the year. We are so pleased to have reached £6 million worth of HMOs but we don’t want to stop there. The next target is £10 million and we need your help to get there. We are ALWAYS looking for new investors.
It simply would not have been possible for us to acquire £6 million worth of HMO properties in such a short timespan without our fabulous investors though. We are reliant on investors but we make sure that once someone does invest that it is worthwhile and rewarding for them. The investment process starts with the Rockstar team identifying a suitable property to purchase. We then find an investor to put some capital into the purchase so we can acquire the property on a mortgage. Once we know that the property can be bought, it is then a case of completing the relevant refurbishments to make sure that it works as an HMO in our model. If refurbishments need to be made then it can take upto a couple of months to complete. Depending on whether the investor would like to hold or sell the property, we will try to ensure that we will have tenants or a buyer lined up before the property refurb is completed. All profits, no matter if they come from holding or selling the property, are split 50:50 between Rockstar Property Partners and the investor.
We have acquired a total of over £1 million in funds from investors which has allowed us to be able to target the areas in the UK where we know we can make the highest returns for our investors. The journey started with a property in Hampshire back in September 2020. The property was originally bought as a four bed, two bathroom, C3 house but the team converted it into a six bedroom, all ensuite bathroom, C4 HMO. This was all thanks to a group of investors that we could make this possible. Since the renovation, the commercial value of the property is now almost double what it was when we first bought it.
That first property in Hampshire was so successful that we decided to note the area down as an area to target for new HMO acquisitions. We have even bought more properties on the same street. That road has definitely got a new Rockstar feel to it!
As well as acquiring properties in Aldershot, we have also set their sights in other towns and cities. Derbyshire, South Yorkshire, Chesire, Essex and Kent have all been targeted areas where we have been busy buying properties.
Many things can make a good area to target an HMO acquisition. These stem from avoiding areas in Article 4, finding towns where property prices are on the rise and where we know we have had previous success.
For instance, whilst the majority of Kent is in Article 4, we purchased a property in Canterbury which was already licenced as a six bed HMO. This means that we can increase the price we can purchase it at as we know that we will have less costs to spend on refurbishments. Check out the chart below to see the property prices in Kent and why it is such a great place to buy HMOs.
We are constantly looking out for new investors, so if you are interested in putting your money to use with us then please do get in touch. All of our investors have had a positive return on investment so it is an exciting time to invest with Rockstar Property Partners.