Seems everywhere I read regarding UK real estate, I seem to find the flavor of the week….Serviced apartments. Are they sexy or profitable or are they just new?

 

Personally myself and my colleagues are HMO investors. Both Professional HMOs and Social Housing. Honestly, the social housing are not sexy but fulfill a purpose and are very profitable. What makes them cool is the fact, no voids, no management and maintenance is covered up to 5,000 per year. Our professional HMOs are done up to a high standard and in my opinion ” LOVELY”. I would live in one easily. This is our niche, Manchester HMO investment properties however I am always open to learn and suggestions…

Might have to consider that the next time my wife gets mad at me…haha…just kidding…

So, back to Serviced apartments. I have compared them if I would travel to a city and stay in one versus a hotel in which I can get a buffet breakfast which holds me through dinner. Depending on location some serviced apartments are simply expensive and do not see the value. However a home as in a Airbnb, I understand if I would live there for several weeks. This would give me a home feeling versus a hotel.

Then as an investor I am concerned about the council rules to some degree and the classification of the property. Maybe because myself and my JV colleagues are simply HMO investors we are sticking with what we know at the present. I have seen fads come and go. Not sure if serviced apartments are a fad or not…

Meantime, myself and my JV partners are watching serviced apartments and refurbishing HMOS…a business we know and understand…