The "ready-to-rent" HMO that could have cost my client more than £250,000

A property marketed as ready to rent. It was anything but.

Ginny had found an HMO in London through a property-finding company.

She had been told the property was ready to rent and had already paid a deposit towards the purchase.

Before proceeding, she asked me to inspect the property and give her an independent view.

What I found changed the decision.

The property had extensive damp, required significant remedial work and, in my assessment, did not meet the relevant building requirements expected for the proposed HMO use.

This was not the ready-to-rent investment Ginny believed she was buying. I advised her not to proceed with the purchase.

The property-finding company initially refused to return her deposit. I then helped Ginny understand the issues, the evidence she had and the practical steps she should take next. She challenged the position successfully and recovered her deposit.

The outcome

• £250,000+ property purchase avoided
• Deposit recovered
• Major refurbishment exposure avoided
• A poor HMO investment rejected before completion

But the relationship did not end there. I have since advised Ginny on purchasing HMOs in other locations. She went on to buy other HMO properties that are now operating profitably.