Oakmead Place, Mitcham, Surrey

HMO Sales Expert are specialists within the HMO and multi-unit marketplace across the UK. Our experienced team has a combined 100+ years of specific HMO experience including investing, managing, developing, valuing and selling. Every property is exclusively listed, direct to landlord, visited and quality-checked by our team and is sold with NO BUYER FEES or reservation costs. Full access to every financial detail and a pro-active and time-served team to assist you.

Property Overview:
16 Oakmead in Mitcham, CR4 3RU, represents a lucrative investment opportunity within London’s thriving HMO market. This spacious property features six fully furnished bedrooms, including three en-suites, one private off-suite, and an additional shower room, ensuring tenants enjoy both comfort and convenience. The inviting kitchen diner serves as the property’s centerpiece, promoting social interaction and seamlessly opening onto a well-maintained garden area for relaxation and gatherings.

Location and Amenities:
Located in the vibrant area of Mitcham, the property is surrounded by a diverse array of local amenities. Residents have easy access to various shops, restaurants, and leisure facilities, significantly enhancing their quality of life. Mitcham boasts excellent transportation links, with multiple railway stations and bus services facilitating convenient connectivity to other parts of London. Colliers Wood Underground station is just a short 17-minute walk away, providing swift access to central London and its surrounding areas.

Investment Highlights:
16 Oakmead offers impressive income potential, with room rents ranging from £700 to £925 per month. The total monthly income amounts to £4,900, translating to an annual income of £58,800. Prudent financial management is evident in the detailed breakdown of expenditures, which include gas, electricity, council tax, water, cleaning, broadband, TV license, and property management fees. The total monthly expenditure stands at £1,266.12, resulting in an annual expenditure of £15,193.44. This leaves a net annual income of £43,606.56, reflecting a robust gross yield of 9.05%.

The property is currently managed by a local specialist HMO agent, ensuring efficient operations and tenant satisfaction. This management arrangement can be seamlessly transitioned to the next landlord, offering peace of mind and hassle-free ownership. The financial performance, combined with its desirable location and efficient management, makes 16 Oakmead a compelling investment opportunity in London’s competitive rental market.

Income Breakdown (Monthly):

Room 1: £925.00
Room 2: £825.00
Room 3: £700.00
Room 4: £825.00
Room 5: £725.00
Room 6: £900.00

Total Monthly Income: £4,900.00

Annual Income:

£58,800.00

Expenditure Breakdown (Monthly):

Gas: £164.00
Electric: £108.00
Water: £76.00
Council Tax: £192.00
TV License: £13.12
Broadband: £35.00
Cleaner: £90.00
Management: £588.00

Total Monthly Expenditure: £1,266.12

Annual Expenditure:

£15,193.44

Net Annual Income:

£43,606.56

Gross Yield:

9.05%

Commentary:

The room rates may vary slightly by the time of a completed purchase but are accurate at the time of listing. The running costs are accurate as of May 2024. Investors will need to consider their own cost of lending and management structure. The property's financial performance indicates a robust gross yield, reflecting its potential as a valuable investment. This financial summary does not account for potential vacancy periods or additional management costs not listed, which could impact net income and yield calculations.

Investing in Houses in Multiple Occupation (HMOs) in Mitcham, CR4, offers a multitude of advantages, making it an attractive proposition for property investors. Mitcham benefits from its strategic location within London, providing easy access to a wide range of local amenities. Residents enjoy the convenience of nearby shops, restaurants, and leisure facilities, all of which contribute to a high quality of life.

Mitcham's excellent transportation links are a significant draw for potential tenants. The area is well-served by multiple railway stations and bus services, ensuring seamless connectivity to other parts of London. Notably, Colliers Wood Underground station is just a short 17-minute walk away, providing swift access to central London and its bustling economic hubs. This accessibility makes Mitcham an ideal location for professionals who commute to the city for work.

London, as a whole, is a global economic powerhouse, attracting a diverse range of employers and industries. The capital's robust economy supports high average wages, offering financial stability to its workforce. Major sectors include finance, technology, healthcare, and hospitality, which collectively drive demand for rental properties. Mitcham, with its proximity to central London, stands to benefit from this high demand, particularly among young professionals and families seeking affordable yet well-connected housing options.

The tenant demographic in Mitcham is diverse, comprising professionals, families, and students who are drawn to the area for its balance of affordability and convenience. The high demand for rental properties in Mitcham is further bolstered by London's thriving hospitality and tourism sectors. Local attractions and green spaces, such as Mitcham Common and Morden Hall Park, add to the area's appeal, making it an attractive place to live.

In summary, investing in HMOs in Mitcham, CR4, is a compelling opportunity due to the area's strong transportation links, proximity to central London, and diverse tenant base. The thriving local and city-wide economy, supported by high average wages and a vibrant array of amenities and attractions, ensures sustained demand for rental properties. For investors, this translates into high occupancy rates, stable rental income, and the potential for significant capital appreciation.