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How to Spot the Right Floor Plan for a High-Cashflow HMO

Written by Steve Doran | Jul 10, 2025 11:57:20 AM

Choosing the right property is critical to HMO success - and it all starts with the floor plan.

Many new investors focus on location or headline price, but if the internal layout doesn’t work, your returns will suffer. A poor floor plan limits room count, reduces rental income, and can cause long-term management headaches.

This guide shows you how to spot the best floor plans for HMOs, avoid costly mistakes, and maximise your rental income from day one.

What Makes a Floor Plan Suitable for an HMO?

A great HMO layout gives you:

  • Five or more lettable rooms

  • Functional communal areas

  • Enough bathrooms to meet amenity standards

  • A layout that feels comfortable for tenants

If you get this right, your property will not only generate higher cashflow - it will also attract better tenants and reduce voids.

What to Look for in an HMO Floor Plan

1. Two Reception Rooms

Look for properties with a lounge and a dining room. One can often be converted into an additional bedroom without removing all social space. This is a common opportunity in older terraced or semi-detached homes.

2. Generously Sized Bedrooms

Check that rooms are large enough to meet legal minimums. In most UK councils, that means at least 6.5 square metres. Larger rooms often command higher rents.

3. A Sensible Flow

Wide hallways and a logical flow between rooms help with privacy and usability. Avoid houses where bedrooms are accessed through communal spaces or where layouts feel cramped.

4. Downstairs Bathrooms or WCs

Having a ground-floor WC or bathroom makes it easier to meet HMO licensing requirements. It also frees up upstairs space for extra bedrooms or en-suites.

5. Additional Spaces

A utility room, large landing, attached garage or even an oversized hallway can be converted or repurposed to add value. These features are often overlooked during viewings.

Red Flags to Avoid

Not every property is worth converting. Watch out for:

  • Small third bedrooms that do not meet legal size standards

  • Long, narrow layouts with poor division between private and shared space

  • Extensions that block access to outdoor space (a problem for fire safety and bin storage)

  • Entirely upstairs sleeping arrangements with no conversion options on the ground floor

If a property feels tight or awkward on paper, it will feel even worse in reality.

Small Layout Changes That Can Add Significant Rental Income

You don’t always need a full-scale refurbishment. Here are examples of low-cost layout tweaks that can significantly boost rent:

Change

Why It Matters

Add a stud wall in a large living room

Creates an additional bedroom without altering structure

Convert a dining room into a bedroom

Adds rental income with minimal disruption

Combine bathroom and WC

Saves space and simplifies layouts

Add en-suites to larger rooms

Justifies higher rents and increases tenant demand

Reclaim oversized hall space

May allow for small en-suite or storage area

Real Example: In one of my own HMOs, a large upstairs landing area was reconfigured into an en-suite for the main bedroom. That one change added £95 per month in rent and dramatically improved tenant retention.

How to Analyse Floor Plans Before You View

  • Ask for the floor plan in advance when arranging viewings

  • Print it and sketch potential changes

  • Use free tools or apps to visualise layout options

  • Share it with your builder or architect early to assess feasibility

Identifying a good layout before you view saves time and helps you act fast when the right deal appears.

Want to Learn How to Analyse Properties Like a Pro?

Join the Free HMO Masterclass with Steve Doran
✔ Learn how to spot profitable floor plans
✔ See real before-and-after examples of successful HMOs
✔ Get practical guidance you can use immediately

Click here to claim your free spot

Final Thought

In HMO investing, layout is everything. A strong floor plan makes the difference between a struggling house share and a high-performing asset.

By learning what to look for - and what to avoid - you’ll gain a serious edge in the market and position yourself for long-term success.