This end of terraced mixed-use property contains a commercial unit on the ground floor and a 5-bed HMO spread on the ground, 1st and 2nd floor.

The numbers:
Purchase + purchase costs and refurb: £175,000

Income:
Commercial unit with 13 years left on the lease: £6000pa
The 5-bed HMO: £24,960pa
Total income: £30,960pa

At the moment the running costs are circa £10,000
Net income: £20,960
ROI(cash on cash) 11%

Plans:
1. Reduce the running costs by 50%
2. Refurb to increase rent
3. Refinance after 6 to 12 months