Question: how do you value a hmo?
Answer: Take the yield and divide it into 100 to produce the yield multiplier e.g. 7% yield = 14.29, 8% yield = 12.5. Take the gross rental income per annum and deduct expenses, usually 25% is the norm to give the net income. Multiply the net income by the yield multiplier and that gives you the market value of the HMO.