- Investment Model: Buy-to-let social housing investment is a strategy involving the purchase of properties to rent out through socially responsible entities like government-funded housing schemes.
- Axxco's Approach: Axxco provides a comprehensive, ethical, and profitable approach to this investment, offering high net yields, comprehensive property management, and a focus on sourcing and refurbishing properties suitable for social housing.
- Investor Benefits: Investors in this scheme benefit from steady income, reduced vacancy risks, and contributing to community welfare, with Axxco ensuring a smooth process from property sourcing to post-purchase management.
Buy-to-let social housing investment represents a strategic fusion of robust financial returns with a commitment to social welfare. It involves purchasing properties to rent them out to socially responsible entities, such as government-funded housing schemes, ensuring both stable income and societal benefits. This investment model is especially pertinent in today’s market, where ethical considerations are increasingly influencing investment decisions.
Why It Appeals to Property Investors
For property investors, buy-to-let social housing offers several compelling advantages:
- Steady Income Stream: With long-term leases and government-backed tenancies, investors enjoy a consistent and secure revenue.
- Social Impact: Investors contribute to community welfare by providing quality housing to those in need.
- Reduced Vacancy Risks: Long-term social housing contracts minimise the risk of vacant properties.
- Maintenance and Management Benefits: Many social housing contracts include property maintenance, reducing the investor's burden.
Axxco’s Approach to Buy-to-let Social Housing Investment
Axxco stands at the forefront of this market, offering a well-structured, ethical, and profitable approach to buy-to-let social housing investment.
Social Housing Investment Highlights with Axxco:
- Robust Yields: Axxco's model offers a 9 - 13%+ net yield over 5 to 10 years.
- Comprehensive Property Management: From tenant screening to maintenance, all aspects are expertly managed.
- Guaranteed Rent: A stable income is assured, with rent paid monthly and no void periods.
What Axxco Offers:
- Affordable Investment Entry: Properties in the range of £80,000 - £195,000, making it accessible for many investors.
- Turn-Key Solutions: Investors have the option to receive properties that are fully prepared and ready to generate income from day one.
- Range of Properties: Options include 1 - 5-bedroom homes, catering to strict housing association requirements.
Guide to Buy-to-Let Social Housing
For investors looking to venture into buy-to-let social housing, here’s a roadmap to navigate this landscape:
At Axxco, we're dedicated to sourcing and refurbishing properties that serve as vital housing for vulnerable tenants. Our meticulous process ensures each property we select meets stringent criteria, making them ideal for social housing. We then work closely with housing providers to tailer each property, carry out all necessary refurbishments, and bring up to official regulatory standard. Investors are integral to this process, purchasing properties directly and benefiting from a direct lease agreement with major, government-funded housing providers.
For our full guide on buy-to-let property investing click here
Social Housing Investment offer:
The investment offer is a guaranteed rent lease, with no void periods and all maintenance paid for. The rental returns vary, depending on what the property is being sold for and what rental amount is agreed, but generally we accomplish from 9% to 13%+ net yield for 5 to 10 years.
What's included?
- A 7-year lease with an FTSE 250 company, with an option to renew
- Blue Chip Tenants
- Day-to-day maintenance and repairs undertaken at no cost to the landlord
- Guaranteed Rent (paid monthly by BACS when you hand over the keys)
- Full HMO Management
- Administration of licenses and certification administered by our team of experts
- Monthly property inspections
- Council Tax and utilities paid
- No void properties
- No Management Fees. No Legal fees. No registration fees. No set-up fees
- No rent arrears or debt collection
- All our properties are managed by in-house Housing and Maintenance Officers, supported by a team of administrators.
Understanding Social Housing
Social housing is a term coined to describe the affordable housing made available by the government for those on who need it. This lower-cost accommodation aims to ensure that all households in the UK are provided for, despite being unable to afford to buy or rent a standard property.
This type of housing was established as an alternative to the private rental sector, offering cheaper rent prices, long-term tenancies and a stable place to live. Social housing is generally provided by local councils, housing associations, registered charities and social care operators.
A social tenant directly reports to and pays rent to the organisation, acting as a landlord to the property. In order to determine the rental costs of properties in each area, the average local income is used to calculate the rent price fairly. Unlike residential property in the private rental sector, social housing is not intended to generate profits.
Instead, this provision of housing is put in place to reduce homelessness, help other vulnerable members of the public and tackle the housing crisis issue in the UK.
Axxco's Buy-to-let Social Housing Investment Process
Property Sourcing
Our investment journey begins with meticulously sourcing properties on the open market. We focus on finding locations ideal for housing vulnerable tenants, ensuring each property meets our stringent criteria for social housing. This process is crucial in identifying properties that not only serve a community need but also hold strong investment potential.
Collaboration with Housing Providers
After selecting a property, we collaborate with housing providers to determine the necessary refurbishments. This step involves drafting a letter of intent and pre-registering the property, ensuring it is upgraded to meet the high standards required for social housing.
Investor Engagement
We then seek investors for direct property purchase, offering a comprehensive package that includes a lease agreement and detailed investment information. This phase is marked by transparency, providing investors with all the data needed to understand the investment's scope and potential.
Post-Purchase Progress
Once an investor acquires the property, we initiate the refurbishment work. Our focus is on ensuring high-quality refurbishments, and upon completion, the investor begins receiving regular rental income from the housing provider, marking the start of their financial returns.
Partnerships and Security
At Axxco, we offer more than just investment opportunities; we provide the assurance of secure, government-backed partnerships. Our collaborations are exclusively with top-tier contractors, handpicked by the British Government in 2019 and recognized as leading FTSE 250 companies. This focus on the North West of England ensures your investment is with the most reliable providers in the social housing market.Furthermore, our model is distinguished by its directness, avoiding reliance on joint-funds or third-party management companies. This approach not only simplifies your investment but also enhances its security, making it one of the safest in the market. With Axxco, you invest directly, confidently, and with a clear impact.
For more information and to explore investment opportunities with Axxco, visit Axxco Social Housing Investment.
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