Video – 10 Steps in the property buying process

This video covers ALL of the practical steps in buying and selecting an investment property from us and the after-sales process too. Follow the steps here if you wish to purchase an investment property from us. The content in this video is similar to section 4 of the Main Property Video.

Full 2-bed houses from £68,999

These properties are full landed houses at great prices from £68,999 to £114,999. The same property we sell here for £69,000 will be over £350,000 near London. Prices in the North West and North East are still low but now have started to grow rapidly as demand has increased. Lower cost properties are delivering higher % rental yields and are now also growing better in % values. These are also easier to rent out and resell, are more tax efficient, lower risk, and provide more long term flexibility as you can buy multiple properties for the same budget and then sell some whilst keeping others.

Low fixed total purchase costs (fees) £999

The purchase costs are negotiated and fixed at £999. and include conveyancing costs, local searches, 12 month’s insurance and land registry fees. If you already own another property you will need to pay 3% stamp duty to the government. If you are not resident in the UK then there is an extra 2% Non UK Resident Stamp Duty to pay.

Pre-acquired and renovated at our cost

All of our properties are acquired by us first and renovated to a set standard. Under our system we are liable for the ongoing repairs, maintenance and guaranteed rent. By acquiring properties ourselves we ensure that they do not have any structural issues, are in the right neighbourhoods where rental demand is strong, and that we renovate them well upfront (as this reduces ongoing maintenance costs).

Fully let out to good tenants

There are no additional costs to the owner for letting the properties or re-letting them when they become vacant. Our aim is to always keep the properties rented out and to ensure we have good tenants that keep our costs low and pay rent on time. We are liable for any damage or issues caused by tenants – so it is in our interest to acquire and keep good tenants.

Repair Guarantees on the house

Under our Net Guaranteed Rent system, we undertake to keep your property in a good condition and do all required repairs. You are not involved with or have to deal with or pay for any repairs to the property. As we already have renovation and maintenance teams this is very little extra cost to us but great value to you. There are no management fees or property maintenance, or any other costs with the Net Guaranteed Rent System.

Outright ownership – No service charges

All of our properties we sell are category 1 – 999 years – full ownership or freehold. We treat 999 years as like freehold even though these are nominal leasehold with £1 per year or no ground rent.  We do not sell the  standard leasehold properties or apartments – 99 years/ 125 year leases which may come with service charges.  All of the properties in the North East are pure freehold. These account for 90% of the properties sold. All the properties in East Lancashire are 999 years ownership. These accoutn for about 10% of all properties sold.

Good friendly upcoming neighbourhoods

All of the properties we own, manage, and acquire are located in 28 areas in the North. Majority are in the North East, located in towns north of Leeds –  such as Middlesbrough, Stockton, Darlington, Hartlepool, Teesside, Durham County (TS, DL and DH post codes). We also have Type H2L, H3L, H4L and H5L houses in the North West, mainly in the Lancashire towns north of Manchester, and prices on these are £8,000 to £10,000 higher than the prices shown. (rents on these are also correspondingly higher).

Investment buy-to-let mortgages (for UK Residents Only)

UK Residents who meet the criteria are able to buy first and then re-mortgage the property 6 months later to release up to 75% of the value.

Secure, easy, 2 stage buying process

The buying process is very different from buying a property in the open market and is a TWO stage process as demand is in excess of supply. Reservation is made by signing the reservation agreement and lodging £3,000 payment into the client account. Reservation gives you certainty of purchase, a fixed timeline and priority access to the selection list which will be around 20 houses for each client. It also fixes the price for the entire range to the prices that were prevalent at time of reservation and secures any special offers. All of our properties in the list are priced correctly according to their value and investment return and meet the minimum specification of each type. Clients have the ultimate final choice on which specific property they wish to select from the list. This Selection process happens about 5 to 6 weeks after reservation due to the demand and priority is given by reservation order. Please watch section 2 of the video for a full explanation of the Reserve & Select process and why this is better than buying in the open market.

Facilitated Legal Buying Process

The process provides more certainty, speed and convenience and is underpinned by two guarantees

Property Guarantee

The property will be maintained in a good rentable condition, free of any structural or other significant issues, at no cost to the buyer. Should such issues arise in the future they will be fixed at no cost to the buyer. This guarantee remains in place for as long as the buyer remains a client of Find UK, and should they terminate the management at anytime in the future, the property will be handed back to them in a good rentable condition, free of any such problems.

Purchase Process Guarantee

The selected property will be transferred to the buyer with no significant issues with the local searches and titles. The buyer will become the registered owner of the selected property. Should there be any significant issues with Searches and Titles, then Find UK Property will offer to exchange the property for any other of the same type, that is acceptable to the buyer. As our Group of companies buy properties first, before transferring to our clients, the searches and titles are already checked, and confirmed to have no issues prior to transfer. There have never been any such issues in the past; however, the guarantee is provided for additional peace of mind of our clients.

Doubled in value every 9 to 11 years

Historically, on average, property prices have doubled in value every 9 to 11 years for the past 60 years. The only exception to this was the period from, 2008 to 2012 when prices fell and then remained static for another 5 years. Now they are rising at the previous rates. Whilst there are no guarantees, we expect such houses to double in value over the next 10 years.

Net Guaranteed Rent

We operate the Net Guaranteed System.  As part of the agreement we become your tenants and pay you a guaranteed rent and agree to maintian the property at our cost. You get rent even if property is empty and even if tenant does not pay. ALL property costs and repairs are covered by us. Our underlying baseline net Guaranteed Rent Rate is 5% of original properyt price and this is fixed for first 3 years and then rises each year in line with rent inflation. However, in the first 3 years we give an extra 1% (so you get 6% for the first 3 years) as our maintenance costs are less because properties are freshly renovated.

Long-term Guaranteed Rent: Net Guaranteed Rent System continues after the 3 years & rents are reviewed at the end of each calendar year after the initial 3 year period. There are many costs in long-term property management and we pay for ALL of these including re-renovations each time the tenants move and upgrades to EPC whenever these are required. The baseline net guaranteed rent is 5% of original property price and is fixed for 3 years and then rises in line with official rent inflation at end of each calendar year (1st of January). However, you also get an extra 1% (so you get 6%) for the first 3 years as our costs are less because the properties are freshly renovated at the beginning. Then for a few months until the end of December it will be at 5% rate before increasing. Each annual increase after the first 3 years will depend on how rents have grown in the market the previous 12 months. For examply, if rents increased by 4% then your rent will increaese by 4%.  Overall, considering all the services we provide, this net guaranteed rent system provides better net rent than you would get using normal letting agents over the long-term. We have been using it for over 15 years and our clients really like it.

No Management Fees

Unlike other agents there are NO management fees. So your get 100% of the Net Guaranteed Rent. Most other agents charge over 10% plus VAT = 12% management fees. So when you take everything into account, our Net Guaranteed Rent system gives you the best overall net rent.

Landlord compliance– at our cost

We pay for all of the safety checks and certificates and any work needed to make sure the properties are fully compliant with safety standards. Our staff are trained to ensure we meet all legal requirements.

Guaranteed repairs – at our cost

The free Standard Maintenance Package includes a commitment to maintain the property in a good rent-able condition at our cost. Thus if boiler goes faulty – we will fix it at our expense – not yours. This system provided much better level of service – both to tenants and landlords than normal letting agents.

All landlord liabilities – We take care of

You are the owner and with your permission (which can be withdrawn at any time), we effectively become the Landlord of the property and deal with all aspects of the property on your behalf.  If we are unlucky to have a bad tenant (sometimes this happens) and they needs to be evicted by court action, we will  do this in the background and you will not need to be involved at all. All such costs will be paid by us.

No other costs. No hidden costs.

All of the costs are shown here very clearly. You will need to pay for the insurance after the first year (we have a very good deal for our clients whereby full landlord insurance is around £99 per house). There are no hidden costs. We pay all the utilities and any council tax if property should be vacant for any reason (normally the tenant pays these).

Total Solution – We do everything for you.

You can see that we work differently to normal estate agents and provide a much fuller service looking after all aspects of the property purchase, landlords’ liabilities and long term management. It is a client focused service, with no hidden costs, where we do everything for you. You fully and securely own a growing property, and get fixed guaranteed rent with no hassle! Our group of companies work efficiently and effectively to save costs in every area and are profitable whilst still providing great service and value to our clients.

Ongoing Services & Long Term Rent

Long-term Guaranteed Rent: Net Guaranteed Rent System continues after the 3 years & rents are reviewed at the end of each calendar year after the initial 3 year period. There are many costs in long-term property management and we pay for ALL of these including re-renovations each time the tenants move and upgrades to EPC whenever these are required. The baseline net guaranteed rent is 5% of original property price and is fixed for 3 years and then rises in line with official rent inflation at end of each calendar year (1st of January). However, you also get an extra 1% (so you get 6%) for the first 3 years as our costs are less because the properties are freshly renovated at the beginning. Then for a few months until the end of December it will be at 5% rate before increasing. Each annual increase after the first 3 years will depend on how rents have grown in the market the previous 12 months. For examply, if rents increased by 4% then your rent will increaese by 4%.  Overall, considering all the services we provide, this net guaranteed rent system provides better net rent than you would get using normal letting agents over the long-term. We have been using it for over 15 years and our clients really like it.

When everything is taken into account these properties under our Guaranteed Rent System represent the best value in the UK. In our view there is no better property investment in the UK.  Please watch Section 2 of the main video for a full explanation of the Net Guaranteed Rent System

Whilst there are some projects that offer good value, many do not – due to high management/service costs and short leases (student properties are not freehold). Prices are inflated with a single mini bedroom in a shared flat costing around £50,000 and they cannot be resold to anyone other than an another investor. Thus the market re-sale value may not rise (and can fall). There are many parties involved and typically these are sold by sales agents who do not have control over the property and no subsequent contact with the Buyer. We have had many customers who have contacted us wanting to exit such investments and prepared to do so even at a loss. See further details on why you should avoid buying such student property below.

Take extra care when purchasing an investment property that is yet to be built or is under construction. The risks with such properties remain high. The project could be cancelled and there can be delays in completion and then in renting the properties out. Prices are often inflated by developers as properties are difficult to compare. For investment, only consider property that is ready and already rented out and buy from a company that has control over the property and remains responsible to you after the sale. Many such properties are apartments with the new modern leases (99 years) which have significant service charges (which can increase at 5 year intervals).  In our view these are not good for long term investment as they do not appreciate well in capital value. Again there are exceptions and some such properties can be suitable, especially for pure own use. However, we would recommend full houses that are already built and rented out, for long-term investment.

The UK is one of the world’s best areas for secure property investment. Prices on UK property are now low after the last recession and rental returns are good with up to 8% gross rental yields on low cost properties. Now prices are expected to rise in line with economic recovery in the UK and prices on lower cost properties could double within 8  to 10 years. Find UK Property provides a complete service to overseas property investors and expats and other investors in the UK. Our view is that lower cost terraced houses of £60,000 to £100,000 in the North West and the North East provide the best value for investment and will produce the best capital and rental growth over the long term. Property in London is now too expensive and gives poor rental yields of around 3% and is not good value for investment. Select one of the properties at the top of this page.

The UK is an “open country” for property investment. Any National of any country can buy property in the UK. Buying any property in the UK does NOT give any automatic rights to residency, long term visa or citizenship. All of our overseas clients buy such properties for long term secure investment and to give them options in the future. We keep them rented out for them and they can choose to keep the rental income in the UK and use this for their holiday accommodation, children’s university fees or other needs. This gives them much more flexibility and works out to be more cost effective. Thus the investment property can be in a different location and size to their holiday accommodation to deliver the maximum yield and long term growth potential. 

However, buying a property does increase your links with the UK and allows you to have income in the UK and be registered with HMRC tax office (although you may not pay any tax if your income is below £12,570 per person per year). It gives you options for the future and such a purchase may still be worth considering if you have long term plans to spend more time in the UK. If residency is your main aim – then you should not buy a property – but seek appropriate visa or immigration advice. 

We specialise in helping serious overseas buyers, expats and buy-to-let investors find the most suitable UK property for their needs, at the lowest price. Prices in the South and London are now very high and the vest value and highest rental yields are offered on lower cost properties in the North. Thus for investment properties we specialize in 28 areas in the North. Majority are in the North East located in towns north of Leeds –  such as Middlesbrough, Stockton, Darlington, Hartlepool, Teesside, Durham County (TS, DL and DH post codes). We also have Type H2L, H3L, H4L and H5L houses in the North West, mainly in the Lancashire towns north of Manchester, and prices on these are £8,000 to £10,000 higher than the prices shown. (rents on these are also correspondingly higher).

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The London region contains the most prime property in the UK with prices several times higher than other regions of the UK for the same size of property. Most of the properties in London are terraced houses or apartments with relatively few detached properties. Over the past 20 years London has done very well, but the future looks less promising. Prices in London did not fall and as a consequence are not expected to rise as fast. It is also more likely to be affected by Brexit uncertainties. In many cases property outside of London can offer better value with higher rental yields and most investors are no longer considering London area as it does not represent good value now.

Currently we do not recommend properties in or anywhere near London or the South as the prices there are very high and the % rental yields are too low. The same properties which we sell for £60,000 here in the North is over £300,000 in the South. In the past London has done very well in capital growth – however this is less likely to be the case going forward and the risks of buying here are ow higher. Many clients just RENT near London (if they have to be near London for holidays or for work) but they BUY multiple low cost investment properties away from London as this gives them higher income, and better potential for the future with lower risks.

UK property prices have on average doubled in value every 8 to 10 years for the past 70 years. The only main exception to this was the worldwide financial crisis in 2007 and prices fell by around 30%  in most areas of the UK between 2007 and 2012. Then UK Property prices were relatively stable for a few years and have recently started to grow again. Most analysts think that prices will increase rapidly now in line with the economic recovery and then gradually increase over the long term. The prices are expected to follow the previous trend whereby they double in value over about 10 years.

The market price of existing houses does vary with what is included in the property, if it is renovated or not, and its underlying condition. If you look at online property portals and look at any particular postal area or street for the same type of houses, you will see that for low cost properties, the prices may vary greatly. The reason for this is, the internal state of the house and degree of renovation. If a house has structural issues and is derelict then the price will be much lower. If the house is basically in good condition but needs renovating then you will see an average price; if in good conditions with recent renovation then price will be higher.  These are not brand new houses or new identical apartments and thus are not all at the same price. Prices vary greatly depending on the house conditions. That is why we renovate all of them to a set standard and then sell at a set price depending on value and rent, with associated guarantees and management package. Our clients like the peace of mind and the total solution we offer. Overall we deliver great value and service.

If you looking for a property that is near a university so that this can be used by your children if and when they do come to study in the UK, then our advice is that you should NOT purchase property yet. The problems is that the selected property may not be in the right location, in the right community, convenient for your child – even if it is near the town you think your child will study at. It is better for them to rent University accommodation initially and have the ability to move around to ensure they are in a convenient and safe location for their studies. We have many clients from overseas who wish to do this but practically, they never end up using their own properties for one reason or another.

Again you could get a pure investment property that you leave rented out all of the time and use this income to pay for your child’s university accommodation. This will give you and your child more flexibility.

Despite initial fear, Brexit has not had any negative impact on property prices. In-fact prices have been rising since Brexit – mainly due to rising population and shortage of housing. Our sales and demand for low cost property away from London has increased. The interest in UK property from all other countries in the world (including old commonwealth countries) has increased as the expectation is that bilateral UK links with other countries will be stronger. However, London, is more reliant on EU links and prices here are already very high. So any negative news could have a negative effect on London prices. Already many investors are moving away from London to consider lower cost properties in the middle of the UK or the North. This is having a positive effect on such lower cost properties and we have seen increases in demand already since Brexit. 

If you are looking for “holiday use” for only 1 or 2 months of the year, then in most instances it will be best for you to buy a property most suited for investment and to leave that rented out all of the time. You can keep the rental income in the UK and then use this income to pay for your holiday accommodation, as and when you visit. This is better, and gives you more flexibility as the investment property can be purchased for the best yields, price and investment returns – and not necessarily in areas you need to live in or visit. UK properties cannot be left vacant for long periods (as they may develop damp) and normally the tenancy agreements are for 12 months. Practically it is very difficult to use your own property for short holidays, as each time you have to give legal notice to tenants, then clean or renovate the property, change the utilities (gas, electric, water, internet etc) to your name. Then suitably furnish the property, as almost all UK properties are normally rented out unfurnished. Trying to do all these things quickly is not easy and will just spoil your holiday. It is better just to rent unless your holiday are very long (over 6 months).

Future Own Use

If you are looking mainly for “own use” in the future either because you may relocate to the UK or for possible retirement, normally we would advise you NOT to buy a property yet. It may be best for you to just rent for a short while, if and when you come to the UK –  until you were happy with the community and location. Then you could buy. Many clients end up buying in the wrong location and sometimes their circumstances change and the property purchased is not suited to their needs.

A first step in planning to come back may be a pure investment property that gives income, grows in value, and is easily affordable without a mortgage. This would give you options for the future. You could then use the rental income from the investment property to pay for any property you rent for your own or family use. This gives you more flexibility and the ability to move around until you are sure where you finally wish to live.

Our Clients – Overseas Nationals

Many overseas buyers are looking to the UK for a secure place for medium to long-term investment. They are not looking to immigrate into the UK immediately (although some may consider it in the future), but simply wish to grow their money securely and with the least amount of hassle. They usually have some link with the UK or intend to send their children to study here in the future. Many may have studied here themselves. They are looking for a company that offers a complete solution; this includes finding investment property, dealing with the purchase process and lettings and management, paying the net rent to them, dealing with UK authorities and possibly managing the future re-sale of the property. Some of them may wish to come to the UK in the future and even re-sell their investment properties to buy an ‘own use’ property.

Our Clients – UK Expats

Many of our clients are actually UK nationals who are working or living overseas. They want to invest for the long term in a safe and secure country (i.e. their own country – the UK). Some may eventually wish to retire in the UK and may sell one or more of their investment properties to get an own use property. Others will simply keep these properties for long term investment and they may pass these on to their children. Having a real asset that they own outright and that grows in value, generating good retirement income makes sense for them and they feel safe in having such a property in the UK. Many clients start with one property and in later years acquire more to build a small portfolio. We can help them in this process (see customer case studies section).

Our Clients – UK Residents

Many UK residents living in the south or in London are now considering low cost houses for investment and long term pension type income. Prices in London and the South are very high and % rental yields much lower. The same property which we sell for £70,000 here in the North is over £350,000 in the South. In the past London has done very well in capital growth – however this is less likely to be the case going forward and the risks of buying here are now higher. Our clients from the UK also like our “hand-off” system where we work differently to normal Estate Agents and Letting Agents and provide a much more comprehensive service looking after all aspects of the purchase and the subsequent long term management with a Guaranteed Rent System. Our UK clients are mainly either busy professionals working in or near London or those that have retired or coming up to retirement.

Beware of Student Room Investments

These are single rooms within student flats and sold as leased investment units. The properties are built by builders and developers, marketed and sold by sales companies and managed by different student management companies. The rooms can only be rented out by the management company – you cannot use them or rent them out yourself. They can only be re-sold to another investor who agrees for them to be continued to be used as student-only accommodation.

Student rooms are not really comparable with freehold houses and would be impossible to sell without the guarantees made by the companies advertising them. Unfortunately, such guarantee wording is drafted in a way in which there is a ‘get-out’ for the developers, managing companies and sales agents in case the yields and growth are not achieved. This means that it is in fact the investors that carry the risks. Whilst there are some projects that offer good value, many do not due to high management/ service costs and short leases (student properties are not freehold). Prices are inflated with a single mini bedroom in a shared flat costing around £50,000 and they cannot be sold to anyone other than an investor. Thus, the market re-sale value may not rise (and can fall).

With the student investments, there can be several parties involved – properties are sold by the commission based sales company, they are purchased from the developer or builder, and the student management company who you will be dealing with is completely different. When you purchase a standard house with our help, we are responsible and liable for all aspects of the purchase, rental and management; we remain your contact for the life-time of your investment.

Avoid Hotel Rooms, Care Homes, Car Parks & Storage Pod Investments

These fall into a similar category to student pods. The values are inflated, there is no true re-sale market (can only be sold to another investor) and capital growth is not realised. There are multiple companies and contracts in each transaction and no one company totally accountable to the investor. Whilst returns may be guaranteed for a short period there are hidden charges. Standard buy-to-let houses are better as you “own” the property yourself and future capital growth is better.

BBC Video – One of FIVE BBC TV Episodes on our business.

This is the first of FIVE Episodes produced by the BBC. It cover  the family business of Find UK Property and explains how we buy and renovate low cost properties in the North. You can watch all 5 episodes on the Testimonials Page.

NOTE: This website shows ‘own use’ properties, pictures and indicative pricing that is approximately representative of the UK property market. These specific own use properties are NOT advertised for sale on this website. The aims are to give you an idea of the different types of “own use” UK property that is available at each price point. Our main business is to help clients buy and manage investment properties only and all of our houses are already rented out when clients purchase them. We can give you general advice about own use properties.