How to Find a Property

This guidance exists to give you guidance on how to find a property for us to purchase so that you can provide a home for your residents and see lives changed. You may be reading this for the first time as you’re about to apply to Partner with us, or perhaps using it as a refresher for your next property.

We’ve learnt a lot about buying properties over the years, but it’s worth noting that each property can be different, and the content below is only meant as a guide. We’ll be there with you throughout the process of searching for your property so that we can help deal with any of the specifics that are thrown up.

We want to encourage you that God is with us, and He will help us to find the right property. For some properties this process takes only a matter of days, for others it is longer -  either way we’re in it together.

Before you start searching

If you’re not yet a Partner, you should only start searching for a property if you’ve completed all the questions in the Partner Application form and have been advised by our Partner Support Team that you’re ready to move forward. The Partner Support Team and your Partnership Manager will give you further guidance on what to look for and an idea of affordability.

What to consider in your search

Geography

Geography is a crucial consideration for both your residents and local community. Our residents are on a low income and usually have difficult backgrounds. They may have a history of drug and alcohol abuse, crime and anti-social behaviour. Therefore, it may not be sensible to house them in a family-oriented residential area. At the same time, please avoid placing them in difficult parts of town, surrounded by unhelpful role models. Some prospective residents may have other needs than those listed. In short, you need to exercise sensitivity in identifying the appropriate geographical area. Furthermore, bear in mind where your team members live when choosing your area - you don’t want the property to be miles away from your team members.

Bedroom Sizes

You should check on your local council website, but most councils require that bedrooms are at least 6.51m squared. If just under, see if there is an inbuilt cupboard that could be taken out to make the room bigger, or a stud wall that might be able to be moved without jeopardising bathroom or corridors.

Convert Reception Room into Additional Bedroom

Houses may come with 2 reception rooms, allowing one reception to be converted into an additional bedroom – this could make the difference between affordability or not.

Property Searching Tools

Please search for property using the internet:

‍Rightmove

• When looking at specific property details, you will notice to the right hand side “Map and Local Area Information”. Please click this map to shows recent house prices in this area. This will help tell you if the price of the property you are viewing is reasonable
• Go to filters and click do not show (a) retirement home & (b) shared ownership‍

Zoopla

Once you have identified a house, please look at the following sites to show you changes in value of the property and how much it has changed hands:

• ‍Net House Prices ‍
• My House Price ‍

Please also approach all the relevant estate agents in your area. Try to establish a relationship with at least one sales representative and explain what type of property you are looking for. You should specify the following:  

• The number of units you require;
• The purchase is on a buy-to-let basis;
• There is no “chain” as there is nothing to sell; and
• The mortgage is in place

You are free to outline the work you are involved in (i.e., helping disadvantaged people to get back on their feet). However, it is not necessary to give a detailed account of the type of potential resident (e.g., drinkers and anti-social individuals). Unfortunately, it is too easy for prejudices to creep in!

Video guide on finding a property

Please now watch this GP Property Searching Video Tutorial for how to find the right property online – it will cover some of what we’ve mentioned above, as well as some other specific tips.

Once you’ve found a property

Please make sure you use the Property Potential Form (PPF) to recommend a property to us. Please do not go and see the property in person until you’ve submitted the PPF and had feedback from our Partner Support Team. This ensures that you don’t waste time visiting a property that is unsuitable.

Our Partner Support Team will promptly give you feedback via email. If the property is suitable they will give you the green light to go and see the property in person.

Once you’ve seen the property and decide it’s suitable, please complete our New Property Form (NPF). Once complete, email the form to your Partner Support Team contact, Cc’ing your Partnership Manager.

Tips when viewing the property

You should download and print help remind you of important things to check when viewing the property.

You should be accompanied by someone who has experience with buildings (e.g., a builder, architect or building inspector). It is critical during initial viewings that a thorough inspection takes place so that you know what, if any, work is required, prior to housing a resident.  

The key feature is accommodation. Therefore, look at room sizes rather than garden sizes. Can you fit a double bed and wardrobe in? Ideally, the property will require no work whatsoever, so that a new resident can move in immediately on completion. Realistically, though, some work will be required. Simply remember that you may have higher standards than a future resident. You may think that a property is not good enough when, in fact, it just needs a bit of a face-lift.

Try to aim for ready-to-go units, especially when purchasing first units. Each day the unit is empty will lead to a financial loss for us and our Partners. For example, if you are hoping for a complete overhaul, the property might be unoccupied for the first two months. This could easily translate into a loss of over £1,000. On the other hand, if refurbishments have been factored into the purchase price, then you need not worry about this. In addition, do not be overly concerned about kitchen appliances, carpets and furniture at this stage.

Do consider future maintenance. For example, a big garden may look great, but without a resident to take care of it, it becomes a waste of money and an eyesore. Look for low maintenance units, non-painted render, UPVC windows, flagged yards or small gardens. A front garden is not essential, neither is a garage. There is no point in paying for a garage that will not be used. End of terrace properties may minimise disturbance to neighbours.

We advise that you take photographs of every room to refer back to, including the loft if applicable.

Look thoroughly for rising damp on every ground floor room as people often paint over it.  

Important questions to ask yourself

1. Is the property worth the asking price?  
2. Can you find any similar properties in the area at a lower price? For example, there may often be a similar property two streets away that is £10,000 cheaper
3. Bedrooms below 6.51m² are not acceptable for a HMO
4. Dwellings with Energy Performance Certificate ratings (EPC) of lower than C are not acceptable
5. Houses with 2 reception rooms could have an additional resident housed by converting one into a bedroom – this could make difference between affordability and not. It is also worth approaching the Empty Homes department of your Local Authority. This department identifies property which has been left vacant by the owner. The department lobby the owner to bring the property back into use. The Local Authority have power to seize the property to bring it back into use but seldom use this power as it is too costly a process to the Local Authority.
6. Fire Safety - In the event of fire, occupants need to escape safely from all rooms. This means occupants need to get to a place of safety directly from each room, i.e., not from one room through another to a place of safety. This doesn’t apply at the ground floor where an escape window is present in the room. Other fire safety measures are required i.e., fire doors and smoke alarms.

Factors that we’ll consider before making an offer

1. Past sales prices for property in question and neighbouring similar property present prices
2. Market trends for country
3. Market trends for area
4. Our internal view of the market now and future
5. Value for money regardless of serviceability
6. Internal previous purchase prices for area
7. Internal consideration of risk to partner and GP
8. Partner need
9. Property upgrades and renovations required
10. Partner experience
11. We use:
    - Net House Prices
    - Nationwide Calculator
    - Zoopla
    - Rightmove
    - Land Registry

Affordability Issue?

If affordability is a challenge you will have discussed this with your Partnership Manager already. That said, sometimes there are situations when the Market Level Rent is not enough to cover the total outlay for the property (purchase price + upgrades + legal fees). In such circumstances we try to find a way forward, these are some of the options we look at:

1. Keep searching: At first glance it seems it is not possible to find an affordable property. An estate agent in London said it was only possible to buy at 5% of the total outlay. In the end we achieved 9% on one property and 10% on another. So do keep looking, God does provide the right place.
2. Remember: We aim to purchase anything between 10-15% below asking price
3. Houses: 4 bed spaces may be more affordable. Blocks of self-contained flats may be more affordable.
4. Second reception room as an additional bedroom: Look for a 2 bed with two reception rooms and convert one reception room into a 3rd bedroom. Or look for a 3 bed with two reception rooms and convert one reception room into a fourth bedroom.
5. Could you make a yearly donation to us to offset the cost: We don’t charge a cost to Partner with us, but making a contribution could increase the affordability of properties. As a rough outline, for every £1,000 you commit per year, our purchase power increases by approximately £11,000.
6. Loan stock Investment: If you could get individuals to invest with Green Pastures and choose to take an interest rate of less than 5%, the difference between the interest they take and the 5% maximum can be used to contribute towards the property cost. You’d need to ensure these Investors were willing to invest for the duration of the project or find new ones each time an Investor chose to take their money out. Your Partnership Manager can give you more guidance on this option.
7. Capital: if you have working capital, you could invest yourselves at below 5%. We would need less rental income to service the debt.
8. Ask us if we can subsidise the project: we can’t always say yes, but we’re willing to here the reasons

Empty Homes Officer

It is also worth approaching the Empty Homes Section at your local Council. This department has the role of actively seeking out long-term vacant privately owned houses and flats. Indeed, the more proactive will also seek out vacant land and commercial properties suitable for conversion or redevelopment as residential accommodation. The Empty Homes Officer aims to trace the owner and encourage him/her to bring the property back into use. Some Councils will use their enforcement powers to compulsorily purchase long-term vacant privately owned houses, where the owners do not voluntarily bring them back into use.

Unfortunately, Data Protection laws mean that Empty Homes Officers are unable to disclose the names and addresses of these long-term empty homes to ‘third parties’. Some Councils have a ‘list of developers’ that they give out to owners of empty homes – should they wish to sell the property on. Others may be prepared to forward a pre-prepared letter (that you supply – offering to purchase) to the empty property owner. It is then left to the owner to contact you.