Currently, the UK housing crisis is amongst the most pressing issues the country faces, with over 8 million individuals impacted by the lack of secure and affordable housing.
Concept Capital Group is an innovative start-up aiming to resolve this crisis through alternative buy-to-let opportunities.
In the following article, we will elaborate on the severity of the housing crisis and review whether we think Concept Capital Group’s initiative is promising.
How bad is the UK housing crisis in 2022?
A research article published on housing.org revealed that more than 3.6 million people live in overcrowded homes, 2.5 million cannot afford rent or mortgages of their own, and another 2.5 million live with their friends, partners, or parents due to a lack of affordability.
43% of the above can only lead a decent life if they have access to social housing. In order to resolve the crisis, though, the government needs to build 340,000 homes per annum. This would require a 12-Billion-pound investment. Furthermore, research done by The World Bank revealed that by 2025, there could be 1.6 Billion people impacted by the housing crisis.
On a bright note, it has been revealed that the Government Steps In To Address Cost Of Living Crisis as inflation hits a 4-decade high.
How is Concept Capital Group helping resolve the housing crisis?
Concept Capital Group markets and sells prefab homes to clients. Once the client buys the home, the company utilises exclusive partnerships to get it built, placed on site, and tenanted with low-income or government-assisted individuals. After that, the homeowner starts to receive a fixed rental income straight into their account.
What makes CCG’s opportunity different is that their homes cost £39,999, which is a one-time cost. The home’s low cost is because the company is only selling the unit, whereas the land these homes are placed on is accessed through exclusive partnerships.
How many people have Concept Capital Group housed so far?
As stated on the website, CCG has been operating for three years now. During the three years, the company managed to house over 450 individuals and families across the UK. As the company grows older and gains more credibility, these numbers are starting to rise.
The company’s current mission is to sell and build 2500 prefabricated homes by 2025. They claim that though they’ve come a long way, their journey has only just begun. We believe that’s the right entrepreneurial mindset to have when running an impactful & purposeful start-up.
Top 101 impact investing companies in the UK
We noticed that Finance Pill recognised Concept Capital Group as one of the top impact investing companies growing fast. This was based on several factors, including the company’s track record, executive leadership, market share, innovation and ESG rating.
We scanned the company’s supporting page on its website and noticed that despite being a social entrepreneurial venture, the company also supports multiple charities. They support organisations, including The British Red Cross, The Kiyan Prince Foundation, and Brunel University.
How are the Concept Capital Group Reviews?
The company has a presence on multiple review platforms, including Trustpilot & Feefo. We focused on these two platforms as they only allow reviews from trusted customers. CCG has a 4.8 /5 rating on Trustpilot and a 4.9 /5 rating from 65 clients on Feefo.
Furthermore, the company has a YouTube channel where they’ve posted client testimonials for buyers to view before making a purchase.
What are the returns like?
Considering the current market average of rental yields on buy-to-let that is 3.6%, Concept Capital Group’s yields of up to 11.1% can sound too good to be true. However, after viewing their client reviews and thoroughly analysing the website, it appears that many clients have not only enjoyed the yields but exited the opportunity successfully.
Regarding the exit strategy, the company offers a buy-back incentive every two years of the opportunity, where the company opts to repurchase the home from the client. Alternatively, if the client provides a six-month notice period, the company can also help them sell the unit through other avenues.
Is Concept Capital Group’s business model sustainable?
The most common concern that the company’s buyers appear to have is whether the company’s business model is sustainable. We dug deeper and noticed that they operate on a debt-free model. The company sells a home and then gets it built and placed on the land. This required minimal investment from the company’s end. They then allocate a budget towards their marketing and sales departments.
Furthermore, the company enjoys a management fee for each home sold on a monthly basis. They also own several units, allowing them to have a steady passive income. This makes it relatively easy for the company to survive, even during challenging market conditions. For instance, the company made it through Covid’19 despite being a start-up.
Final thoughts
After a thorough analysis of Concept Capital Group Reviews and the company’s business model, we see potential. The company seems to be going in the right direction, aiming to resolve one of the most pressing issues faced by the nation.
Furthermore, they’ve married profits and social impact perfectly. People can make an excellent return on their savings while housing a low-income or government-assisted individual.
Nonetheless, we highly recommend that all individuals seek independent financial advice before deciding to benefit from Concept Capital Group’s Buy To Let opportunity.