UK Transitional & Supported Housing

Own the house.
The system pays the rent.

Freehold County Durham homes from £127,400 — 12–13% target net yield, CPI+1% annual uplift, income derived from government-funded housing-cost payments.

How It Works
12–13%
Target net yield
CPI+1%
Annual uplift
25yr
Management agreement
100%
Freehold ownership
3-Bed Opportunity · County Durham
Larger homes.
13% target net.

3-bedroom freehold houses from £176,040 — approximately £22,885 target net income in year one, reported monthly through a ring-fenced client account.

Explore 3-Bed Stock
The Structural Difference
Pass-through,
not promises.

Where fixed-rent schemes failed, the pass-through lease aligns everyone: real income from the funding system flows through to you, with full transparency — never a "guaranteed rent" promise an operator can't keep.

Advised, Never Pressured
We introduce.
Your adviser guides.

We don't sell to you directly. Every investor is introduced to a vetted broker or IFA in our network, who walks you through due diligence and the purchase — professionally, at your pace.

How Enquiries Work
Property values and income can go down as well as up. Returns shown are target returns and are not guaranteed.
Why Choose Us

Three specialists. One structure.

Aii Property distributes. SIRE Group sources, refurbishes and delivers. Myshon operates — nationally, at scale.

Refurbished supported housing interior — UK transitional housing investment, County Durham
Every home refurbished to the Decent Homes Standard — furnished, certified, ready for occupation
100%
Freehold — you own the house
Not a share of a scheme. A house, with your name on the title
25yr
Management agreement
Operated by Myshon — 11,000+ homes, 150+ staff, 24/7
CPI+1%
Annual upward-only uplift
Inflation-linked rent review, subject to lease & legal pack
Global investor base
Trusted by investors across the UK, Hong Kong, Singapore, the UAE, Switzerland and Türkiye — full remote purchase through your own independent solicitor.
How Enquiries Work

We introduce. We don't sell.

Aii Property is a distribution business, not a sales floor. Every enquiry follows the same professional path — so you're advised, never pressured.

You enquire

Tell us whether you're an investor or an adviser, where you're based, and what you'd like to understand. No obligation — an enquiry starts a conversation, not a sales process.

We introduce you to a vetted adviser

Your enquiry is matched to a professional broker or IFA in our international network — someone who understands your market, your currency and your objectives, and who acts for you.

Your adviser guides the purchase

Property pack, due-diligence questions, your own independent solicitor, exchange and completion — your adviser walks you through each step alongside our deal team. Target: 10–12 weeks.

Why this matters: an advised purchase protects you. Your broker or IFA has a duty to you, asks the hard questions on your behalf, and ensures the investment actually fits your circumstances. Aii Property does not provide financial advice — we build the product, the evidence and the introductions.
Full Portfolio Showcase

Find your next property investment

Refurbished houses across County Durham — let under a 25-year management agreement with monthly reporting from day one.

*Guide figures based on the standard 2-bed worked example (£127,400 purchase, 12% target net, £15,288 year-1 target income). Confirmed pricing and projections are issued in each live property pack, subject to the property pack, lease documentation and legal due diligence. Portfolio homes shown are representative of the housing type. Property values and income can go down as well as up; returns shown are targets, not guarantees.

A real house. A real tenant.
A real income flow.

No pooled funds, no paper promises — a freehold home on an English street, housing someone who needs it, paying you from the system that funds it.

Location Hotspot

Why County Durham?

An income-led market, not a prestige-led one — low entry prices, strong local-authority demand for compliant supported accommodation, and real connectivity.

£127k

Accessible entry pricing

Fully refurbished freehold houses at a fraction of southern-England pricing — the arithmetic that makes a 12–13% net target possible.

2 & 3 bed

The right housing stock

Semi-detached and terraced family houses — easier to manage, maintain and return to mainstream residential use than HMOs or blocks.

20 min

Newcastle by rail

Durham sits on the East Coast Main Line — around 20 minutes to Newcastle and under 3 hours direct to London King's Cross.

Structural

Demand that isn't cyclical

Local authorities carry a statutory duty to house vulnerable people and face a long-term shortage of compliant supported accommodation.

The Foundation

Why this housing exists at all

Before the yield, the structure or the property pack — the reason this asset class exists. Across the UK, many people cannot access stable housing through the normal private rental market, and councils cannot meet the need alone.

1M+
People on Local Authority housing waiting lists
300k
New affordable homes needed in England each year
317
UK Local Authorities responsible for housing
№1
Housing affordability — the UK's top social infrastructure challenge

Figures drawn from UK government and housing-sector statistics; indicative as at 2026 and subject to periodic revision.

Councils carry a legal duty

Local Authorities — England's local councils — have a statutory duty to help people who are homeless or at risk of homelessness. Most do not own enough suitable housing of their own, so the gap is filled by trusted private partners providing safe, compliant, well-managed homes.

Demand is structural, not cyclical

This demand is not driven by fashion, prestige or short-term market sentiment. It is driven by a long-term shortage of suitable housing and a legal obligation to address it — which is why the sector behaves differently from mainstream buy-to-let.

A managed pathway, not a hostel

Transitional housing sits between supported accommodation and independent living: ordinary houses for people who need a well-managed home and light-touch support while they move toward independence. Not a care home, not a hostel, not an HMO.

New to the UK housing system? Start with the foundation guide — the shortage, the terminology, the residents, and where your rent comes from. Read: How It Works
Where the Homes Are

County Durham, on the map

Explore where the portfolio sits — from national context to the towns themselves. Toggle between the UK view and the County Durham area.

Town-level locations shown for illustration — full addresses are released in each live property pack. Durham sits on the East Coast Main Line: around 20 minutes to Newcastle and under 3 hours direct to London King's Cross.

The Model

The pass-through difference

The sector's past failures came from inflated fixed-rent promises. The pass-through lease is the correction: real income, from real funding flows, reported to you monthly.

An eligible resident moves inCare leavers, people fleeing domestic violence, and others in housing need — placed via Myshon's referral network (~80 placements per week nationally).
Housing-cost support is claimedIncome derived from government-funded housing-cost payments (Universal Credit / Housing Benefit), administered through the provider and operator structure.
Myshon administers & collectsClaims, rent collection, service-charge administration, compliance, repairs and tenant welfare — handled by a 150+ strong national operator.
Your rent passes throughAfter operating costs are funded, landlord rent is passed through to you with monthly I&E reporting via a ring-fenced client account.
Fixed-Rent SchemesPass-Through Lease
Income basisA fixed promise from the operatorReal property income from the funding system
When stress hitsOperator absorbs losses until it failsTransparent — you see the real flow monthly
AlignmentOperator incentivised to overpromiseLandlord, operator and provider aligned
UpsideCapped at the fixed figureSurplus may return to you or fund a sinking fund
Track recordRepeated sector failuresBuilt on operational infrastructure at scale

Transparent does not mean risk-free — income remains linked to occupancy, eligibility, funding rules and operational performance. Always take independent legal, tax and financial advice.

Plain English

The UK terms, translated

Eight terms appear throughout this site and in every property pack. Understanding them makes everything else straightforward.

Freehold

Outright, permanent ownership of the property and the land it stands on — your name on the Land Registry title.

Local Authority

The local council responsible for housing in an area. Identifies housing need and arranges accommodation, often through private partners.

Registered Provider

An organisation approved to provide social housing — typically a housing association, charity or specialist operator.

Universal Credit

A UK government welfare payment. For eligible tenants it can include a housing-cost element that helps pay rent.

Housing Benefit

An older form of housing support, still used in many cases, helping eligible people pay their rent.

DWP

The Department for Work and Pensions — the UK government department responsible for welfare, including housing-related payments.

Pass-through lease

A lease where landlord income derives from the property's real income after operating costs — not from a fixed promise.

Decent Homes Standard

The UK government's minimum benchmark for housing condition — the standard every home is refurbished to before occupation.

Yields, Occupancy & Projections

The numbers, in the open

Because the lease is pass-through, running yield responds to real occupancy — below target under stress, above it when performance is strong.

Indicative running yield vs occupancy

Effective occupancy2-Bed (12% target)3-Bed (13% target)
50%≈ 9.1%≈ 10.5%
60%≈ 11.3%≈ 12.7%
70%≈ 13.4%≈ 15.0%
80%≈ 15.5%≈ 17.0%
90%≈ 17.6%≈ 19.1%
99% (sample record)≈ 19.5%≈ 21.0%

Interpolated from portfolio occupancy analysis; the 2-bed clears its 12% target at roughly 60–70% occupancy. Illustrative only — running income is linked to occupancy, eligibility, funding rules and operational performance, and is not guaranteed.

25-year target income projection (CPI+1%, illustrated at 4% p.a.)

Year2-Bed target net3-Bed target net
Year 1£15,288£22,885
Year 5£17,885£26,772
Year 10£21,760£32,572
Year 15£26,474£39,629
Year 20£32,209£48,214
Year 25 (cumulative)£39,188 (£636,683)£58,661 (£953,067)

Based on the worked examples: 2-bed £127,400 at 12% target net; 3-bed £176,040 at 13% target net; CPI+1% annual upward-only rent review illustrated at 4% p.a. Projections are targets, not forecasts or guarantees.

Evidence, Not Promises

Operational track record

Historic portfolio performance from Myshon's national operation — presented as data, never as a guarantee of future returns.

0%
Occupancy — 600-unit transitional sample
0%
Rent collection on sample
~0wk
Typical void per year
0/wk
Tenant placements nationally

Figures reflect a 600-unit transitional housing sample over 12 months; occupancy across Myshon's whole portfolio is 95%. Historic operational data is not a guarantee of future performance.

Understanding the Sector

Supported housing, assisted living, social housing — what's the difference?

Transitional & supported housing investment

Transitional housing is a form of supported housing: stable homes with light-touch support for people moving toward independence — care leavers, people leaving domestic violence, and households from local-authority waiting lists. For investors, it is an income-led UK property investment where rental income is derived from government-funded housing-cost payments rather than the open rental market. It is one of the few UK property sectors where demand is structural — driven by statutory local-authority duties — rather than cyclical. That combination of income and measurable outcomes is why it is increasingly described as a social impact property investment.

Is this "assisted living" investment?

Investors researching assisted living investments or supported living property often mean this same sector. Strictly, our homes are not assisted living — there is no 24-hour care element — but the investment logic those searches describe (long management agreements, specialist operators, welfare-backed income) is exactly what transitional housing offers, with the added benefit of owning a standard freehold house that can return to mainstream residential use. Our supported & supportive living investment guide decodes the terminology in full.

A high-yield alternative to buy-to-let

Standard UK buy-to-let typically nets 4–6% after agent fees, voids and maintenance. Transitional housing targets 12–13% net because the property is let under a 25-year management agreement to a specialist operator, with operating costs funded through the service charge and a CPI+1% annual upward-only rent review. The trade-off is honest: income is linked to occupancy and funding performance, and there is no "guaranteed rent" — a claim we'd encourage you to treat as a red flag anywhere in this sector.

Hands-off income — but never "risk-free"

Many investors describe what they want as passive property income: no tenants to find, no repairs to arrange, no agents to chase. Operationally, this is that — Myshon handles referrals, collection, compliance and maintenance, and you receive monthly statements wherever you are in the world. But no property investment is truly passive or risk-free: values and income can fall, and independent legal, tax and financial advice is essential before proceeding.

Go Deeper

Learn the sector, properly

Six in-depth guides for investors and advisers who want to understand exactly what they are buying — the housing system, the asset, the location, the structure and the practicalities of owning from overseas.

Guide

Social Impact Property Investment

How UK transitional housing delivers measurable social impact alongside a 12–13% target net yield — and what "impact investing" really means in residential property.

Read the guide →
Location

Why County Durham, Not London

The arithmetic behind an income-led location strategy — entry pricing, Local Authority demand, East Coast Main Line connectivity, and the towns the portfolio sits in.

Read the guide →
Guide

Supported & Supportive Living Investment

Supported living, supportive living, assisted living, transitional housing — what each term means, how the income models differ, and the questions to ask before investing.

Read the guide →
Guide

The Complete Investment Guide

The full picture: the funding flow, the pass-through lease, the buying process, overseas ownership, tax basics and the risks — explained honestly, end to end.

Read the guide →
Foundation

How It Works — The UK Housing System

Written for readers new to UK housing: the shortage, Local Authorities, Universal Credit and Housing Benefit, who lives in the homes, and the six-step income flow to you.

Start here →
The Asset

What You Own & Refurbishment Standards

The house itself: typical property profile, the works completed before anyone moves in, the Decent Homes Standard, the service charge, and the operator behind it all.

See the standard →
International

Buying From Overseas

The 10–12 week remote purchase, cash vs mortgage, UK banking, repatriating income, and UK tax basics — SDLT, the Non-Resident Landlord Scheme and CGT.

Read the guide →

Brokers & IFAs — join the network

Full broker pack, due-diligence documentation, training, client-forwardable materials and qualified investor introductions — plus direct access to the deal team from enquiry to completion.

Investor enquiries from this site are distributed to network brokers.

FAQs

Common questions

No — and we'd encourage caution with anyone who says otherwise. Income is derived from government-funded housing-cost payments and is linked to occupancy, eligibility, funding rules and operational performance. The 12–13% figure is a target net yield, not a guarantee. What you get instead of a promise is transparency: monthly income and expenditure reporting through a ring-fenced client account.

No. Aii Property is a distribution business — we build the product, the evidence and the introductions. Your enquiry is introduced to a vetted professional broker or IFA in our network, who advises you and guides your purchase alongside the deal team. We do not provide financial advice.

A UK residential property — normally a freehold 2 or 3-bedroom house — fully refurbished to the Decent Homes Standard and capable of returning to mainstream residential use, subject to the lease and legal advice. You appoint your own independent solicitor and complete a normal UK conveyance.

Those schemes promised inflated fixed rents that the underlying income could never support, with weak providers and no operational infrastructure. The pass-through lease pays you from the property's real income after operating costs, aligning landlord, operator and provider. Myshon brings the operational layer those schemes lacked — 11,000+ homes, 150+ staff, national referral and compliance teams.

Yes — the model suits overseas investors seeking GBP income from a hands-off UK asset. The purchase completes remotely through your independent UK solicitor, and reporting is delivered monthly wherever you are. Non-resident tax (including NRLS) applies; take independent tax advice.

Property review, reservation, then your solicitor runs full due diligence — title, lease, searches and contracts — through exchange and completion. We target 10–12 weeks from introduction to completion.

Income is derived from government-funded housing-cost payments — Universal Credit or Housing Benefit, funded by the DWP and administered with the local authority. The eligible resident claims; the provider and operator structure administers the claim and collects; operating costs are funded from the service charge; the remaining landlord rent passes through to you. The government does not guarantee your rent — it funds the housing-cost payments the resident is eligible for.

Typically a new or upgraded boiler and heating, electrical upgrades, fire safety and compliance works, full redecoration, new flooring, kitchen and bathroom upgrades, furniture and white goods, and all gas, electric and EPC certification — followed by a final compliance inspection and fit-out to Local Authority requirements. The benchmark is the Decent Homes Standard.

Most portfolio properties are acquired on a cash basis, which simplifies the legal process, speeds completion and removes mortgage interest as an ongoing cost. UK buy-to-let mortgages are available to some international buyers but criteria vary by lender, nationality and residency. Remortgaging later to release equity is possible in principle once the property is established — take specialist broker advice at the right stage.

Stamp Duty Land Tax on purchase, including a 2% non-resident surcharge; UK income tax on rental income under the Non-Resident Landlord Scheme, reduced by allowable deductions such as management costs and service charges; and potentially Capital Gains Tax on any gain when you sell. None of this is unusual for UK property ownership, but all of it needs independent advice from a UK accountant.

The service charge funds maintenance, insurance, tenant support, compliance, management, utilities, void provision and repairs — portfolio data indicates around £25 per unit per week in average maintenance spend. Where expenditure comes in below budget, the unspent balance may be returned to the landlord or retained as a sinking fund for future works, meaning effective return can exceed the target in some periods. That is portfolio data, not a promise.

Re-letting is the operator's job. Myshon's national referrals network places around 80 tenants a week, and historic portfolio data shows typical voids of about one week a year on the 600-unit transitional sample, with average tenant stays of 18–24 months. Historic operational data is not a guarantee of future performance.

Yes — you own the freehold and can sell. Resale takes time and the buyer pool may be narrower while the lease is in place, but because these are ordinary 2 and 3-bedroom houses capable of returning to mainstream residential use, subject to the lease and legal advice, there is a natural resale audience of owner-occupiers and standard landlords. That optionality is deliberate.

People who need stable accommodation while moving toward independence — care leavers, people leaving domestic violence, households from local-authority waiting lists. This is light-touch supported housing, not 24-hour care. Alongside the financial case, each home reduces pressure on temporary accommodation and gives someone a genuine route forward.