How did we work this out?
Our financial model is based on 30% of our purchasing capital coming from Loan Stock and 70% coming from mortgages. At present on average, it costs in total approximately £33,000 to purchase a home for one person, so an investor buying £10,000 of loan stock provides a home for one person. To calculate the total number of people housed we take your total investment and divide it by 10,000. If you choose an interest rate lower than 5%, the forgone interest acts as a surplus within our model. We use this surplus to assist the growth of Green Pastures towards the goal of eradicating homelessness. Our growth costs average at £369 per home, per year. If you choose lower than 5% we calculate your total forgone interest, divide that by 369 and add it to the total. GP decides whether to take out mortgages dependant on funds and terms available therefore house purchases may sometimes utilise loan stock funds only. Please note: This is an approximate calculation of your return and the people housed. The calculator does not differentiate between returns for rolled up and standing order investments. Rolled up investments make a slightly higher return than standing order investments that is not reflected in this calculator.