Property Secured Fixed Return Investments
Fixed return investments with invested capital secured on property are available to professional investors.
For many years, investors have trusted that property as one of the safest places they can invest their money – safer than a pension (source:FT). Looking at UK property as an example, as the government has increased the tax that property owners must pay confluently there is uncertainty on the UK’s economic future and what it might be after Brexit. Therefore, investors want to know “Is there a better and quick way to make money from property than just buying houses to rent them out”? Please note that you need to prove eligibility as a professional investorprior to investing into any introduced asset-secured investment opportunities. In addition, if you are a UK person or UK resident go to www.hultprivatecapital.co.uk and contact the UK entity who handles all UK persons or UK residents. We cannot conduct any introduction activities to asset-secured investment opportunities to UK persons or UK residents out of our UAE office.
HULT Private Capital Target Fixed Rate of Return Property Investments
- Typical targeted fixed rate of return ranges from mid to high single digits upto low double digits in annual percentage terms depending on the property investment deal.
- Potential investment exit bonus cash is also a target on the sale of a property.
- Typically, target returns pay a higher interest rate than cash time deposits at a bank
- Hult Private Capital team has at least 12years track record of property investing
- Minimum investment $150,000
- Typical duration of investment is 3 to 5 years (illiquid investment; cash is locked up into the investment)
- Projects to be introduced are subject to eligibility that you are a professional investor in your jurisdiction. Not available to UK investors who should go to www.hultprivatecapital.co.uk
SHORT-TERM RETURNS COMPARED TO HANDS-ON BUY-TO-LET
Property direct investments are introduced one project at a time. We can introduce you to further property direct investments to choose if you wish to roll over to a new direct investment upon maturity of the prior direct investment (depending on the term of your investment horizon). Once the projects are complete, you are paid back your initial capital invested plus accrued interest at maturity. The usual maturity for a property investment of this kind is between three and five years.
Property direct investments offer a targeted fixed rate of return which is usually higher than a cash time deposit at a bank.
The really great thing about property direct investments is that they may offer a far higher target rate of return than you can expect from a typical cash time deposit at a bank. In time deposits you may agree to tie up your capital for an agreed period of time – usually between six months and two years. However, if you want to withdraw money early, you will have to pay a penalty fee which in most cases erodes the return. Similarly, if you wanted to sell a property prematurely, you may not get back your target returns or all of your investment capital.
Property direct investments are illiquid and as such your capital may not be readily available prior to the estimated maturity of the investment; liquidity may occur if another professional investor would like to buy privately your investment from you and usually they may do so at a perceived discount to perceived value which also may erode returns.
Although property direct investments have been stable and strong in recent years, past performance does not guarantee future results. Property direct investments may carry risks, including but not limited to, illiquidity, or investment as junior debt which carries a second priority charge / lien position behind a senior lender and other possible risks. We recommend investors seek independent third-party professional advice (especially with a specialist who specializes in non-readily realizable securities) and undertake their own due diligence prior to investing in any of the projects we introduce to them.
Doing what is right for you?
Before investing in anything, there are some important questions to ask yourself:
- – Do I understand the numbers and how it all works?
- – Am I happy with not being able to access my invested capital immediately?
- – Am I clear on the risks?
- – If I have an existing portfolio, is it too focused in one area? Should I consider a different investment opportunity to help me rebalance the risks and improve my long-term risk adjusted target returns?
Whichever route you decide is right for you, be sure to work with people you trust. Speak with us today. For more information and to confirm eligibility as a professional investor please contact us on +971 4566 4052 or info(at)hultprivatecapital.com
All investments have risks. Property, private equity, or private debt investments are relatively illiquid, and it could take some time to liquidate these types of investments. The investments we introduce are from platforms we believe are designed for professional investors who understand the risks associated with property investments and are comfortable with that level of risk. We recommend investors seek independent advice and undertake their own due diligence prior to investing in any of the projects we introduce to them. Investment opportunities are not suitable for the general public or inexperienced investors. This is not retail crowdfunding and is not suitable for retail investors. Past performance does not guarantee future results.