Sunday Business Post (30th-05-2021)- RentFlow offers a new alternative to direct property investment
RentFlow 5 for 5 allows investors to earn a 5 per cent fixed return every year for five years, which is paid monthly Despite the risks involved, investors have long had an interest in property as a means of gen-erating a return. But they may not know about RentFlow 5 for 5 – an option which is ideal for investors who are looking to generate regular income without incurring too much risk.
“Our product, RentFlow 5 for 5 allows inves-tors to earn income of 5 per cent fixed p.a. for five years, paid monthly. That is a 25 per cent fixed return over the term of the investment plus their full investment funds back. It is aimed at investors who have been discouraged from investing in their own rental property because of the ancillary costs, time commitments and risks which that brings.”
According to Morgan, investors will receive the fixed return on a monthly basis by bank transfer on the same date every month for 60 months. Instead of using rental income to pay a mortgage bank, RentFlow uses its rent to pay monthly income to senior debt investors.
“A unique feature of the RentFlow Asset Backed Mortgage Loan Note is the level of security, borrower restrictions and independent oversight to protect investors’ interests,” he said. “This combined, tiered level of security provides investors with the comfort that RentFlow loans can only be used for the specific purpose they were originally provided.
“We give potential investors access to in-come returns from the Dublin rental market, without the huge time commitment and costs involved in directly purchasing and running a rental property. Qualified investors investing between €100,000 - €500,000 can invest via their pension or from cash.”
Based in Dublin, RentFlow’s founders have been successfully investing in the Private Rental Sector (PRS) for over 20 years and have established a distinguished track record in extensive real estate investment projects, both in Ireland and Germany. “High-quality, professionally managed rental homes are in short supply in Dublin. The first tranche of Rent-Flow acquisitions comprised of 38 affordable rental units in Phibsborough, a multi-family home in Drumcondra and a number of tenanted multi-family homes in popular areas on North Circular Road.”
As part of Capital City Investment Holding Ltd, we buy multi-family properties in Dublin city, then stabilise the rental income and hard asset, before re-financing the portfolio by issuing se-nior mortgage loan notes to qualified investors, starting from €100,000,” said Morgan. “although investors do not own the properties, they benefit from a first charge security over them.”
These asset backed mortgage loan notes mean investors effectively replace any other secured finance and they benefit from the same security. And, according to Morgan, investors have the comfort of knowing that their monthly income is being derived out of a stable rental income from multi-family units in a high-demand yet affordable location.
“This income class is well understood and there is no development required,” he said. “The properties have been upgraded and are high in demand with a very high occupancy rate, even throughout Covid. We have a professional property management company looking after our tenants and strive to ensure we provide the best quality and service to them.
Morgan says that RentFlow is dedicated to providing “cash and pension investors” in Ireland with a dependable monthly income. “With a minimum investment of €100,000, our 5 year secured (asset backed) loan notes are available to private, pension, corporate, ARFs, AMRFs, charities and trusts,” he said. “You benefit from monthly income secured by PRS investments in Dublin city centre. What is more, as an investor, you are first to be paid every month and are always secured with the first legal charge.
* The loan notes are secured, however in the event of default there is potential to lose all of your investment. The investment is therefore only suitable for experienced investors or in- vestors separately advised with respect to their financial planning and risk appetite. This is not a regulated investment and not covered by any statutory compensation scheme. Returns are not guaranteed. RentFlow does not give investment advice.
Contact us if you are an investor or financial adviser interested to learn more.
Phone: +353 01 961 9413 I Email:email@example.com
Residential Property Secured Finance DAC t/a RentFlow Registered office: 1 Sussex Street, Dún Laoghaire, Co Dublin.