Industry: Many property developers prefer to borrow money directly from investors rather than the banks – lower overall costs and complete control over the borrowing term being the main incentives to do so. This developer pre-sells very high-end properties to high net worth individuals and builds them using investor money. You can always visit the property that your investment is constructing and against which it is secured.
Proposition: This opportunity offers a very high return from a business that has consistently met its obligations to lenders. Your money is fully secured. The loan note provides finance to develop luxury residential housing which is pre-sold to buyers.
Minimum investment: £100,000
Term: 12 Months
Return: 15% per annum for investments up to £200k; 18% per annum for investments over £200k interest paid bi-annually
Wealth Strategy: Income
Investment Method: Property Backed Loan Note