Crowdfunding platform InRento is helping investors to earn more

It's no secret that investing in real estate requires substantial capital, whether buy-to-let or buy-to-sell. There is a solution to this problem, with crowdfunding platforms allowing investors to invest in real estate projects with a fraction of the required capital. The potential return on investment depends on the projects and risk you are ready to take.

A buy-to- let platform, InRento, was launched at the end of 2020. It has become the largest licensed crowdfunding platform in the EU, by the number of investors, providing an opportunity to invest in rental projects.

InRento s clients invest in existing properties and earn monthly interest and capital growth when the property is sold at a higher price. There is an income from capital growth that no other real estate investment platform has offered before InRento.

Some investors look at what they will receive from the rent but forget another part of the return capital growth. Gustas Germanavi ius, founder and CEO of InRento, says we offer our investors the opportunity to earn from both. If the property is sold cheaper than it was purchased, the project owner will have to bear the loss and pay the full amount to the investors. If the property is sold at a higher price, all parties will benefit - the profit is distributed proportionally to the investors, the project owner, and InRento. A modern office was sold in Vilnius, Lithuania recently. Rather than the projected 6.06% annual return, the investors earned more than 20% in ROI.

This buy-to- let project was funded in a few weeks last year. After the property owner sold it at a higher price, investors earned an additional 14.26% capital growth net, according to Deividas Urbanovi ius, InRento's Investment Manager.

Another rental project - an office in the Newtown of Vilnius - was completed shortly after. The annual ROI of the project has reached 17.48%!

The average annual return on rental income and capital growth from InRento's completed projects is 19.49% now!

Trust is the most important factor in the decisions of a person.

The specialists of the InRento platform carefully select the projects to be funded to ensure a more stable asset value and protect clients' investments. The platform's community is offered projects in central parts of cities and developing districts. The potential profitability is analyzed today and in future perspectives, and there is a real estate appraisal for each project.

When looking for projects and placing them on the platform for funding, we aim for the generated rental income to exceed the interest on the loan. The interest payable does not cause significant financial challenges for the project owner, and reduces the risk of insolvency. Before embarking on the project, we look at the possible price change and sales perspective, so we work only with professional project owners who sell the property when the best opportunity arises, says G. Germanavi ius.

According to InRento's management, mention of project exits prove that a well-thought out investment can yield a much higher than average return. There is no doubt that there will be more examples in the future when investors earn not only from rental interest but also from capital growth.