who is eligible?
Anyone can join a Property Syndicate Investment deal providing they have the minimum subscription of $15,000 and
the schemes are open to individuals, groups of individuals (perhaps a group of friends who would prefer to be in the same syndicate), limited companies, partnerships, sole traders, and
Trusts, and land owners with property which has development potential.
Because the properties are bought for cash there is no need for a mortgage and no credit checks; this means that even if you have adverse data on your credit report, you are still eligible to join a Property Syndicate.
The scheme is open to overseas investors as well, because there is no bank lending. Most lenders will not lend to non-doms (persons not domiciled in
Australia) unless they have proof of income into a Australian bank account. Because we buy properties for cash (with no mortgages), this obstruction does not apply.
Cash Poor Land Owners with Development Land
Land Owners who cannot afford to finance there own potentially viable
Sub Division of land can become members of a Property Syndication deal
without having to contribute any finance.
risk & Security
All Property Syndicate investments are lodged in a secure Trust
account, meaning we cannot access it for any reason other than to buy
and Develop / Renovate the agreed property. Should the deal stumble for
any reason, the investor is assured that another deal can be found
without risk of the cash moving.
All property deals are backed by Independent licensed Property Valuers
confirming their market value.
We also provide where possible confirming the end value of the property
using Licensed Property Valuers.
This independent process provides safety guards that the syndicate is
achieving the anticipated discount in real terms. It is also possible to
run your own checks on website such as
www.residex.com.au or
www.rpdata.net.au that provide
impartial online estimates. It is possible that the deal comes back
undervalued, in which case we would contest the valuation using
comparables and the prior valuations. It is very rare that a deal will
reduce dramatically in value, although it can happen.
We do not how ever guarantee the rent, so if the property sits empty
then the syndicate will not achieve the anticipated return. However, the
Property Syndicate Investment structure is based around cash purchases,
hence there are no mortgage repayments.
The strategy is built around high quality Developments & Properties in
good locations, which means each property is well positioned to
naturally achieve a very high occupancy rate, and/or a fair rate or
Capital Profit .
The Property Syndication Investment is designed to minimize an
investor’s risk, to a higher extent than other common forms of
investment. Each investor contributes a minimum , but can contribute
anything up to the entire costs of purchase and Development
/renovations.
The investment is held with solicitors in a dedicated Trust account.
Although the investment is non refundable, this Trust aspect combined
with the cash nature of the deal means that the money is more secure and
the timescale well defined.
Each syndicate is specific to a particular property.
The deal criteria is agreed at the outset of the deal.
The timescales are well defined where possible and the criteria used is
highly prescriptive. This ensures that investors are aware of the deal
they are buying into, which in turn ensures that each syndicate matches
expectations.
We pride ourselves on our values and principles, and believe that
honesty and integrity are the key to our business success.
Security first - The key points:-
# Investors' security is paramount.
# Added security through trustees account.
# Monies held independently prior to purchase.
# Purchase funds released only to order.
# Development/Renovations monies released only to order.
# Properties are owned by the investors.
# Exit strategies at each cycle end (on buy to sell).
# No mortgage repayments - no repossession risks Risk.
# Analysis Identified as low-risk property investment.
# No lender to threaten repossession or withdraw lending.
# No rent-to-mortgage cover criteria to meet No credit checks - open to
all
# No Means testing.
# Investors names on deeds.
# Extraordinary growth potential.
# Maximum investment.
# Various Strategies to choose from.
# Operated by Experts.
# Recyclable operation.
# low Risk - Fair Yield
# Clear English contacts that everybody can understand.