Investor Max.
Interesting having a look on your site to see what you offer. I am not sure of all the basics in your offering, so correct me when I go wrong!
Deposit for off-plan property is covered by a loan. Person investing does not pay any interest on the loan. Your company pay that. On completion, the amount borrowed will be outstanding.
Idea is to sell on your purchase agreement to another investor prior to completion. In such an event, the other investor will pay the outstanding loan and balance at completion. They will also pay you the appreciation (difference between price you bought in at and price you sell at.) When does the second investor pay the first? Is it when taking over purchase agreement or at completion?
I appreciate your remuneration comes from sale price and is paid by developer. It more than covers the legal expenses, interest on loan, etc. I am assuming that will be paid when 30% loan is taken in order that it can cover interest on loan etc.
Your site refers to it not being the norm to be able to sell prior to completion. There may be places this applies for, but there are plenty where it does not. It is the norm to be able to flip prior to completion in the countries I have considered. As with these other countries, you run the risk of not being able to sell on purchase agreement at a profit.
Your offering really isn’t too different to normal off-plan purchasing, it’s just that expenses are back-loaded for the investor. (I can this will appeal to many.)
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