Philippine property, can we make Crowd Funding work?

Growth in Crowd Funded property investment

Crowd buy to let

The has been a big growth in Crowd Funding buy to let properties in the UK.  These businesses are growing as people look to spread their investments and for those over 55 years the opportunity of making best use of pension pots and the 25% tax free lump sum.  It’s not difficult to see why such businesses might grow but there are risks:

• Property prices in the UK are much more turbulent over the medium term
• Rental income is hard to guarantee over the medium to long term
• Tenants can be a nightmare if you get a bad one!!
• Property maintenance costs can be substantial

Crowd route to Condotel ownership

Consider this against the shared ownership of a condotel suite (Condotels are hotels where the rooms are owned by investors.)

• Guaranteed income based on the % occupancy of the entire hotel
• As hotel rates increase so does the income received
• No maintenance costs
• Suite grows in value as the value of the hotel increases
• No tenants to worry about!!
• Return on investment of over 200% over 15 years on a 70% occupancy average

Now some people do not wish invest large sums in property but as we have seen in the UK, they are willing to invest smaller amounts.  Mangga Properties collective are looking at the possibility of shared ownership of condotels.

Would this appeal to Mangga readers ??

Let us know what you think !!