Regency Capital explain London Property Bonds

With property bonds gaining in popularity we explain the benefits of considering property bonds focused on London.

Online PR News � 05-April-2018 – Many of our clients have asked the question why should they consider investing in a London Property Bond. We will seek to explain this with 3 reasons:

1)Significant potential for capital growth and capital preservation:

Of course since the Brexit vote many investors are nervous about the economy and what this could bring their way. Even though there seems to be some resilience in the markets with the FTSE 100 actually rallying and property prices holding up in the South East investors are certainly right to be cautious.

However with the large scale developments taking place particularly in the Cross Rail due to open in 2018 and a whole host of new luxury and middle market properties in construction phase, there is plenty of growth forecast in the capital. You only have to browse this new London development website to see that the house builders are continuing to on London: http://newlondondevelopment.com/.

Also prime London property has continued in recent years to be fairly recession proof. This coupled with the fact that if you had of invested in London 0 years ago you would have made up to 50% more return than anywhere else in the country.

2)Security and asset backed protection:

Property bonds are one of the most favoured methods of large private and institutional investors due to the safety and protection of receiving contractual returns. Whilst many turn-key alternative investments project high returns (student property, buy-to-let, storage etc.) most will rely on selling of the underlying asset. With property bonds your returns are assured contractually and must be paid. Of course you should only consider companies with experienced management teams with a good track record to ensure the developments run smoothly. Also you should always favour investing with a company that offers some form of asset backed protection, which could be in the form of a registered charge on the property or director guarantee.

3)Yearly guaranteed income:

Lets face it with interest rates so low you may as well keep your money under the mattress, but why do that when companies are offering investors such strong rates of returns for the start-up capital they sorely need to help get their projects off the ground. Some of our clients have asked why dont they just get funding from the bank?, in fact they do and they then combine this with their own funds and a loan from the bank enabling them to develop more properties. Often most property developers will say their biggest regret is not doing a bad deal but actually not building enough in a strong economy.

If strong companies with good track records are offering up to 10% to investors this is very attractive compared to the 1% you would get from a bank deposit account or an ISA. As long as you have good security and a rigid contract the yearly income is certainly a major benefit to investing in property bonds.

Hopefully you find this useful and if you would like any more information on current bonds in the market please email us for more information. There are property bonds offering up to 8% per annum and if you would like to be involved in this the process is very simple and one of our agents will be at hand to guide you through the process.