The power of people ‘banding together’ to achieve great things is well known. In the same manner, Property Collect act as the ‘central conduit’ for property investors to collectively invest in residential investment property to achieve key benefits such as:
- BuyPower™
- BuildPower™
- Management Power
- Knowledge Power
- Implementation Power and
- SelectPower™
| Property Collect Seven Key Mantras | |
|---|---|
| 1 | To source property for investors at wholesale and cost price using BuyPower™ and BuildPower™ |
| 2 | To make residential investment property affordable for all Australians from as low as $2,000 |
| 3 | To help all Australians realise this residential investment property dream - from 1.9 million investors to 3 million investors in 5 years as a target |
| 4 | To provide a direct alternative to outright ownership of residential investment property that is safe, secure and affordable |
| 5 | To create a simple way for self-managed super funds (SMSF) to invest in residential property |
| 6 | To harness 'people power/investor power' for the collective benefit with BuyPower™ and the unique BuildPower™ |
| 7 | To provide investors with 'SelectPower™'. Investors can choose the type of product and location in which they are investing |
| Property Collect 12 Key Benefits | |
|---|---|
| 1 | Invest at 'wholesale or cost price' to optimize rental returns and capital growth |
| 2 | Investors have the security of direct bricks and mortar ownership |
| 3 | Receive rent and capital growth as if outright ownership |
| 4 | Benefit from collective ‘BuyPower™’ and ‘BuildPower™’ |
| 5 | Peace of mind as there is no personal debt |
| 6 | Investors have clear knowledge of the property into which they are investing |
| 7 | Access to early exit structure |
| 8 | Mitigation of risk by investment across a number of properties |
| 9 | Minimal capital investment required compared to outright ownership |
| 10 | Benefit from a clear rental and sales program to reduce risk |
| 11 | Take advantage of professional management of rent, sales and daily operations |
| 12 | Regulatory compliant structure – suitable investment for individuals, companies, trusts and SMSF |
| Property Collect 8 Key Features | ||
|---|---|---|
| 1 | IT'S SIMPLE IN CONCEPT | Investors pool their funds in a trust to purchase a diverse portfolio of residential investment property. |
| 2 | IT HAS TRANSPARENT ASSETS | The property in the trust is clearly identified. Investors know exactly what the trust properties comprise. |
| 3 | IT'S SMART IN THINKING | Collective Buy Power® and Build Power® aims to provide a lower entry net cost. |
| 4 | IT’S SOUND AS AN ASSET | Bricks and mortar have been regarded as one of the more stable investment classes in Australia. The Property Collect structure is regulatory compliant. |
| 5 | IT REDUCES DEBT LIABILITY | Invest with no personal debt or liability as the trust in the borrowing entity. |
| 6 | IT REDUCES RISK BY DIVERSITY | Spread the rental and sales risk across multiple properties. |
| 7 | IT'S AFFORDABLE IN COMPARISON | Invest from $2,000. |
| 8 | IT'S FLEXIBLE IN STRUCTURE | A number of properties allows flexibility in future sales. |
INVESTMENT STRUCTURE OVERVIEW
Critical to investors is both the security of the investment product (residential investment property) and the security of the investment structure. It is vital to understand that “investor decision” is based on investment into clearly identified residential investment property. This could be selected apartments or houses for instance, or a particular development. This structure allows individual investors to undertake their own research on factors such as location, price points and rental growth factors for example, as well as review the Property Collect research.
INVESTMENT PROCESS
- Property Collect select and research a number of specific apartments or houses for instance, or a particular development.
- Property Collect produce a Product Disclosure Statement (PDS) for review by investors. The PDS will detail all aspects of the investment
- Investors apply through the PDS and their money is pooled with the PDS being authorized by an ASIC compliant ‘Responsible Entity’ (RE).
- The PDS will outline all details of the ‘Investment Trust’ which also has an independent ASIC compliant Custodian..
- When the PDS has reached required subscriptions, the PDS moneys, along with bank finance, will purchase the properties or undertake the development.