Anyone can earn 10% with houses this way

When you think of real estate investing, your mind goes to buying a house to rent or resell. But you can also invest from small amounts and earn with bricks without actually buying the property.

Bricks are one of the Italians’ greatest loves. Just count the numerous television broadcasts in homes. There are channels that dedicate an entire schedule to selling or renovating residential properties.
Over 80% of families in our country own at least one apartment. For many, bricks are a form of investment. Many people buy a second home to rent it or to resell it at a higher price, perhaps after a renovation.

But in Italy it is not always practical to rent an apartment for many reasons. It is also not that easy to be able to make money by buying an apartment and then selling it on. Those looking to invest in the world of real estate have a much simpler solution that is affordable to all budgets, real estate crowdfunding.

Anyone can earn 10% with houses this way

Crowdfunding means the possibility of financing a project with capital offered by individuals without the mediation of any banking channel. Real estate crowdfunding is a tool for raising private financing for real estate projects. To finance a real estate project, a developer can turn to the private market and ask for a cash loan from a wide variety of people. In return, it will return the loaned capital plus a premium.

Property crowdfunding is divided into two branches, lending and equity. In the first case, private individuals lend money to the project and in return obtain an interest rate in addition to the return on the invested capital. In the second case, private individuals buy shares in the company. So in lending the investors are lenders of capital, in equity they are shareholders in the project.

But how does real estate crowdfunding actually work and how can you participate in a project and lend money? Specific platforms on the web connect the creator of the project in search of capital and those who are willing to lend money. There are dozens of crowdfunding platforms on the Internet, each offering more than one project. Each of these has a business plan with the total amount of capital required and the minimum investment. In addition, the project also specifies when the money and interest must be returned. So everyone can earn 10% by choosing the project well.

How to choose the best platform and the most suitable project

The smartest choices should fall on the most popular platforms, although they will probably be the ones with slightly lower returns. For the selection of the project, the investor can choose according to his needs. Someone will focus on a higher return and therefore probably on a longer investment horizon. Others may prefer a shorter investment period at a lower interest rate.

Crowdfunding has many advantages. Those who invest through this tool have the opportunity to participate in real estate projects that can provide an annual return of up to 10%. In addition, the minimum investment on some platforms starts from just 50 euros. Anyone can earn 10% with this investment system, but it is necessary to keep in mind the possibility of not getting back the invested capital. Although in reality it is very distant.

The options for those who want to invest in the house in a traditional way

Through crowdfunding, you of course never get hold of the property and share the return with all the participants. On the other hand, those who want to invest in a traditional way, there is no shortage of opportunities in Italy. For example, you can buy a house by the sea for 80,000 euros and renovate it with little use of the various bonuses. Then of course you sell it on at a higher price.
Also in this case, the Internet can help us find the best opportunities thanks to the various platforms dedicated to the purchase and sale of real estate. The best opportunities are naturally found in little-known places, but which often have nothing to envy in beauty to the more famous ones.

Deepening

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