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13.10.2022

Q3 Investors' Update

Gustas Germanavičius
ceo / Founder
Q3 Investors' Update
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Dear InRento investors,

With summer already behind our backs, I would like to present to you a Q3 update. During the last quarter, more projects were repaid, a new platform interface was introduced, and new projects were introduced on our platform.

New platform interface

As you may have already noticed, we have recently introduced a new platform interface with plenty of new features. It’s important to note that we are still continuing to perform improvements, and we’re planning to continue improving our platform significantly during the remaining months of this year. Bearing this in mind, features such as the “Premium investor” type and earnings projections will come out in the near future.


 

Properties portfolio

Last few months, two projects were partially repaid: S47, Kaunas and V3, Palanga (both stages). Investors continue to earn solid, double-digit returns from capital gains as property value has appreciated greatly due to rising inflation during the last year.



We are already expecting in the upcoming quarter even more properties to be sold, and investors will continue to earn capital gains.

When I founded this company in 2020, my goal has always been to enable investors to invest in rental properties with relatively small amounts and earn income from rent and capital gains. Buy-to-let is a really old business, yet until recently, it has remained highly inaccessible, and a lot of deals are reserved only for institutional investors. Moving forward, my goal is to deliver to the platform institutional-investor grade investment opportunities and, most importantly, continue enabling investors to earn capital gains.

To give investors a possibility to diversify, we are also offering investments with fixed capital gains, and I would like to draw attention to a project that was recently repaid.

This investment proposal initially had one of the lowest annual returns ever offered on our platform: 6.07-6.57% + 1.75%. However, because it was repaid significantly earlier than its minimum term, the project owner was obliged to pay interest for the investors for a full year. This way, investors have earned significantly higher returns than initially expected.

What can we learn here?

1) Inflation right now is high. Extremely high. Now not investing is more expensive than ever. In S47, Kaunas project case, the project has earned investors on average a 20.19% annual return, yet this year we are expecting a similar number on the inflation figures.

2) Diversification is the only free lunch. The best thing an investor can do is to diversify their investments because sometimes even investment opportunities with lower returns can outperform those with bigger potential.

3) Discipline is everything. One should have an investment strategy one shall remain with and continue to invest and diversify. One aspect of diversification that is often overlooked is diversification over time. If you diversify over time, you will be able to reduce your risk exposure a lot, especially investing long term as the economy, as we’ve learnt, has a tendency to vary in shor-term.

As we are heading into Q3, payments by project owners are being performed on time, and we are still recording 0 late projects status in our portfolio. More information about statistics can be found here.

Q2 in numbers

• Number of listed investment opportunities: 7;

• Number of property units: 20 (5 new, 15 from later stages of financing);


• The average investment return of all projects to date: 7.13%;

• The average annual return of fully completed projects to date: 19.49%;

Equity crowdfunding campaign

We’ve previously mentioned that an equity crowdfunding campaign was being planned. However, we have decided to cancel this plan as we’ve received significant interest from private investors and VC funds and therefore, we decided not to launch the campaign right now as we are finalizing our investment round that will enable us to deliver more investment opportunities from abroad.

Recent content on investing:

• Now isn’t the time to save: how to protect yourself against inflation

• Investors earn 20.19% annually! Apartment of S47, Kaunas sold

• InRento has been recognized as the best Investment Tech of the Year in Europe

Very soon, we are planning to introduce new buy-to-let projects for investing, and investors will be also offered a chance to earn capital gains. We’ll keep you updated!

Best regards,
Gustas Germanavičius 
CEO and Founder of InRento

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