P97, Vilnius

Available for funding:  €0
€37 000
€37 000 goal
25 investors

The annual return indicates the fixed-interest rate, or what investors shall earn in percentages. Percentage may depend on amount of the investment. To see specific returns please enter investment amount above.

Annual return rate::
7.3%

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Capital Gains Split:
45% – 55%

InRento is introducing the new buy to let investment opportunity located in the capital of Lithuania, Vilnius.  The investment case consists of a studio apartment located: at Pramonės str. 97, Vilnius (referred to as P97, Vilnius).

InRento has already financed properties in this building in the project named - Studio Apartments. The project owner wants to consolidate his position in the building.

Currently, the property is rented out and are generating a 250 EUR per month of rental income, which results in an 8.11% gross rental yield.

The net rental yield is 225 EUR that is distributed to the investors, or in a percentage value equal to 7.3% per annum net with the given situation of the tenancy. 

Reasons to invest in P97, Vilnius

  • Attractive rental yield;
  • Modern and cozy premises; 
  • The premises were renovated in 2019;
  • Independent valuer valued the premises at € 43,600;

Capital growth change:

According to en.aruodas.lt statistics, the prices of these types of properties in this district of Vilnius increased +12,18% in the recent year, while in the last five years the change was +23,65%.

Tenant:

The tenant is a natural person and paying 250 EUR per month for rent and the outstanding rental contract is valid until 2022-05-23. 

Financial terms of the investment:

  • Maximum term: 84 months (7 years)
  • Rental income share: 90% investors / 10% borrower
  • Fixed-interest rate: 2%
  • Increased interest rate: 5%
  • Security: 1st charge Mortgage

InRento investors are granting a loan to the borrower for the acquisition of the rental property. The loan is secured with a first-charge mortgage which in case of the borrower’s inability to fulfil financial obligations would be used to repossess the asset. 

The revenue-share between the borrower and the investors is set at 90/10, meaning that the borrower is obliged to distribute 90% of the income to the investors. Current absolute income is 250 EUR per month, which results in 225 EUR  distribution to the investors, or in a percentage value equal to 7.3% per annum with the given situation of the tenancy.

The capital growth distribution: 

  • Investors: 45% 
  • Borrower: 45% 
  • InRento: 10%

When investing: 

15,000 - 29,999 EUR - the capital growth will be distributed in the following structure: 50% investor / 45% borrower / 5% InRento.

30,000 EUR and more - the capital growth will be distributed in the following structure: 55% investor / 45% borrower.

Rental income (interest):  

This project has a 30 day funding period. The interest is being calculated from the moment the investor places the investment.

The project owner (borrower):

The borrower - UAB ‘’Real Assets’’, is a legal entity established  to serve as a special purpose vehicle for a purpose of increased security for the investments on InRento. The manager of this company - Justas Kaveckas has been working in the Real Estate industry for the last 15 years. He has successfully commercialised residential, commercial and hospitality projects internationally and counts numerous successful sales of companies operating in the real estate industry.

When is it possible to "exit the project"?

When the project is fully funded you will be able to sell your investment on the secondary market. The fee for the secondary market transactions is 2% of the principal value, which is charged to the seller.

What happens if the tenants leave the property?

In a scenario of the tenant cancelling the tenancy, the borrower is liable to pay a 2% annual interest rate for the first month of vacancy. If the borrower does not rent out the assets within 3 months, the fixed-interest rate would be increased to 5% per annum.

What will happen when the property is sold?

When the property is sold at a higher price than it was acquired, the capital growth will be distributed in the following structure: 45% investors / 45% borrower / 10% InRento. The project owner assumes potential loss if the property is sold at a lower price.  

Key investment risks:

Risk of falling prices: The price of the property might fall due to the increase in supply or decrease in demand in the area or other economic factors.

Liquidity risk: The borrower might be unable to find a buyer in order to sell the property.

Tenant risk: Although the assets are currently fully rented out, there is a risk that the asset can lose a tenant and it can take time to find replacements.

Investing with InRento, is similar to owning a rental property, however with us you don't have to worry about day-to-day property management and in the periods of vacancies, the borrower is required to distribute fixed-interest payments, which protects your bottom line.

The capital gains distribution:

40% - 60%
Investors
40%
Project owner
Up to 20%
InRento

If the Loan is repaid after one year, a fixed return of 1.75% is applied.
If the Loan is repaid after 24 months, a fixed return of 3.5% is applied.
The profit margin is payable whether or not the Loan is repaid from the sale of the property.

These numbers reflect the data about investments of InRento and companies InRento acquired and merged with.

Discover all statistics

84 months
maximum loan term

These numbers reflect the data about investments of InRento and companies InRento acquired and merged with.

Discover all statistics

1st charge
Mortgage
Security

These numbers reflect the data about investments of InRento and companies InRento acquired and merged with.

Discover all statistics

7.3 %
+ %
annual return
Investment bonus:
Financial terms of the investment

InRento Risk Scoring

CriterionScore
Borrower's equity exceeds the amount of financing needed
1 / B
Borrower's last year's net profit is sufficient to cover the fixed-interest
1 / B
Borrower's Debt / Equity ratio
2 / C
Borrower's ability to repay liabilities in the past
0 / A
Property price comparison to a 3rd party valuation
0 / A
Property type
0 / A
Is there a tenant already
0 / A
Borrower's experience with rental properties
0 / A
Property occupany over the last 2 years (if it was rented)
2 / C
Will the property require renovation
0 / A
Micro-location
1 / B
Years since last renovation of the premises
0 / A
Does the property have elevator if it's not ground floor?
1 / B
Does the property have dedicated parking slot near premises? (long-term rent)
0 / A
Does the property have security? (for commercial)
0 / A
Property has been for sale for less than 1 year?
0 / A
Property has all applicable certificates/zoning rights with at least 2 years before expiry date
0 / A
Total:
8 / B
Investment rating
A – Lowest risk
D – Higest risk
B

InRento Risk rating is of an informative nature only and can not be considered investment advice.

InRento is licenced and regulated by the Bank of Lithuania.

Property in the map

The project owner (borrower) Project owner

Real assets, UAB

2022-05-02

We would like to inform you that the interest payment for this project was successfully received last week to the escrow account.

We have recently changed our hosting provider and currently are testing some of the payment and withdrawal systems. This is critically important not to make any mistakes, and we want to be absolutely sure that this works properly without any issues. We expect to distribute the interest for March in the middle of this week.

We apologise for the inconvenience.

If you have any questions, do not hesitate to contact us at info@inrento.com or call us at +37069347427

InRento team

2021-09-14

We would like to inform you, that the mortgage on the P97, Vilnius assets has been successfully placed (document is attached in the documents section). 

If you have any questions, do not hesitate to contact us at info@inrento.com or call us at +37069347427

InRento team