Build-to-Rent (BTR) homes are residential properties that are purpose-built for rental occupancy rather than individual ownership. For residents, Build-to-Rent homes address the current rental market needs for affordable.
If you’re considering Build-to-Rent homes as either an investor, it’s crucial to understand exactly what they are, the different types, and the pros and cons of it.
A. FEATURES
As the name suggests, Build-to-Rent homes are residential properties that are purpose-built for rental occupancy rather than for individual ownership. Unlike traditional real estate models where developers construct homes for sale, in the BTR model, we create homes or even entire communities of homes for Land Owners, with the intention of renting out every unit to tenants looking to rent long-term.
More often than not, this results in a professionally managed, cohesive living environment designed to meet the needs and preferences of modern tenants.
- Rental Income is the primary source for repayment
B. TYPES OF BUILD-TO-RENT HOMES
Build-to-rent homes come in various architectural styles, it gives tenants the flexibility to choose from a home that best suits their needs. BTR homes can mimic the traditional suburban family home or feature a diverse range of building designs, which include:
These refer to tightly clustered, professionally managed, freestanding single-family residences, often numbering in the hundreds.
- Single Family Homes: Single-room self-contained, 2-4 bedroom apartment or houses (detached or semi-detached), etc.
- Apartment Complexes
C. BENEFITS
Better Returns
- Better returns than buying bare land and waiting for appreciation. With a rental property, you get both capital appreciation of the property and rental income.
- Offers a suitable pension investment than any Government of Ghana instrument where you don't have absolute control over your investments
Rental Income (Cashflow)
Passive Income
Tax Benefits
Property Appreciation
Portfolio Diversification
Diversification
Control of Asset (Direct Control)
General Real Estate Benefits
- Owning brick and mortar asset offers several benefits that comes with Real Estate as against other investments instruments.
D. REPAYMENT PLANS
If the current verifiable net regular personal or some other commercial monthly income of the project owner is enough to pay us back after completion, there will be no need for providing us with a Feasibility Study (Rental Income Coverage).
E. REQUIREMENTS
You must have your own litigation-free land, registered in your own name or a business you're a shareholder or owner of.
- Proof of permanent employment is not required if you have credible rental values commensurate with post-construction monthly repayment costs.
F. HOW TO APPLY
Apply online here.
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