Rendity is an Austrian-based real estate investment company, which primarily deals with European real estate developers. The platform was founded in 2014. Rendity fulfills strict information requirements under the Small Investor Protection Act or rather an Alternative Financing Act ("AltFG") and is an authorized financial advisor. Currently, Rendit has supported more than a thousand registered investors and nearly 2,000,000 loans in the real estate sector have already been financed by Rendity. To get a better understanding of Rendity analysis, please note that Rendity doesn't deal with P2P platforms and is focused on having exposure to the Germanic real estate investment market.
Based on the real estate crowdfunding investment market the interest rates are not that high. Their average annual returns are supposedly up to 7 percent and are dependent on the investment style you are going to take.
Types of Investments offered on Rendity
Rendity Growth: This option is for investors with a shorter time frame looking for higher interests, but it carries a higher risk. Rendity growth is specialized in granting loans for development projects to real estate developers. The model has higher profitability and risk compared to the Rendity Income model. In this model the interests are allocated annually.
Rendity Income: This form of investment is more stable and has a lower risk compared to Rendity Growth. It specializes in investing in rent-paying loans. The terms of investment are longer than the duration of the development projects - they can last up to 7 years. The interests are spread out quarterly.
Rendity BuyBack Guarantee
Sadly, the buy-return guarantee does not come offered at this investment site.
Rendity does not have an Auto-Invest Tools, but this is not a concern as the amount of activities is still small and few projects are to be handled. For this purpose investors will compile their own portfolio without any problems from different real estate ventures.
Sadly, on its website, the company does not have a secondary market where investors may control their investments. At the same time, however, Rendity offers an opportunity for investors to resell their loans on rental properties when 24 months go by.
Benefits and Drawbacks
- Deposit of global real estate investments
- Wide and quite safe real estate project list
- Investment earnings start from investments on day one
- New and attractive website which is simple for everyday operations and usability
- All user transactions such as deposit, investment and withdrawal are free and no service fee is paid to the platform
- The platform has a minimum of EUR 1000 investment per project, which means investors need high capital to diversify on the platform
- The returns are below the industry average at 6 percent-7 percent
- No guarantee on buyback
- Absence of secondary market
- No option to auto-invest
How Rendity works and who is able to invest?
Renditure is open to anyone who is 18 years of age or older and who has a European bank account - people like that are eligible to invest on the platform. Companies may also invest if they have a bank account within the EU. You can deposit and withdraw your funds via bank transfer once you complete the registration.
How do you start investing? (Opening an Account)
As always, the first step is to open an investment account on the website. Rendity renders operation as simple as possible. You need to provide your email address, phone number, physical address and identification documents (ID card, passport) to open an account. The second step will be to confirm your email address after making the first step (registration form), the verification email will be sent immediately after completing all of your details. The third stage allows you to upload your documentation regarding your identity. Notice that you can skip this move for now but you have to do it in one day in order to make an investment on Rendity. Your account is ready after all these moves have been completed. You now just have to put money via bank transfer or your credit card into your account. Banks typically need from 1 to 3 days to move the funds (depends on the bank and country).
Placing the First Investment
After confirming your account, you will have immediate access to all of the projects open to funding. In addition, once you complete the verification and open your investor wallet, the platform will show the current projects, the projects coming soon and the productive past projects. For example, to show how the platform is pretty easy to use to make your first investment - you only need to click on the "Investments" button at the top of the page and you'll see all the projects that are currently available. Note that the minimum sum to be an investment is equivalent to 1000 Euros and the investor has to manage his investments manually, as the platform does not offer an auto-invest feature.
Should you invest?
Rendity is a great investment depot in Europe for experienced investors looking to diversify and invest in the real estate markets in Austria and Germany. But we always suggest our visitors to check out the other options on our website before making their investment as they may find some alternative platform that will satisfy their investment needs.
Rendity main features and highlights
- Commercial Real Estate
- Residential Real Estate