Rental certificate
Discover the rental certificate offered via BeeBonds, a solution that allows investors to benefit from net rental yields without the constraints of property management. By financing property projects that are already let, investors can receive a share of the rents collected while limiting the development risks associated with real estate.
For homeowners, this tool offers a refinancing solution while retaining ownership of their property, particularly for energy renovation work.With gross annual returns of between 6 % and 9 %, and a minimum stake of 100 euros, this participative investment product combines simplicity, accessibility and profitability.
Table of contents
What is a rental certificate?
A rental certificate is a bond-like debt security (where applicable, subordinated to bank debt) issued in this case as part of a public placement offer within the meaning of Regulation (EU) 2020/1503 of the Parliament and of the Council of 7 October 2020 on European providers of participatory financing services for entrepreneurs, which allows investors to receive interest calculated on the basis of rental income.
How does a rental certificate work?
Here's how the BeeBonds rental certificate works in practice:
- The rental certificate is offered for properties with a regular yield.
- BeeBonds' experts carry out an analysis of the quality of the property and the tenant.
- A loan of between 5 and 15 years is set up (7 years maximum for projects with capital insured by Atradius).
- The owner devotes a proportional part of the income it receives to paying interest to investors.
- 6 months' interest is sequestered at the start of the project for 3 years to secure the loan.
What are the advantages for investors?
- Return : Investors receive a recurring and growing return, aligned with inflation indexation.
- Security : The rental certificate offers an alternative that is less exposed to certain risks common in property, linked to construction and sale.
What are the benefits for homeowners?
- Refinancing : Owners can refinance their property without having to sell it.
- Flexibility : They pay interest over the term of the loan and repay the capital at the end of the period (bullet loan)..
- Renovation work : Opportunity to finance renovation work, including energy efficiency projects.
What are the risks associated with rental certificates?
Like any investment, rental certificates carry risks, including that of total or partial loss of the capital invested. Before committing, each investor is encouraged to carefully analyse these risks in order to make an informed decision.
BeeBonds recommends that you diversify your investment portfolio and only invest sums that will not be needed in the short term.
Are rental certificates guaranteed?
Some rental certificates can be insured by Atradius, which guarantees repayment of the capital in the event of default.
What types of property are eligible for rental certificates?
Only properties with tenants and regular rental income are eligible for rental certificates. BeeBonds ensures the quality of the lease and tenant before offering the project to investors.
How are investors repaid?
Investors receive interest over the term of the loan, and at the end of the period the capital invested is repaid in a single lump sum, under the "bullet loan" model.
How can I take part in a rental certificate campaign?
Rental certificate campaigns are offered on the BeeBonds platform. Investors can subscribe for as little as €100 and follow the progress of the project through quarterly reports.
Warning:
The Bonds offered are debt instruments. Making a loan to an SME exposes you to the risk of losing all or part of your investment. For individuals resident in Belgium for tax purposes, the interest received is subject to a withholding tax of 30%. Before investing, please read the information note relating to the project.
