FAQs
OurRentShare is a RealtyTech platform that lists the Preleased Commercial Real Estate Properties for the Investors to own them in Fractional Ownership basis.
Fractional ownership in real estate is a term used to describe when a number of investors join together to invest in a real estate asset so that all of them can benefit from a share of the income that the asset generates, and any appreciation in the value of the property.
Our investment team thoroughly researches various opportunities available in the market and shortlists only those properties that meet our stringent investment criteria, before any new properties /offerings is listed on the platform. The properties are examined by various metrics like location, developer, quality of development, scope of price appreciation, micro and macro market indicators, legality of title and earning potential. Once a property is listed on the Platform, the details of such property will appear on the dashboard which will include pricing, financial model and projected returns, location, layout, tenant overview and legal diligence reports that can help you in making an informed investment decision.
Any Indian citizen or an NRI and Institutions can invest with us.
We require copies of the following documentation.
- PAN Card
- Address Proof (Aadhar/Driver’s License/Passport).
- A cancelled cheque leaf with the name printed.
- 16 digit Demat account number.
The legal due diligence is conducted by a reputed legal firm giving us the title opinion to the farmland. We indemnify the legal problems if any. The copy of the link documents and the title opinion will be provided for every customer for further security and due diligence by themselves.
If for some reason a property on our platform doesn’t complete its funding target, any funds that have been committed by investors will be reimbursed to the registered bank account.
The minimum portfolio we offer per investor is Rs. 2 lakhs.
Investors can make returns in two ways:
- Rentals – The annual yield generated from rental income can range between 8-10%, which are typically distributed on a monthly basis to all investors
- Capital Appreciation – Any appreciation in the underlying property accrues to investors and is realized at the time of sale
- Annual management fee of 1.0%
- Performance fee of 20% at the time of sale after the investor has made 8% annual returns.
- One-time set-up / sourcing fee of up to 2% of purchase consideration which is generally shared with third property consultants.
Investments are structured as private limited companies. For each investment, a Specific Purpose Vehicle (SPV) is created in which funds are raised to own and manage the property. As an investor you will own shares of the SPV holding the property and represent your investment.
Rent received from the tenant is distributed by the SPV as interest on debentures is taxable directly in the hands of the investors as income.
Sale of securities would be subject to capital gain tax at applicable rate. The applicable tax rate would depend on the period for which securities were held by the investor.