This real estate platform says it has discovered a better way for investors to become landlords. The platform has already dubbed itself the 'PayPal for real estate'.
Dot sets up a company for investors, meaning they pay corporation tax rather than income tax on rental earnings – a large number of existing landlords have already incorporated, taking advantage of similar tax benefits.
“All Dot properties sit within their own pre-financed, tax efficient structure; the Dot Container. This allows us to provide the first ever point-of-sale mortgage (our Dot Instant Mortgage), saving a typical investor the usual two to three months of back and forth they’d encounter when trying to arrange traditional financing” explains Lucy Sharp, a Co-Founder of the Manchester based company.
“The result is the ability to purchase a Dot investment property instantly online with just a 30 per cent deposit. Notably, our Dot instant mortgage is available to investors globally, subject to them clearing anti-money laundering” she continues.
The Dot mortgages levy an interest rate of 4.99 per cent although the firm is reported to have said it expects many of its investors to remortgage with specialist providers at lower rates.
Dot subsequently manages each property through its lifecycle, using short-term Airbnb-style lets during voids in long-term renting, to optimise income.
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