For the real estate investorsthe vacation property sector is already an easy segment to access to invest due to the different available formats that range from being hosts of a single home to being part of hotel projects.
This was considered by David Agmon, general director of the Monific platform, which is in charge of providing financing for vacation properties, through funding through digital platforms.
Therefore, according to Agmon, both investors and owners of tourist real estate can point to new financing models to achieve common goals through forming communities.
“It’s like this magic of the collaborative economy, it’s what happened with Uber, not only did you have your car and you gave service to 20 people, the driver benefits, the owner of the car benefits and the users too, so you create a circuit”, explained David Agmon.
“You don’t make the rich richer,” he emphasized.
An available source of resources
For the specialist, allocating resources to a property for remodeling and adaptations is not an expense, but an investment that will allow a greater profit in the medium and long term.
And although banks are an available option through mortgage financing, the market already has other alternatives for obtaining resources.
“What we do is give capital to remodel a property, because a visually attractive property is rented four times more expensive, even more and it is rented 14 times faster,” he explained.
enlarge a property or looking for resources to build extensions is an alternative that can also be financed through digital funders, such as collective funding platforms.
“We look for business alliances, it is not a traditional loan. We have a community of 25,000 people, we are going to promote the property, we are going to stay there, we are going to send our friends,” said the Monific director.
Just check the property of the property to be financed, free of liens and located in common tourist areas.
Fintech, a safe path
Nowadays, raising capital or receiving resources from investors is a relatively new process for companies, but it has allowed people to invest directly in high-impact financial projects.
“The banks were the only ones authorized to raise resources from the general public, they were the only ones authorized to promote investment in a structured way,” said the founder of the fintech monify
“With technology comes everything that is the world fintechwhich is finance and technology together for disruptive models”, he highlighted.
From the law to Regulate Financial Technology Institutions, published in 2018, the conditions under which these companies, and this type of investment, must operate were established, so with this the regulation for the protection of the public in general.
Monific is a digital platform that allows people to invest directly in tourist properties such as hotels or houses, it has seven hotel properties funded through the fintech and with nearly 25,000 investors. This firm works while it is waiting to receive its final guarantee to operate under the protection of the law fintech.
“Before, to enter that business you needed two, three, four or five million pesos, today you can with 1,000 pesos,” explained David Agmon.
They do not operate, they do not manage properties, they only manage investments, but by law, individuals can receive financing of up to 700,000 pesos and legal entities up to 52 million pesos.