Property investment can be a labyrinth of numbers and opportunities, some evidently lucrative, others veiled in ambiguity. The recent bond proposition from the property firm LendInvest, with a hefty 11.5% interest per annum, surely falls into the latter category for many. To the casual observer, it might appear too tempting. The Daily Mail looked deeper, to shed more light on its viability.

Understanding LendInvest’s Approach

Before dissecting the offer, it’s vital to grasp who LendInvest is and what they represent in the property world. Boasting a robust 15-year track record, LendInvest employs sophisticated technology to expedite mortgages and loans. They might not be the cheapest on the block, but they resonate with professional property moguls who prioritize swift transactions, especially post-auction scenarios.

Historically, LendInvest’s bond issuances have hovered around interest rates of 5% to 6%. So, what’s different this time?

Why the Whopping 11.5% Interest?

The jump to 11.5% isn’t arbitrary. Such a rate mirrors what major investors currently seek from bonds. The fascinating part is that LendInvest’s offering doesn’t discriminate between colossal institutions and individual investors. Both parties receive the same tempting terms.

Key Details of the Offer

• Maturity Date: The bonds have a shelf life extending to 2026.
• Trading Venue: Prospective investors will find these bonds on the London Stock Exchange’s retail bond market.
• Interest Payout: LendInvest commits to disbursing interest semi-annually.
• Security: Every transaction is anchored against a selection of bridging loans. Notably, this is LendInvest’s forte, underscoring the company’s confidence in the offer.

Is It Worth the Risk?

Every investment, especially in the property domain, carries inherent risks. LendInvest’s bond, with its attractive interest rate, is no different. It might not be the best fit for the risk-averse. However, the potential returns are compelling, outpacing inflation and other standard saving rates.

Final Thoughts

For those with a penchant for venturing off the conventional path and willing to embrace a bit of risk for potentially higher returns, LendInvest’s bond presents a tantalising opportunity. As always, ensure you do thorough due diligence or consult with a financial advisor before making investment decisions.