Here’s some of the most common questions about HouseKey! You can also reach out to us if you have any questions and our team will take care of you!
What is HouseKey?
HouseKey is an innovative online crowdinvesting platform that enables investors to invest in existing investment properties and approved construction projects. The user-friendly portal offers properties at fair conditions that have undergone a comprehensive analysis. HouseKey's vision is to make access to the real estate market more transparent and to give both experienced and new investors the opportunity to invest in high-quality real estate projects.
Is the HouseKey platform secure?
Yes, HouseKey uses SSL encryption (256-bit SSL) to ensure security throughout the system.
What types of real estate projects are financed on HouseKey?
HouseKey finances a variety of real estate projects, including residential, commercial, construction and renovation projects.
Do I need to have special knowledge in real estate to invest on HouseKey?
No, special real estate knowledge is not mandatory. HouseKey provides detailed information about the projects to assist investors in their decisions.
What is Co-Ownership?
Co-ownership for real estate is a form of financing in which a group of investors invests jointly in real estate. Each investor is entered in the land register as a co-owner and participates in the net rental income of the property in proportion to his or her share. When the property is sold, any capital gain is distributed to the co-owners in proportion to their shares.
What are the advantages of crowdinvesting for real estate?
Acquiring real estate in co-ownership offers several advantages in contrast to traditional investment opportunities.
What would happen to my shares if HouseKey were to close?
As a co-owner you are registered in the land register and have a real right to the building. Therefore, there is no dependency on HouseKey, which is the manager of the co-ownership. Should HouseKey close down, this would have no effect on your shares.
How and when will I receive my return?
The return is generated from the rental income or the sale of the property. Payments are made monthly to the account named by the investor. An overview of all income and key figures can be seen in the investor's dashboard.
How does HouseKey select investment properties?
Our experts select investment properties carefully and based on a comprehensive analysis. In the selection process, HouseKey considers several criteria, including location analysis, property valuation and financial structure. Our daily goal is to provide our investors with attractive returns and to ensure a long-term investment horizon.
Who can invest on HouseKey?
To invest in Swiss real estate through HouseKey there are some points to consider. The following requirements must be met:
If you do not hold a Swiss passport or a C or B permit, you are not permitted under Lex Koller to acquire a co-ownership share for a Swiss residential property. Whether you are finally entitled to invest or not, however, is not solely up to HouseKey, but also up to the mortgage-issuing bank, the responsible notary and the responsible cantonal authorities. If you have any doubts, please do not hesitate to contact our experts.
What information do I need to disclose before I invest?
When you purchase a co-ownership interest through HouseKey, the mortgage-issuing bank will perform a Know-Your-Customer (KYC) legitimation check. As part of this verification, the following information, among others, may be requested from you:
The scope of the information depends in each case on the bank issuing the mortgage. Depending on the institution, it is possible that less or more information is requested.
Can I invest through my company?
In principle, investments are equally possible for both private and legal entities. However, not all mortgage lending banks are willing to accept legal entities into co-ownership in all cases - in such rare cases, you can only invest in a property as a private individual. If you are a company wishing to acquire co-ownership shares in a particular property, the company must be domiciled in Switzerland. For a preliminary clarification, please feel free to contact our experts.
What is the process of an investment?
If you want to become a co-owner of an investment property through HouseKey, you will go through the following steps in your investment process:
What documents do I need to provide to HouseKey for an investment?
If you wish to become a co-owner of an investment property through HouseKey, you will need to provide us with a number of documents. As a rule, the following documents are required:
The scope and nature of these documents depend on the mortgage lending bank, your nationality and your residence permit. When you order your investment documents, you will also receive a detailed checklist listing all the documents you need to send to HouseKey.
From when is my investment request binding?
Your investment application is binding for you as soon as you have signed and returned the subscription form to HouseKey. From that moment on, you have committed. Should it subsequently transpire that HouseKey has not succeeded in raising all the equity required to finance the property, the signed contract documents will lose their effectiveness. In this case you will be informed by us.
At what time do I have to transfer my investment amount?
The request for payment will only be made once we have received the contract documents from all co-owners in full and correctly and the financing has been successfully completed. This ensures that you never transfer own funds without having the certainty whether the corresponding financing can actually be successfully completed and the corresponding transfer of ownership actually takes place. You will receive the corresponding payment request directly from us by e-mail and can subsequently transfer your investment amount to the real estate account noted in this message within 10 days.
What happens after I pay in my investment amount?
As soon as all co-owners have paid the investment amount into the joint account, we will inform you by mail. Subsequently, HouseKey will take care of the transfer of ownership together with the law firm authorized by you and the other co-owners. As soon as this has been done, you will be informed by mail and the corresponding land register excerpts will be sent to you. Subsequently, you will be the registered co-owner of your property.
How long does it take from the deposit of my own funds to the transfer of ownership?
The period between the payment of the equity capital and the effective transfer of ownership depends in each case on the availability of the parties involved - namely the mortgage-granting bank, the authorized lawyers and the responsible notaries and land registry offices. Experience shows that it can take several weeks before the effective transfer of ownership can be completed and you receive your personal land register extract.
How often are the returns paid out?
payment is made monthly to the account you specify.
What expenses will I incur as a co-owner?
Your only obligation as a co-owner is to attend the co-owners' meeting. You can also be represented at this meeting by means of a power of attorney. HouseKey takes care of any other expenses related to the administration and management of the property. The purchase and ownership of real estate is taxed in Switzerland. Therefore you are liable to pay taxes as a co-owner in this context. However, HouseKey does not offer tax advice.
Can I sell my shares and how should I proceed?
Yes, as a co-owner you have the possibility to sell part or all of your shares. HouseKey will help you determine the appropriate selling price based on the current value. Whether you can sell your shares at a desired price, however, depends on whether a suitable buyer can be found for your purchase offer.
If you want to sell a share, you go through the following process:
However, additional costs are incurred in the course of the transfer of ownership - These are notary and land registry fees as well as transfer taxes. The amount of these costs depends on the canton in which the property is located. The extent to which the corresponding fees and costs are borne by the buyer or seller also depends on the property canton and, in case of doubt, is a matter of negotiation between the buyer and seller.
Who takes over the management of the financed property?
The property management is carried out by trustworthy and reliable partners. Our selected partners have extensive expertise and many years of experience in real estate management. This ensures the maintenance of the property, minimizes the risk of vacancy and ensures legal compliance.
What is crowdlending for real estate?
Crowdlending for real estate is a form of financing in which a group of investors provide money for real estate projects via an online platform. The investors lend their money to borrowers who want to undertake real estate development projects.
How does crowdlending for real estate work?
In crowdlending for real estate, investors provide money through a platform to finance real estate projects. The platform checks the creditworthiness of the borrowers and sets the terms of the loan. Investors can then put their money into these projects and usually receive regular interest payments as well as repayment of the principal at the end of the term.
What are the advantages of crowdlending for real estate?
crowdlending for real estate offers investors the opportunity to invest in the real estate market without having to provide large amounts of money. It also allows for portfolio diversification as investors can invest in different real estate projects. For borrowers, crowdlending offers an alternative financing option away from traditional banks.
How can I track the progress of the project?
the real estate developer provides quarterly reports (depending on the project) on the progress of the project with photos of the construction site. HouseKey summarizes this information and publishes it on the investor's online dashboard so they can view it at any time.
What title certifies my equity loan?
The equity loan is evidenced by a debt contract issued by the borrowing company, which is the owner of the construction project or building to be refinanced.
What documents do I need to complete a transaction?
Each investor who expresses interest in an offering will receive an investment package that includes:
And must complete, sign and return the following documents:
These documents are required by the mortgage bank and the notary.
Why should I sell my property through HouseKey?
Selling your property through HouseKey offers several advantages.
What kind of real estate can I sell through HouseKey?
Existing investment properties, approved construction projects or properties under construction can be sold on HouseKey. The following characteristics must be fulfilled:
How HouseKey differs from traditional real estate agents?
HouseKey offers various advantages over conventional brokers:
How is the selling price of my property determined?
HouseKey can perform an appraisal of your property or hire an independent appraiser to determine the value. Factors that can affect the sale price include the condition of the property, location, and current market trends.
What are the costs and fees associated with selling my property through a crowdfunding platform?
None. All costs and fees incurred will be borne by the purchaser.
What happens if my property does not sell?
HouseKey has achieved 100% financing of all listed properties to date. However, if it happens that your property is not financed in the specified time, it will be removed from the online platform and there will be no sale. There are no costs or fees for you.
How long does it take before I receive initial feedback?
After submitting the property through our portal, you will receive initial feedback within 1-2 business days.
What documents do I need to provide when submitting the property?
For a well-founded analysis, these documents in particular are necessary or helpful:
When will I receive a first binding purchase offer?
It takes approximately 7 days from the submission of your property until the first binding purchase offer. During this time we usually need further documents from you, if you have not already submitted them:
After analyzing your documents and the property, we will send you a binding purchase offer.
How long until ownership transfer after financing?
It is our concern to keep this period as short as possible. It depends mainly on the availability of the responsible notary as well as the seller and usually takes 4 - 6 weeks.
When will the full purchase price for my property be transferred to me?
You will receive the full purchase price of your property as soon as the transfer of ownership is completed. This takes place as soon as all investors have transferred their own funds.
Do I have to be there in person for the transfer of ownership?
No. You can also appoint a representative to participate in the transfer of ownership on your behalf by means of a power of attorney.
