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Speaker 1: Now you've heard of shares these, but you probably haven't

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Speaker 1: heard of houses because this is just launched today. But

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Speaker 1: this is a new investment platform that allows you to

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Speaker 1: invest in the property market by buying a steak in

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Speaker 1: property for a very small amount, as little as one

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Speaker 1: hundred dollars. James Jordan is a House's co founder and

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Speaker 1: with us, Hello James, Hi, have it okay? If I

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Speaker 1: put my one hundred bucks into this? Am I buying

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Speaker 1: into a specific house or am I buying into a portfolio?

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Speaker 2: You're buying shares in a specific house.

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Speaker 1: You want to decide which one I want to invest in?

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Speaker 2: You can. At the moment, We've got five houses for

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Speaker 2: sale on the property, so you can choose any one

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Speaker 2: of those five or a part of all five.

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Speaker 1: And how much is the maximum I can put in?

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Speaker 2: You can own a maximum of twenty five percent of

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Speaker 2: a home. But there is one person who's an investor

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Speaker 2: who can own more than twenty five percent of the home,

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Speaker 2: and that's the ones who will live in the property.

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Speaker 1: Oh so, so does the person with the highest, the

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Speaker 1: biggest steak get like DIBs to live in it?

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Speaker 2: Now, what happens is that every house will have a

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Speaker 2: shareholder who lives in the property, and that's someone who

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Speaker 2: will apply to become what we call a guardian because

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Speaker 2: they're going to be looking after the property on behalf

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Speaker 2: of the other shareholders and they have to own a

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Speaker 2: minimum of two percent of the shares, So the access

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Speaker 2: to a home is quite a low bar there as

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Speaker 2: far as compared to banks, for example. And then and

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Speaker 2: they pay say are you going.

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Speaker 1: If I am buying into this house, how can I

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Speaker 1: be sure that they are going to maintain the house

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Speaker 1: to my standards?

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Speaker 2: So what we've were monitoring that will be doing inspections.

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Speaker 2: They have skin in the game, they've got their own

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Speaker 2: money in the property. The properties are all going to

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Speaker 2: be new homes, and they're going to talk after them

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Speaker 2: and we're going to support them and making sure that happens.

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Speaker 1: And are they going to pay market rent?

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Speaker 2: Probably less. What we're finding is that they pay four percent.

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Speaker 2: They pay an occupation license fee, so they pay rent,

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Speaker 2: and that fees based on four percent of the shares

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Speaker 2: they don't own. So it is a bit of a

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Speaker 2: numbers game, but we're finding that that four percent or

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Speaker 2: the cost of that, even if they're owning at two percent,

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Speaker 2: the property is usually slightly less than what they were

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Speaker 2: paying rent today.

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Speaker 1: Is that a good deal for me if I'm a shareholder?

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Speaker 2: Well, I think so. You're going to get a dividend

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Speaker 2: on the four percent, and you are going to be

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Speaker 2: able to trade those shares on our secondary market, and

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Speaker 2: we're the first company in is zone to be approved

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Speaker 2: by the SMA to operate a secondary market, and you're

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Speaker 2: going to be able to trade those shares on your

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Speaker 2: foot and you will collect not only a dividend, but

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Speaker 2: you'll also be able any capital gains. You will obviously

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Speaker 2: keep that as well.

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Speaker 1: Okay, And so the rent that I'm going to get

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Speaker 1: as my dividend, is that going to cover what I'm

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Speaker 1: expected to chip in for the maintenance and the rates

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Speaker 1: and stuff.

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Speaker 2: You don't have to so we pre fund belong to

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Speaker 2: maintenance right at the very beginning. The four percent covers

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Speaker 2: rates and insurance. If there's any shortfall theres you know,

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Speaker 2: it's quite a bit of inflation with councilors these days.

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Speaker 2: The Guardian will support any shortfall.

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Speaker 1: Interesting, James, thanks very much for talking us through at

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Speaker 1: James Jordan, co founder of Houses for More from Heather

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Speaker 1: Duplessy Allen Drive listen live use talk zeb from four

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Speaker 1: pm weekdays, or follow the podcast on iHeartRadio