Regulation, Risk and Loan Notes

FCA protections, unregulated products and how people lose money

REITs, crowdfunding platforms, property bonds and loan notes promise a share of property returns while someone else does the work, and this book explains the rules that govern them and how people lose money in this space. It starts with the one distinction everything in paper property rests on, then explains what permissions mean for these products compared with planning and licensing for bricks, and why your position rests on the contract rather than a Land Registry entry. You will see what FCA regulation actually protects you from and what it does not, including unregulated products, and what to read before you commit. The tax chapter explains how returns are taxed and sheltered. A diligence checklist that does not get excited or skip steps follows, and the final chapter explains why getting paper property wrong differs in kind, not just degree, from getting bricks wrong, because the patterns of loss repeat and can be avoided once known. Next in this series: “A Balanced Property Portfolio”.

What’s inside

• The legal framework in plain English
• Permissions, licensing and planning
• The contracts, and what must be inside them
• Insurance, safety and your legal duties
• Tax treatment and choosing a structure
• Your compliance checklist
• Getting this wrong: what it actually costs

Educational material only, not financial, legal or tax advice. Results are not typical and are not a guarantee of income. Freedom Property Academy LTD, registered in England and Wales.