Investing in SCPI, still a good idea?

invest real estate SCPI

In terms of investment, there are many solutions. Some are more interesting than others. This is why you have to think carefully about how to invest your money so you don't make mistakes. The good reason is that making a bad investment risks losing a lot of money. In this case, is investing in SCPI a good idea? Is it a profitable or a risky investment? And above all, what is a SCPI exactly?

What is a SCPI?

The SCPI, also known as the real estate investment company, is quite simply a secure savings investment. To put it simply, these are large companies whose role is to manage, renovate, acquire, enhance and lease real estate. So, you are, in a way, the owner of real estate assets rented by tenants and the SCPI plays the role of intermediary between you two.

Why invest in SCPI?

Nowadays, savings solutions are less and less attractive. Take the example of Livret A, the rate of which is constantly falling. That’s why people are looking for other ways to save their money while getting better benefits. And precisely the SCPI is a possible solution because the return is rather interesting.

Investing in a SCPI amounts to making a rental investment without all the disadvantages that this brings. Indeed, when we make a rental investment, there can be various problems vis-à-vis tenants. Being the owner of a rental accommodation means dealing with unpaid rents, but also with the common problems that tenants may encounter such as work in the accommodation, a change of boiler ... All this is the responsibility of the owner, which in the end does not make your investment very profitable.

Investing in SCPI therefore allows you to own shares in this company in order to benefit from rents calculated in proportion to the shares you hold. Thus, this placement is completely secure and you can not face unpaid rents or annoying or abusive tenants.

How to invest in SCPI?

If you are interested in this investment, then you will certainly want to know how you can invest in REITs. In fact, there are two solutions available to you. You can either buy your units for cash or take out a loan to buy your units. If you have sufficient capital, it is better to buy your shares in cash to be safe. But rest assured, if you take out a loan to finance this investment, know that 100 % of the interest linked to this loan is deductible from your taxes. Which is rather interesting, we must admit.

A safe and risk-free investment?

Nowadays, investing in SCPI represents a safe and risk-free investment in savings. Of course, even if anyone can buy shares in a REIT, it is still better to get professional help in order to understand all the inner workings of this kind of investment. Either way, if you have plans to save money in the near future, don't hesitate to find out about the most profitable REITs so that you can make a good investment.