Below you can read about the 3 ways to invest and see an overview of the return calculation. You'll also find our investor material where you can read all about the public limited company Investment and Holiday Home.
Invest and enjoy life
As a co-owner of 40+ vacation rentals, the possibilities are endless. It's entirely up to you how you want to vacation and use the properties. We always try to buy more than one vacation home in the same area, so you can bring friends and family without having to share a kitchen and bathroom.
There are three different ways to invest
1. With regular savings (free funds)
Once the subscription form has been signed and the capital increase is completed, you must transfer the amount you have subscribed for (minimum DKK 112,000) to the law firm Skov Advokater in Vejle. The lawyer will check that all conditions for the capital increase are met. The capital increase is then completed and you are a co-owner/shareholder. The return is taxed according to the ordinary rules for share gains. Since 2017, investors who have invested via free funds must pay 27% tax on the first DKK 51,700 and 42% on share income beyond DKK 51,700.
2. With pension funds
Once the subscription form has been signed and the capital increase is completed, you must transfer the amount you have subscribed for (minimum DKK 112,000) to the law firm Skov Advokater in Vejle. The lawyer will check that all conditions for the capital increase are met. The capital increase is then completed and you are a co-owner/shareholder. If part of your investment is in a bank-controlled scheme, you can invest according to the applicable rules. Furthermore, it is possible to combine pension funds with free funds. You pay 15.3% PAL tax on included dividends and the annual increase in the value of the shares.
You can use a maximum of 25% of your pension for the investment, so you need to have approximately DKK 448,000 in your pension in the bank (installment pension and capital pension). Ordinary labor market pensions cannot be used (e.g. Velliv, PFA and P+)
3. Money from companies
Once the subscription form has been signed and the capital increase is completed, you must transfer the amount you have subscribed for (minimum DKK 112,000) to the law firm Skov Advokater in Vejle. The lawyer will check that all conditions for the capital increase are met. The capital increase is then completed and you are a co-owner/shareholder. As a corporate investor, you will be taxed with a corporate tax rate of 22% on the 70% of the dividend, which gives an effective tax rate of 15.4%. The advantage of being a corporate investor is that the increase in value is tax-free on sale, regardless of ownership share.
We also refer to the current prospectus and advice from our own lawyer and auditor.
The prospectus
Get your material here
Investor material
It is possible to order our investor material at any time. The material package contains our prospectus, a subscription form, an advisor list and a catalog where you can see all our holiday homes.
Investment brochure
In our investment brochure you can also read about our other exciting investment companies.
Subscription form
If you want to subscribe for shares, you need a subscription form. Fill out the form and send it to: contact@investeringogferiebolig.dk
Get it all here
Download the investment brochures ↓
Questions
If you have any doubts, we are ready to answer all your questions. Write us an email or call us on tel. +45 93 83 05 53 53
Investment
How to calculate return
The budgeted return of 3% is shown in the table to the right. If you invest DKK 1 million in Investering og Feriebolig A/S, the calculation will be as shown in the table below. If you invest a nominal amount of DKK 100,000, the amount below can simply be divided by 10 to make the calculation fit this amount. In some cases, it will be possible to mortgage the properties if it is assessed that the rental income will also cover any repayments on the loans.
ABOUT TAX
Investering og Feriebolig has obtained a binding advance ruling from Skat, which ensures that the company's shareholders are not taxed on the vacation homes.
Poster
Gross rental income (7% of DKK 1 million)
Operating expenses (including owners' association)
Extra maintenance (0.5%)
Administration Investment & Holiday home (1.5%)
Local taxes
Unforeseen costs
Operating profit
Loan cost
Operating profit excl. value increase
Value increase (1.5%)
Profit including appreciation
Return on invested capital
(1 million DKK) %.
Kr.
70.000
25.000
5.000
15.000
5.000
5.000
15.000
0
15.000
15.000
30.000
3,0 %
Explanation of the table above
The gross rental income of 7% is the rental income that is budgeted in relation to the price of the acquired vacation homes, including registration fees, financing, rectification, other consultant costs, refurbishment and furniture. The budgeted cost for common expenses and owners' association typically covers costs for building insurance, renovation, property management, maintenance, caretaker, Wifi and any common areas.
The administration for Investment and Vacation Home covers the costs of rental and administration. If we buy a building or a detached house ourselves, there will be no costs for the owners' association, as we are responsible for the building's operation (maintenance, insurance, etc.). However, there may be a small cost for a homeowners' association. The increase in value is set at 1.5%, which is a conservative calculation. If you believe that property prices in Southern Europe (e.g. Greece) and selected areas in Central Europe will catch up with the lost increase in value, the increase in value will be somewhat higher. There could be a significant upside here.
The current liquidity surplus is disposed of by the Board of Directors.
