MPD Real Estate Fund Closed. What’s Next?

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Max Property Group announced that its Max Property Deutschland (MPD) Real Estate Fund is now closed for subscriptions. That, however, doesn’t mean it won’t work anymore; it only means that no one can make any additional investments, because it’s fully subscribed now. Of course, there are more funds available on the Max Crowdfunding’s platform. But first, let’s find out what MPD is.

MPD is a German fund that invests in real estate in Germany. The fund managed to raise €2,495,000 from investors, already has over €4M of property assets on the books and this will be increased to around €5.5M by the end of 2019 early 2020. The minimum amount required for investing was €1,000. By investing money in the fund, you don’t have to worry about real estate laws, interact with tenants, repair apartments, or do all the other stuff that is a headache for all real estate owners. The fund was launched in 2017, and has been paying our an annual 8% interest to its investors. Upon exit the investors will receive a bonus 30% profit share from the potential equity increase.

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How to start investing in real estate

Currently, it’s impossible to invest in German property on Max Crowdfund until MPG create another German fund. But it is possible to make money on British and Dutch real estate! They are still open to new investors.

The Dutch fund has a fixed interest rate of 6.25%, the minimum investment being €1,000. The British fund has a 10% fixed rate with a minimum investment of 1,000 GBP.  And the best part is, you can become a property investor from the comfort of your home, via Max Crowdfund.  

To invest in any fund, you have to get level 2 clearance on Max Crowdfund if you are European and level 3 clearance if you are a resident outside of Europe. How is this possible?

  1. First, you have to register and confirm your registration by email.
  2. Next, you have to choose the fund that you want to invest in.
  3. You’ll see a sign saying that you don’t have a necessary clearance level.
  4. Click “My account” and click the dropdown menu on the left.
  5. You’ll see the dashboard.
  6. Click “My profile” in the menu and go to “Clearance level” on the right of the screen.
  7. You’ll see a description of all the necessary steps on the next screen
  8. You have to upload all required documents in order to receive new clearance levels.

There are three clearance levels:

  • Clearance level 1 allows you to buy MPG tokens, rent, and buy any property, allowed by regulations of the investor’s country. To get this clearance level, you have to upload your photo passport, ID, or driver’s license (front and back).
  • Clearance level 2 allows to buy regulated assets as an individual with some restrictions: a maximum of €80,000 for loans/bonds, and €40,000 in equity. To get this clearance level, you have to give information about your tax residency and the tax identification number. It is also necessary to upload a proof of address to confirm where you live (such as a utility bill or bank statement not older than 3 months).
  • The last clearance level (3) is for Qualified Investors and High Net Worth Individuals and companies. It allows them to invest without limits. You have to pass the test with risk profiling in order to get this level.

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Once you’re done with the verification process, you can choose a fund and start investing! Max Crowdfund is a very transparent company, so you can always find financial reports, portfolios, and documentation available on their official site.

All materials on this site are for informational purposes only. None of the material should be interpreted as investment advice.