Frequently asked questions
Do you have questions or doubts? You’re not alone! Here you’ll find our frequently asked questions, carefully compiled to give you clear and quick answers. Take a look and find the information you’re looking for. We’re happy to help — and if you still have questions, feel free to contact us.
General
Who is Pearl Capital for?
Pearl Capital serves two groups.
On one hand, real estate entrepreneurs who need fast and reliable commercial property financing. On the other, private investors looking to grow their capital safely with a fixed net return.
What does Pearl Capital do?
We provide commercial real estate financing based on property as collateral. These are short-term, flexible loans for the purchase, refinancing, renovation, or development of real estate. The capital for this is raised from private investors who participate in our commercial mortgage fund.
What can I use Pearl Capital for?
You can turn to us for:
- applying for commercial real estate financing
- investing in our commercial mortgage fund with a fixed net return of 6 percent per year
What is the difference between investing and financing at Pearl Capital?
When you invest, you lend money to our commercial mortgage fund. You receive a fixed return, and we handle the work. When you finance, you borrow money from Pearl Capital for your real estate project. You pay interest and use your property as collateral.
Does Pearl Capital also broker private mortgages or consumer loans?
No. We focus exclusively on commercial real estate financing and our commercial mortgage fund. Private mortgages and consumer loans are not part of our services.
Invest
What does it mean to lend money to Pearl Capital?
You provide a loan to our commercial mortgage fund. From this fund, we finance various commercial real estate projects. You don’t need to buy or manage property yourself, but you still benefit from a fixed return.
What return do I receive as an investor?
You receive a fixed net return of 6 percent per year. This means there are no additional costs deducted from your return.
How often is my return paid out?
What is the term of my investment?
The investment term starts from 24 months. This is a deliberate choice — it gives you, as an investor, clarity and ensures your money isn’t tied up longer than necessary.
What is the minimum investment amount?
Investing is possible from €100,000.
What securities do I have as an investor?
Your investment is protected in several ways:
- Fixed return: 6% per year
- Paid out quarterly
- Always the 1st right of mortgage
- Low loan-to-value ratio
- Real estate as collateral
- Short term of 24 months
- Recorded in a notarial deed
This allows you to invest with maximum security, without having to do anything yourself.
What is the first right of mortgage?
If the borrower fails to meet their obligations, the first right of mortgage is exercised. In the event of foreclosure, the investor always has priority in repayment from the proceeds — even before authorities such as the tax office.
What is meant by a low loan-to-value?
Loan-to-value is the ratio between the loan amount and the market value of the property. A low loan-to-value means the loan is relatively small compared to the value of the collateral. This creates an extra buffer and therefore provides additional security for you as an investor.
From when does my money start generating returns?
As soon as your investment is completed through the notary, your money starts generating returns immediately. There is no idle period where your capital isn’t working for you.
How do I know what I’m investing in?
We exclusively finance commercial real estate projects that have been thoroughly assessed in advance. We evaluate factors such as the property’s value, the feasibility of the plan, the exit strategy, and the borrower’s financial position. You don’t need to perform this assessment yourself. Your 6 percent return is fixed, regardless of our own performance.
Can I terminate my investment early?
The investment has a minimum term of 24 months. Early withdrawal is not possible.
Financing
What type of real estate does Pearl Capital finance?
We finance commercial real estate. Think of:
- rental properties
- redevelopment projects
- new construction projects
- commercial buildings
- mixed-use real estate
The real estate serves as collateral for the financing.
How much can I borrow from Pearl Capital?
You can borrow from €250,000 up to approximately €15 million per property, depending on the value and type of real estate.
How long can I finance with you?
The loan term is customized. We assess your project, your exit strategy, and your planning. Together, we determine a term that is realistic and workable for your situation. We finance up to a maximum of 18 months.
What interest rate do you charge?
Our interest rate starts at approximately 0.65% per month. The exact rate depends on the type of property, risk assessment, loan term, and loan amount. You will always receive a clear proposal in advance, so you know exactly what to expect.
Can I finance a construction deposit as part of the loan?
Yes, we finance construction deposits up to 100% of the estimated renovation costs, within the agreed loan-to-value ratio. This allows you to start renovating, rebuilding, or finishing construction immediately.
How quickly can my financing be arranged?
A loan can be substantively approved within 48 hours. In many cases, signing at the notary is possible within five working days, provided all documents are complete. This allows you to move quickly with a purchase or refinancing.
What are the benefits of financing through Pearl Capital?
The main advantages are:
- speed, so you don’t miss your opportunity
- clear and transparent terms
- flexibility in term and repayment
- personal contact and direct lines to decision-makers
Who is financing through Pearl Capital suitable for?
For professional real estate investors and entrepreneurs with commercial property who need temporary capital. For example, for a purchase, bridge financing, renovation, development, or refinancing with a clear exit strategy.
