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Why the New Nordic rental guarantee concept should give you confidence

Mar 1, 2017 | Emerging Trends

There are a number of reasons why a rental guarantee concept should give you a certain level of confidence, not least that you know what return you will get and for how long before you even make your initial purpose. In today’s uncertain economic times we are all looking for whatever guarantees we can get, and an investment that is tangible and has a known return is as a good as what anyone can realistically expected.

There are several rental guarantee concepts that are available on the market at the present time. Some are more attractive than other in terms of their guarantees, whilst others are something of an unknown quantity, offered by developers who are new to the market or their intentions may not be honourable. It certainly pays to search around, do your research and of course, conduct as much due diligence as is possible.

Why the New Nordic rental guarantee concept should give you confidence
Why the New Nordic rental guarantee concept should give you confidence


The one thing that you will be looking for is a proven track record. Has the company been around a long time and have the majority of the management team been in place for that period? Do they have a sound business model, sufficient cash flow and what are the reasons for setting up the scheme in the first place? One company that can answer all of these questions very favourably is the New Nordic Group who are based in Pattaya, Thailand.

New Nordic’s rental guarantee concept has been in place for around a decade and the key members of the management team have also been in place during this time. The business model has been pretty much the same since its inception with just minor tweaks made in order to perfect it. The business is financially sound and they have completed dozens of projects and the initial reason for starting the scheme was naturally to encourage extra investment but such has been the success for all parties, it has continued.

The New Nordic Group of returns of 10% p.a. for anywhere between five and twenty years, depending on which property you purchase. The monthly ‘rent’ that investors receive is paid by the New Nordic themselves and is not dependent on your individual unit being rented. All payments have been paid on time and in full since the scheme first began. Minimal occupancy rates are required during the low season in order to meet all liabilities and the group have well-establish links and contracts with both domestic and international tour operators.

It is hard to pick any faults with a scheme that has proven to be so successful over such a long period. The confidence in their rental guarantee concept is best illustrated by the number of existing investors who continue to purchase more and more units in the group’s property portfolio. Indeed, it is only because the number of properties and rate of growth has increased rapidly that the company has found the need to do any significant form of advertising.

There really are few better investments that are available at the present time and give investors such confidence. The returns are excellent and risk levels are low so surely you should be looking at including a New Nordic property in your investment portfolio?


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