Frequently Asked Questions

Smart Legals is a London-based property investment firm with a distinctive approach. We provide clients with the option of direct property investment, alongside an innovative platform offering property bonds and structured investment opportunities.

Every investment is designed with security in mind, giving our clients confidence and peace of mind. Our mission is to make property investing more accessible, transparent, and secure for everyone.

Smart Legals sources high quality property investment opportunities across the UK. We carefully select a range of property types to ensure our offerings align with a variety of investment goals and risk profiles.

In pursuit of delivering stronger performance for our clients, we have introduced multiple structured investment products. These solutions provide greater flexibility in property investment, alongside potential tax efficiencies where applicable.

All projects are structured with security at their core and are supported by robust legal protections. This expansion into additional product lines has led to a rebrand, helping to clearly communicate our enhanced offering and competitive advantage to clients.

Smart Legals is open to all investors aged 18 and over. There are no restrictions on overseas investors purchasing UK property through our platform.

However, certain tax-efficient investment products are available only to UK residents who meet specific eligibility criteria. This may include self-certifying as a high-net-worth individual or sophisticated investor, or confirming that no more than 10% of their net investable assets will be allocated to these investments.

Full eligibility requirements and investor classifications are clearly outlined during the application process.

The minimum investment depends on the specific property or product. Our entry investment starts at £1,000. There is no maximum limit, though we always recommend that investors diversify their portfolio and never invest more than they can afford to lose. Your capital is at risk and returns are not guaranteed.

Returns vary depending on the type of investment you choose. For traditional property investment, you receive rental income directly from the tenant. For serviced accommodation, a management company operates the property and pays you monthly from the income it generates.

For Specialist Supported Housing, income is paid on the 1st of each month by the Housing Association. With property bonds, you can choose how to receive your returns. Quarterly payments provide regular income throughout the bond term, while the maturity option allows interest to accrue and be paid as a lump sum at the end of the term. Interest rates vary depending on the option selected, with higher rates typically offered for interest paid at maturity.

Social Housing structured investments provide monthly income distributions.

For investors in bonds, at the end of the bond term your original capital (principal) is returned along with any remaining interest. If you opted for quarterly interest payments, you will receive your principal back at maturity, as interest will have been paid throughout the term.

If you chose interest to be paid at maturity, you will receive your principal plus all accumulated interest as a single lump sum. Funds are typically returned to your nominated bank account within a few business days of the maturity date.

Every Smart Legals bond is secured by a legal charge over UK property assets, meaning real estate is pledged as security for your investment. An independent, regulated security trustee holds this charge on behalf of all bondholders, providing an additional layer of protection.

However, it is important to understand that your capital remains at risk. These investments are not covered by the Financial Services Compensation Scheme (FSCS), and property values may fluctuate.

Investors who opt for direct property investment have the security of property title. Though if you decide to use a mortgage to complete the purchase, your lender will have security until the loan is repaid in full.

A security trustee is an independent, regulated entity that holds security (such as legal charges on property) on behalf of bondholders. The security trustee acts in the interests of investors, ensuring that the security is properly maintained throughout the bond term. If a borrower defaults, the security trustee has the authority to enforce the legal charge, which may include selling the property to recover funds owed to investors.

In the event of a borrower default, the security trustee will act on behalf of bondholders to enforce the legal charge held over the property assets. This may involve taking possession of the property and selling it to recover the funds owed. While the legal charge provides a layer of protection, there is no guarantee that the full amount invested will be recovered, as property values can decrease and the sale process may take time. Investors should be aware of this risk before investing.

Opening an account with Smart Legals is straightforward. Click the "Get Started" button on our website and follow the registration process. You will need to provide personal details, verify your identity, and complete an investor classification questionnaire. Once your account is approved, you can browse available bonds and make your first investment.

Once your account is set up and verified, you can fund your investment via bank transfer. Full payment instructions, including our bank details and your unique reference number, are provided during the investment process. Funds typically clear within 1-3 business days, after which your investment is confirmed.

Smart Legals bonds are fixed-term investments, which means your capital is committed for the duration of the bond term (2 or 4 years). Early withdrawal is generally not permitted. You should only invest funds that you will not need access to during the bond term. If you have any concerns about liquidity, we recommend speaking with a financial advisor before investing.