Construction investments involve purchasing properties directly from developers during the construction phase. These investments typically start at a low entry cost and are ideal for investors looking to maximize capital growth in rapidly expanding property markets.

For each property, investors collect a down payment to start the construction – and then gather the remaining amount to complete the property. The total amount needed is divided into shares, allowing many people to participate in the fundraising. By investing in real estate during the construction phase, you are buying shares in a construction property. As construction progresses, the share price grows – the value of your shares increases. Therefore, <b>the earlier you invest, the more income you will get.</b> When the facility is completed, the construction company puts it up for sale. <b>While the property is being sold, it is rented out and generates income for its investors.</b> When the sale is completed, the income from the sale is distributed among the investors in proportion to the amount invested.

Suppose Rumah Archipelago Villas needs $350,000 to build La Casa Española in Bali. Binaryx Platform issues 10,000 shares representing ownership in the property. Users invest in the property by buying shares. You can buy any number of shares. Suppose you purchased 1,000 shares at an average price of $34, which represents 10% of the total investment pool. This investment structure provides flexibility, allowing you to invest any amount and receive a proportional return when the property is sold. After one year, the developer sells the villa for $425,000. During this period, the value of the shares has increased by 25%. If you bought 1,000 shares, your shares are now valued at $42,500, which you receive as a return on investment.

Investments in properties under construction on Binaryx are in the form of shares. Like with finished real estate, these shares are legally <a href='https://guide.binaryx.com/about-binaryx-platform/how-does-it-work-legally-confirm-your-ownership' target='_blank'>tied</a> to the property under U.S. law. A share represents an investor's ownership in a project under construction. This type of investment differs from buying shares in already completed projects: the value of the share is constantly growing as construction progresses.

The main principle of construction investment is that the earlier you invest, the higher your return. This principle is realized in the share pricing algorithm: each next share costs more than the previous one. <b>The earlier an investor buys shares, the lower their price – and the higher the yield at the end of construction.</b> During the entire fundraising period, the share price steadily increases. <b>After the down payment is collected (the first stage of fundraising), the share price rises by 5% at once.</b> This share pricing mechanism was designed specifically to fairly distribute the level of profit between early and late investors. <b>Here's an example.</b> When the investment collection begins, the first share of La Casa Española costs $30.7. The price of the second share is $30.7005, the third share is $30.701, the tenth share is $30.705, and the hundredth share is $30.75. The last (10,000th) share will cost $37.33. As you can see from the example, the difference in the price of the first and the last share is 21.6%. The price of a share after the construction and the sale are completed will be $42.5. This is the amount investors will receive per share when the facility is sold. Therefore, the income for each investor will be individual: it will depend on the price at which the shares were bought.

ROI (Return on Investment) shows how much money you make on your investment compared to the amount invested. To calculate ROI, divide the profit you've made by the initial investment cost and then multiply it by 100%. For example, if you made $2000 on a $10,000 investment, your ROI was 20%. APR (Annual Percentage Rate) is the yearly percentage rate of return. Typically, this rate is used to compare the return on investments that are made over several months or years. For example, if the return on investment (ROI) is 50% over 2 years, the APR rate would be 25% per year. If the ROI is 20% over 6 months, the APR would be 40%.