What is CRI? — Real Estate Receivables Certificate

Definition of CRI

CRI (Real Estate Receivables Certificate) is a fixed income security backed by real estate sector receivables. It is one of the most popular modalities of real estate crowdfunding in Brazil, offering predictable returns and legal security.

Advantages of Investing in CRI

• IR exemption for individuals: One of the great attractions of CRI is the Income Tax exemption for individuals.
• Predictable return: CRIs generally have fixed returns or rates linked to indices.
• Real estate backing: Receivables are backed by real estate, offering greater security.
• Diversification: Allows portfolio diversification with exposure to the real estate sector.

Risks of CRI

• Credit Risk: The debtor may not honor receivables payments.
• Liquidity Risk: Difficulty selling the CRI before maturity.
• Market Risk: Changes in the real estate scenario may affect receivables value.