Our business has evolved, and so have our rates. But only ever for the better.
At CrowdProperty, we offer an outstanding service, allowing quality property professionals to raise finance and provide attractive returns for lenders, this is because we can match the capital needed more efficiently and more effectively than others.
With demand for our first-charge secured property projects higher than ever, we’ve worked tirelessly on our direct origination strategies to ensure we secure high quality projects, presenting quality opportunities for investors to lend to quality property professionals.
To serve ever-stronger demand from our valued lenders, we’ve made our borrower rates even more competitive for the very highest quality projects with the highest levels of security cover. This means CrowdProperty can now secure even more projects which comfortably meet our meticulous due diligence criteria, in turn giving you, more investment opportunities.
As such, we’ve made some slight adjustments to our lender rates in line with borrower rate changes that now flex with the level of security cover. Interest rates offered on investments will reflect the increased security associated with lower Loan to Exit Gross Development Value (LTGDV) and lower initial purchase Loan to Value (LTV) of projects. As a lender you will still achieve inflation-beating, first-charge secured returns on each and every project we launch, with rates of return clearly shown for every project launch.
On Wednesday we will be launching the first such project. The Land at Knoll Road, Godalming, Surrey is already owned unencumbered by the developer. CrowdProperty is initially releasing 38.5% of the RICS-assessed current value and will be lending a total of £650,000 over the course of the £1,700,000 GDV project. This represents 38.2% LTGDV (excluding rolled-up interest) and 41.9% LTGDV (including interest).
Having secured the project with more competitive rates to the borrower, we are offering lenders 7.25% first-charge secured returns on this project. Information for this project is now available on the CrowdProperty website: CrowdProperty
Furthermore, the second of the three projects launching next week is also one with very high security cover. The Leicestershire project is also already owned unencumbered by the developer and the project is well underway with the shell of the building already erected. CrowdProperty will be initially releasing 27.1% of the RICS-assessed current value and will be lending a total of £125,000 over the remaining stages of the £475,000 GDV project. This represents 26.3% LTGDV (excluding rolled-up interest) and 28.6% LTGDV (including interest).
Lenders will be offered 7% first-charge secured returns and more information will follow next week.
Maintaining a competitive proposition on the borrower side is very important for attracting and securing high quality lending opportunities and this change will ensure we can further increase the number of highly secured projects on the CrowdProperty platform.
AutoInvestors please note your funds will continue to be invested in each and every loan, and you will still have the ability to cancel pledges within the 24-hour cooling off period – you will be notified of an AutoInvest pledge as soon as it is made.
We appreciate your feedback, and please continue to get in touch.
The CrowdProperty Team