Crowdestate is an impressive real estate crowdfunding platform
- The platform went online in 2014.
- The company has a head office located in Estonia and representative offices in Latvia, and Italy.
- +23200 investors have joined the platform.
- All loans are in real estate in Europe.
- They crowdfunded more than +113 projects
- The average interest rate is +20.54% (Very impressive)
- No buyback guarantee but the default rate is 0% (Again It’s very impressive).
They have a really good track record since they began.
Crowdestate is owned by co-founder and CEO Loit Linnupõld. Loit has more than 20 years of industry expertise.
In addition, the 6 “key person” employees in the company are shown on the website. It’s a skilled team behind.
The crowdfunding platform
The platform is dynamic and modern. There is even a facebook live chat to help you.
To join the platform is a very easy process. Just provide name and email. You can also sign up via your facebook or google account.
You can now move around on the platform and see the content. However, you must create an investment account to start invest.
The requirements for investment account:
- Account type (select individual or company)
- Account name (the name you choose)
- First name
- Family name
- ID Code (Social security or local identity code)
- Contact info (Phone and address
- Residency information
- Bank information
It’s very normal to provide this information when you sign up on any P2P lending platform.
Everybody can invest at Crowdestate except citizens from the United States (the reason is regulations the government has set).
You must also be at least 18 years old.
You can invest in real estate, corporate finance, and mortgage loans.
The loans on the platform have no identical buy-back guarantees. It depends on the project. Some loans are secured with a first-rank mortgage (physical security) or personal guarantees.
The default rate is actually impressive 0%. They have a professional due diligence process, and only about 5% pass this and will be available on the platform.
They have funded +113 projects.
Example of a project:
There is also a secondary market (marketplace) where investors can sell or buy investments internally. You can exit your investments faster with this option.
The loans are mostly short to mid-term (6-24 months) and the interest rate offered is approx 10-25%. It really depends on the project, but the returns are really good.
On average it’s 20.54%!
You must invest a minimum of 100 EUR in a loan which is reasonable. Investments can be made with 100 euro intervals (i.e 100, 200, 500, 1000 euros etc).
Risk rating is available and they provide great information about the investment:
- Asset class
- Investment type
- Capital type
- Investment horizon left
- The expected rate of return
- Risk class
- Number of investors
- Executive summary
- Project description
- Project time-schedule
- Building and infrastructure information
- Market information
- Key people
- SWOT (Strengths, Weaknesses, Threats, and Opportunities)
- Capital structure
The Q & A is a really cool feature where you can ask questions directly to the individual project. Everyone can participate and read each other’s questions.
On Crowdestate is the availability of loans is fine. 2 investment opportunities last time I checked. It may be something they should focus on so the investment opportunities are greater.
Auto-invest is also possible to make it easy.
They send no information to any Tax Agency or deducts taxes. You must do it yourself in your country.
Notice that the website is not .com but crowdestate.eu