The House Crowd
The House Crowd is a peer-to-peer lending and property crowdfunding platform. They offer loans and investments secured against UK land or property assets. Their mission is to simplify property investment and make it accessible to everyone to build a better financial future. The platform offers seven forms of investment Cautious, Balanced, Bold, Secured Peer To Peer Lending, Property Development Funding, Mezzanine Finance and THC Fusion Account
What fees do they charge?
Fees are charged to borrowers, not lenders. Fees on equity investments are usually based on a percentage of the money raised which constitutes the platform fee and are charged to the SPV. They are usually 5%.
Withdrawal of funds
Funds can be withdrawn with 30-day notice (subject to normal market conditions and minimum term)on selected products
What happens if they become insolvent?
The platform states that Peer to peer Lending products will continue to be protected by the legal charge. The House Crowd works as a listing platform for Equity Investments (Property Crowdfunding) Investors, remain legal shareholders of the SPV and the property. The House Crowd also have an agreement in place with another FCA regulated company that will take over the business and implement contingency plans to manage the situation in the event of insolvency.
The House Crowd Products and Investment
This auto-invest product is available on UK bridging and development loans with an average loan to value (LTV) of 75% and minimum terms of 12 months.
Automatically spreads your investment risk across their secured property loan portfolio that matches the above criteria. Funds will earn interest 365 days a year with no downtime between investments. There is a choice of receiving your interest twice a year or compound your interest.
Minimum term is 12 months thereafter you can withdraw your funds with 30 days notice (subject to normal market conditions and the minimum term)
This auto-invest product is available on UK bridging and development loans with an average loan to value (LTV) of 70% and minimum terms of 12 months.
Automatically spreads your investment risk across their secured property loan portfolio that matches the above criteria. Funds will earn interest 365 days a year with no downtime between investments. There is a choice of receiving your interest twice a year or compound your interest.
Minimum term is 12 months thereafter you can withdraw your funds with 30 days notice (subject to normal market conditions and the minimum term)
This auto-invest product is available on UK bridging and development loans with an average loan to value (LTV) of 60% and minimum terms of 12 months.
Automatically spreads your investment risk across their secured property loan portfolio that matches the above criteria. Funds will earn interest 365 days a year with no downtime between investments. There is a choice of receiving your interest twice a year or compound your interest.
Minimum term is 12 months thereafter you can withdraw your funds with 30 days notice (subject to normal market conditions and the minimum term)
This is a short term investment product with an attractive rate of interest and quick access to your funds. There is no need for the loan to be repaid as The Housecorwd crowdfund and recycle the money quickly, thus providing greater liquidity for investors. The account requires notice for you to access your funds and they will repay your capital within 30 days. It is also noted that "Only in the event we could not crowdfund out the funds would the repayment be dependent on the borrower repaying"
There is the opportunity to earn 4.5% p.a on your investment for the first six months and the rate changes to 4% p.a thereafter. The size of this fund is restricted to help ensure investor liquidity.
Restrictions on withdrawal. The Housecrowd may restrict investors drawing out more than £25,000 per investor per month if they have an unusually large amount of requests simultaneously
Interest is calculated daily and paid on April 30th/Oct 30th each year. Interest due is pro-rated if sums are withdrawn.
Mezzanine finance is designed to fill the gap between the bank's lending and the developer's equity contribution and is held with a second legal charge which potentially carries higher risks but offers you the opportunity of higher returns. This type of investing was until recently only available to financial institutions and high net worth individuals.
Earn up to 9% p.a. on secured peer to peer bridging loans via their peer to peer lending platform. The Housecrowd offers a range of products allowing you to choose your own level of risk and gives you a simple investor dashboard allowing you to manage your investments easily. A minimum investment of £1000 is required.
There are more than 200 properties built, or currently in development with a Gross Development Value of over £52m.
Invest in property developments from as little as £1,000. A typical term lasts for 12 months. The typical return rate is 10% per annum. the investments are secured by a legal charge against the land/property.
Their projects have full planning permission in place (unless otherwise stated), use large, reputable contractors, contractors are supervised by a professional employer's agent and have independent RICS qualified fund monitor providing regular site visit valuations.
Investor Overview
- Minimum investment is £1,000.
- Accepts investments from residents of many overseas countries.
- Auto-Invest tool available.
- Withdraw funds after 12 months with 30 days’ notice.
- Invest through SIPP pensions.
- The Housecrowd quote their fees as “On peer to peer loans, returns quoted are net of any fees. The House Crowd charges the borrower rather than the lender. Fees on equity investments are usually based on a percentage of them money raised which constitutes the platform fee, and are charged to the SPV. These fees are usually around 5%. Specific information on all fees charges is clearly detailed in the information pack for each investment.”
- * correct as of 22/01/2020
LIVE Platform Stats
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Withheld Pledged |
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Officers
William Anthony
Appointed: 04-05-2015
John Houghton
Appointed: 01-04-2012
Pledged this Week
* Data captured from publicly available sources and may vary from the final investment values