CrowdProperty, which specialises in property-backed loans, becomes the only development lender in the organisation. LendInvest and Wellesley & Co, which also originate development loans, used to belong to the organisation but left (both have now pivoted their business models away from P2P).
CrowdProperty has originated a little over GBP 20 million in loans to date, with the majority of that total coming this year. The company currently operates a fixed pricing structure, charging all borrowers 10%, and paying all investors 8%. Investors select the loans they invest in, landing CrowdProperty in the ‘pricing platform’ camp, according to definitions recently proposed by the Financial Conduct Authority as part of its post-implementation review. The P2PFA was initially set up by founding members Funding Circle and Zopa to help lobby government for sector specific peer-to-peer regulation.
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