CrowdProperty has surpassed £80m lent to small- and medium-sized enterprise developers, despite the ongoing Covid-19 pandemic.
This is up from £75m lent last month. The property peer-to-peer lending platform has been lending throughout the coronavirus and has now funded the development of over a thousand homes worth over £170m.
CrowdProperty said that on average its last 22 projects funded in less than a minute and that it is seeing a rising number of applications month-on-month.
“We’ve been funding throughout Covid-19, we’ve tightened our criteria and have ensured that those projects can commence and get going,” said Mike Bristow (pictured), chief executive of CrowdProperty.
“And as always, those projects are delivering housing into undersupplied markets that have good liquidity in good markets throughout the UK at mainstream price points, ie, where there’s enduring demand.
“In our view more than ever what property professionals need is a reliable, knowledgeable, responsive and speedy source of capital that behaves much more like a long-term funding partner than a transactional lender and that’s exactly what we’ve built on the borrower side.”
In June, CrowdProperty received about 300 direct applications for funding, worth around £200m but the lender only funds a small percentage of that.
“We fund just a few per cent of what we see so we’re very careful which means we deliver and have a perfect lending track record, which attracts more investments and therefore more projects and applications,” Bristow said.
“If you put customers at the centre of everything, you build a great business.”