CrowdProperty has become the newest member of the P2PFA, the leading industry body for peer-to-peer lending in the UK.
The P2PFA was initially set up by founding members Funding Circle and Zopa to help lobby government for sector specific peer-to-peer regulation.
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).
“This is yet another defining moment for CrowdProperty in our mission of delivering a better deal for all on both sides of our marketplace,” said Mike Bristow, CEO of CrowdProperty. “It validates the competence, honesty, integrity and transparency that are core to our business which has resulted in our exceptional growth and 100 per cent capital and interest payback track record.”
CrowdProperty has originated a little over £20m in loans to date, with the majority of that total coming this year.
The firm currently operates a fixed pricing structure, charging all borrowers 10 per cent, and paying all investors 8 per cent. Investors select the loans they invest in, landing CrowdProperty in the ‘pricing platform’ camp, according to definitions recently proposed by the FCA as part of its post-implementation review.
