The House Crowd hits £50m investment milestone

The property crowdfunding platform hit the landmark figure with over £15m raised in less than six months.

This fundraising milestone comes just weeks after the Manchester-based company raised £600,000 in five hours on its St Thomas Road loan project, which offered investors 8% yield over a fixed six-month period at 63.2% LTV.

The House Crowd – which was founded in 2012 by CEO Frazer Fearnhead (pictured above) – has grown at more than 100% pa in each of the past two years and provides a range of investments secured against property to suit different investor risk profiles and objectives.

The House Crowd’s achievements include:

• paying out over £10m in returns to investors
• opening a new London office at Canary Wharf
• successfully funding 307 property investments
• growing its website membership to 15,000
• increasing staff numbers from an original team of three to 24.

Frazer said: “Today, investors are facing uncertainty on an unprecedented scale.

“Traditional buy-to-let is now unviable for most individuals, interest rates are woefully low and look to stay low for [a] considerable [period of] time.

“Also, the stock market is a gamble few can afford to take.

“No wonder people are turning to property crowdfunding to take control of their own finances, spreading their risk across a diverse range of investment products.

“This includes property-backed, peer-to-peer loans that can provide fixed returns of 8-12% in under 12 months.

“I have no doubt the confidence we’re seeing from investors in our service will continue to grow, as alternative finance takes the place of less attractive, traditional investment options.”