EstateGuru grew lending by nine percent in the first quarter
During the first quarter of 2022, EstateGuru, the property investment platform, recorded an increase of 9% in financed loans worth €16.7 m, bringing the total to more than €55 m.
This was a modest decrease from the €17.3 million spent in February.
Furthermore, compared to the same period in 2021, EstateGuru‘s revenue increased by 27 percent year-on-year in the first quarter.
More than 4,000 newly registered traders joined the peer-to-peer lending platform in March alone, accounting for roughly a fifth of the total number of registered lenders for the first quarter (16,300).
In March, certainly throughout the first quarter, the data we found was full of hope and set us on a positive path toward a significant increase in size this year,” EstateGuru fellow benefactor and executive Marek Pärtel said.
Estonia’s strong debt management has resulted in a low default rate of about 5%, which is in line with our long-term goals.
EstateGuru appointed Judith Tan as its head of capital markets earlier in the month. This was on the 13th of April 2022 to support its recent UK launch, sustain its footprint across Europe, and aim for €5 billion in origination.
Tan will be the managing director of the newly launched European Investment Fund (EIF) credit fund, which will appeal to institutional investors. It will give access to the €400 billion European small and medium enterprise (SME) property finance sector, which is currently underdeveloped. The European Guarantee Support is used to fund this diversified loan fund, which ensures that European small and medium enterprises (SMEs) have enough liquidity to resist financial challenges caused by the pandemic.
EstateGuru’s co-founder and chairman, Marek Pärtel, asserts: “Judith has deep knowledge and experience in both the UK and US markets. She also has an excellent track record, having originated over $7 billion in deals both domestically and internationally. As we disrupt the real estate market, her addition to the EstateGuru team will be significant. ”
Hopefully, with a larger focus on institutional investments within the coming months, we will see additional growth and be able to help even smaller or medium-sized businesses take advantage of different funding options, which are currently largely unknown.
EstateGuru, a pioneer in online financing for SMEs (small and medium-sized firms) in Europe, is preparing to launch a diversified credit fund for institutional investors. By launching the fund, we offer institutional investors a valuable opportunity to join the fund. This will provide businesses with access to the €400 billion under-served European small and medium enterprise (SME) property finance market. “Digital financing platforms like EstateGuru can be more effective and faster than traditional lenders in serving the market for senior secured risk, while also providing investors with a positive return.” Judith Tan, head of capital markets at EstateGuru said.