Prospects for Property Investors After Bank of England Clampdown on Buy to Lets

Some recent changes are already hitting landlords hard, others will soon. Here we look at the available options in what for many buy to let investors are troubling times.

Continue reading “Prospects for Property Investors After Bank of England Clampdown on Buy to Lets”

The Latest Crowdfunding News – 9/12/15

Crowdfunding News – All The Latest Updates

Hi guys welcome to our fortnightly edition of our hand-picked crowdfunding news stories from around the globe. It has once again been another busy couple of weeks with quite a few projects from around the world taking place, so many that we can’t fit them into a blog post! If you missed our last crowdfunding news edition you can catch up here. Today we travel to the land of Alf Stewart (If you never watched Home and Away we are talking about Australia!) and looking at property crowdfunding and return back to sunny Manchester to look at a crowdfunded cat cafe! There’s never a dull moment in the crowdfunding world!


Struth Mate Property Crowdfunding Comes To Australia!

Australia Property Crowdfunding

Property crowdfunding has finally came to Australia and the concept has opened up the market to young investors and those with less cash to invest according to ABC News.

Singaporean-based crowdfunding platform CoAssets (who we mentioned in one of our crowdfunding blog posts from last month) see property crowdfunding as the next big thing in the Asia-Pacific region.

Young investors in Australia want to cut out ‘middleman’ banks, accounting firm BDO chairman Sherif Andrawes mentions that “Crowdfunding provides access to a whole new group of investors, this is not the mum and dad investors that the Government likes to talk about, but rather the under 30s.” (ABC News, November 2015).

He makes a valid point that millennials have already been disrupted, as they organise their day to day life via their smart phone or tablet devices. In addition, Andrawes goes on to say that Generation Y shouldn’t experience a jarring change with regards to the way they interact with the world when it comes to investing as a majority have never been to a bank. In essence they are used to taking full control and cutting out a middleman.

Malcolm Turnball and his government are currently working on legislation to allow businesses to crowdsource debt and equity funding.

By introducing both tight and transparent regulations in place, the smaller investor may be able to get a bigger bang for their buck than they do at the moment with the banks. Moreover, the ramifications can lead to stimulating more transactions and help sustain the economy further.

Property crowdfunding investment steers away from the banks, Andrawes predicts that it will be long before they climb onboard. He thinks that in the next five years that Australian banks will own a lot of crowdfunding ventures.


How Crowdfunding Has Changed Property Investing in the U.S.

Real Estate Crowdfunding America

Although crowdfunding is still in its infancy, property crowdfunding in America has rapidly changed the way people in invest in property.

This shift has brought benefits not only for investors but also for real estate companies and for the real estate market as a whole. (Forbes, December 2015).

Property crowdfunding on the other side of the pond has become easier for investors due to legislation such as Jumpstart Our Business Startups Act in 2012, some of the previous barriers were removed and smaller businesses and start-ups were now eligible to raise capital and advertise their offerings in more of an open way than ever before.

As Nav Athwal points out in his recent article on property crowdfunding for Forbes, the beauty of crowdfunding is that instead of having to rely on connections to pinpoint property deals and having to put $100,000 or more into a single deal, investors can access these deals from the convenience of their mobile devices. He goes onto say that as CEO and founder of RealtyShares he has experienced first hand how easily first time and veteran property investors have found this new approach. As well as having better access, property crowdfunding appeals to many as investors can start investing with as little as $1,000.

If you would like to know more about the property crowdfunding process we recommend visiting our Crowdfunding Process page.

In addition, if you would like to know about real estate crowdfunding in the U.S. this Google Plus Hangout with the CEO of RealityMogul is worth watching to gain a further insight.

Image Source : Wharton University of Pennsylvania


Crowdfunding App Tilt Sets its Eyes on the UK

Tilt App

Mobile crowdfunding app Tilt is looking to bring crowdfunding to the mobile masses in the UK after a successful launch in the US. (Harder Blogger Faster, December 2015).

The crowdfunding app which is available on both iOS and Android is currently outpacing both GoFundMe and Kickstarter.

The function of the app is for groups of friends to pool money together for a group goals such as fundraising or funding a trip for example.

Legendary U.S. rapper Nas used the app to crowdfund money for Stanley Young, an unemployed construction worker and single father whose house was destroyed by fire in 2013. The Brooklyn born rapper raised $64,000 from using Tilt for the father of eight.

Talking of apps keep your eyes peeled for our very own House Crowd app!


Image Source : Harder Blogger Faster


Crowdfunding Predictions for 2016

Crowdfunding 2016

This year has definitely been an exciting year in the world of crowdfunding and also for ourselves from featuring on Dragon’s Den to celebrating our 150th funded project.

But what’s in store for crowdfunding in 2016?

Smarter Crowdfunding – A lot of people are taking a closer interest in what is happening in crowdfunding and how the industry works, and this will continue into 2016. Research from one crowdfunding company showed that crowdfunding investors are highly educated and make rational decisions. They also mention that in 2016 a lot more investors will be investing in larger sums.

More Partnering – It is rumoured that there will be more partnering between so-called alternative investment, traditional investment and major brands. (Bdaily, December 2015). We have already seen this year with Crowdcube and Amazon Launchpad, so watch this space for larger and exciting partnerships next year!

Bigger companies will take interest – Attitudes from bigger companies will change and the will see the light. A few analysts reckon that crowdfunding will become more mainstream rather than a form of alternative investment. This year we have seen companies such as Brewdog raise 10 million pounds with their crowdfunding campaign and can definitely see in 2016 that bigger brands will crowdfund from looking at these standout campaigns.

Investments will be bigger – As previously mentioned, 2016 is predicted to see larger investments. In Bdaily, it was mentioned that over 20 campaigns had raised over a million pounds, firmly placing crowdfunding as a way to secure Series A funding. This trend looks like it will continue next year and we may see crowdfunding become part of more Series B and Series C fundraising.

If you are a fan of watching TED Talks we highly recommend watching Anna Guenther’s talk on how crowdfunding is going to change the world.


Crowdfunded Kitty Cat Cafe In Manchester

crowdfunding cat cafe manchester

Sisters Ellie and Sarah Close have set up a crowdfunding campaign in order to open their very own cat cafe in the city centre.

Ellie and Sarah hope their unusual venture will draw in hundreds of cat fans, the idea of the cat cafe is that it will act as a sanctuary offering customers some much needed relaxation and stress relief.

Customers will be able to learn about the breeds and about the individual cats. They’ll even have their own Twitter profiles!

Cat Cafe visitors will be invited to grab a coffee and snuggle up with a cat on comfy sofas and beanbags.

In addition, for a small fee, customers will be able to spend time in the café whilst enjoying snacks and unlimited drinks, free Wi-fi, computers, television and video games (we like the sound of this!).

The sisters are currently seeking £15,000 funding to kit out the cat café with climbing frames, bedding and water fountains, if you are a huge cat fan and are interested, you can view their campaign here.

Unfortunately, at The House Crowd we can’t offer you the chance of having a coffee with your very own Mr Snuggles BUT we can offer you some guides on Manchester (North and Central) and also our South Yorkshire guide. For our southern friends what do you think about our project in Wembley?


What Are Your Thoughts?

Which of our chosen crowdfunding stories has interested you the most? We would love to hear from you, feel free to leave us a comment on our Facebook and Google Plus pages. If you prefer to tweet us, tweet @TheHouseCrowd.

In the meantime if you want to know more about Property Crowdfunding do register for our Information Pack which will tell you all about it. 

Register Now For More Information


Property values can fall. Your capital may be at risk & returns may vary. Read our Risk Warning.

The Latest Crowdfunding News – 25/11/15

Crowdfunding News – All The Latest Updates

This week we focus on the latest crowdfunding news from around the world that has caught our attention. As usual we have an array of exciting news to share with you from a man crowdfunding his house on Facebook to Arsenal fans launch a crowdfunding project to pay for Lionel Messi’s wages (we think he would look better in a sky blue shirt if we are being totally honest!).


Facebook and Property Crowdfunding

facebook property crowdfunding

A man from Lytham St Annes in Lancashire attempted to sell his property on Facebook by offering a cash incentive for people who shared his post with friends.

Josh Hocking came up with the idea after being extremely frustrated with his agent’s failure to find someone who would buy his property.

He has previously used the social networking site to find a tenant for an apartment he owned, so he thought he would try the same approach with his house.

As you can see from his Facebook post below, Josh gets straight to the point about selling his property.

Okay! So after the huge success of putting my apartment up for rent on Facebook, I have decided to see if anyone wants to buy my Lovely house!  If you share this status and I sell the house (from your share) I will pay you £1000! It’s 2 bedroom, located on Headroomgate Road in St Annes!

Have a look at the photos! Offers around £195,000. With 10% deposit, expect mortgage payments to be around the £875 mark!” (Estate Agent Today, November 2015).

A few days later his post was shared over 79,000 times! We haven’t heard if anyone has come forward yet, but we love Josh’s forward thinking. We don’t recommend using this approach ourselves, if you would like to have professional advice on property crowdfunding we strongly recommend downloading our FREE information pack or contacting us directly.

Image Source : The Independent


Property Crowdfunding Booms In Asia

Crowdfunding Asia

In Asia, property crowdfunding is mostly about presales and debts, instead of equity investment, as regulators have yet to pin down the details on how they would like to govern the fledging industry. (South China Morning Post, November 2015).

At the end of last year mainland China had 128 crowdfunding platforms. plus 32 for equity crowdfunding. What is particularly interesting about these Chinese online crowdfunding platforms is that they do not target the property sector. Developers though have been using the platforms to reach out to potential buyers at a much earlier stage in order to reduce inventories.

A chairman of a property company in China mentioned that property crowdfunding is useful because it cuts construction, sales and marketing, whilst speeding up the cash collection.

Despite regulatory uncertainties which are associated with crowdfunding in this part of the world, well known Chinese developers such as Dalian Wanda Group and Country Garden have selling and raising funds via crowdfunding websites.

Singapore has also been using property crowdfunding, despite the lack of clarity on whether such investment activities should come under the oversight of the city state’s monetary authority. Property crowdfunding operator CoAssets which has been in business for the past two years and is now listed on Australia’s junior stock as it expands in the Asia-Pacific region.

It’s interesting to see that on their site crowdfunding projects are listed as “Presales”. An example of this a developer called Jalin Realty International is marketing a residential project in Melbourne. Apart from introduction of the project and contact information, the website showed minimum investment is A$340,000 and that 28 investors are interested as of Friday.  (South China Morning Post, November 2015).

The Singapore company has raised over S$40 million through over 30 successful deals and is now turning its attention to opportunities in Indonesia ad China. If you have an interest in Asia and crowdfunding we recommend reading CNBC’s recent article on equity crowdfunding gains traction in Asia.


Single father feeds homeless in Denver after he was helped by crowdfunding campaign


This was our favourite and most inspiring crowdfunding story that we have heard of late. James Moss from New York, moved to Colorado, he had a job and a house lined up, unfortunately for James it fell through.

James was featured in vlogger Leon Logothetis#GoBeKindTour which gave him $1,000 (£650) plus a week’s stay at a hotel.

Leon Logothetis returned to see how James was getting on and found out that he got a job as a barber but had no reliable transport to get to work and was still living in a shelter.

A crowdfunding campaign was set up immediately for James and in 11 days $54,800 was raised.

To show his appreciation, James and his friends dished out sandwiches and other food to people in a local Denver park. He told a local news channel that it feels really good to help and that has a “little tingly feeling going on”.

He mentioned in a Youtube video with Leon Logothetis that he had never thought that a small act of kindness would spark such a huge reaction from the public.

James continued to share his experience with Leon and said that he has had nothing but good experiences since moving to Colorado. He stated that he received help from strangers even before the crowdfunding appeal was launched.

Image Source : The Independent


Crowdfunding Solar For Palestine

Palestine Crowdfunding

Another crowdfunding story that got our attention was from Jonathan Morgenstein, a former U.S. Marine Corps officer who served in Iraq. During his time there back in 2004, Jonathan was tasked with helping to rebuild Ramadi.When the city’s power lines were cut, as you can imagine from the images that were broadcasted back then, chaos reigned; with a strong black market for generators, fuel, and water.

Eleven years later and Jonathan is helping Palestinian people in the West Bank by using solar energy and has set up a crowdfunding campaign called Empowerment Solar.

The Palestinian electricity grid is anything but stable, with brownouts and blackouts commonplace. What electricity is available is expensive, costing Palestinian firms 10.3% more than Israelis and 64.3% more than in the USA. (Energy Matters, November 2015).

The solar energy crowdfunding campaign needs to raise $50,000 to set up operations, train installers and develop its first solar project according to Energy Matters. So far, $4,000 dollars has been raised and has less than a month to go.

Image Source : Andrew E. Larsen


Crowdfunding Messi to Arsenal

Arsenal Messi Crowdfunding

Arsenal fans have taken reports that Lionel Messi wants to a move to the Emirates with a pinch of salt, with one fan comically asking 599,999 other supporters to help pay the Barcelona maestro’s wages. (The Independent, November 2015).

The Daily Star last week reported that Messi would be happy to play his trade in the capital providing The Gunners cough up an astronomical £600,000 a week wage packet for the Argentinian.

After hearing the news, one Arsenal fan (@matt_clarky) offered to set up a £1 direct debit a week to Messi and has asked fellow supporters to follow suit. As seen below.

We love your enthusiasm and forward thinking approach Matt, but we think Messi would look better in a City shirt!


Unfortunately at The House Crowd we can’t help your club invest in buying a new striker during the January Window but we do offer an array of property investments. If this is something that might interest you why not take a browse here.

Image Source : ZeeNews


What Are Your Thoughts?

Which of our chosen crowdfunding stories has interested you the most? We would love to hear from you, feel free to leave us a comment on our Facebook and Google Plus pages. If you prefer to tweet us, tweet @TheHouseCrowd.

In the meantime if you want to know more about Property Crowdfunding do register for our Information Pack which will tell you all about it. 

Register Now For More Information


Property values can fall. Your capital may be at risk & returns may vary. Read our Risk Warning.

The Latest Crowdfunding News

Crowdfunding News – All The Latest Updates


Hi guys this week we once again turn our attention to the latest in global crowdfunding news – you may have missed our last news round up which finished of with Britains Spookiest Street Names! Today we look at an array of stories from looking at Canada’s first crowdfunded real estate deal to looking at the Liverpool Lantern Festival crowdfunding campaign.


Canada’s First Crowdfunded Real Estate Deal Closes


Real estate crowdfunding has been going strong in the U.S. however, in Canada it is still quite a new concept.

Nexus Crowd, a Toronto based investment company mentioned recently that it has closed the country’s first online investment which is offering commercial real estate.

The commercial real estate development is a shopping mall which originally was a car dealership and is based in Mississauga.

The 238,000-square-foot two-storey mall will be anchored by a Tier 1 bank and a large supermarket according to one source.

Nexus Crowd is opening at a time when demand for real estate from everyday investors is growing, you only have to look next door in the States where crowdfunding has raised more than US$208 million over the last two years according to a recent Reuters study. In addition, crowdfunding this year  is set to climb to US$2.57 billion globally. (Financial Post, September 2015).

Crowdfunding as a whole in Canada looks to be on the increase now that security regulators in five provinces have announced a new crowdfunding regime. (Lexology, November 2015). The regime includes two components, a crowdfunding prospectus exemption and a registration framework for funding portals. The new capital raising regime will be available in the following provinces :- Ontario, Quebec, Manitoba, New Brunswick and Nova Scotia.


Crowdfunding And The Beautiful Game

eibar crowdfunding

This isn’t really a recent story as it originally was first reported last year, however, a recent Copa90 video inspired me to add this story and also simply for having a passion for the beautiful game.

SD Eibar who hail from the Basque region in Spain launched a crowdfunding campaign where people can buy shares for 50 Euros each. To cut a long story short, the newly promoted La Liga side needed 1.7 million Euros to carrying on surviving and being able to play alongside La Liga giants such as Real Madrid and Barcelona.

Although the team does not have any debt (which is a rare thing for a Spanish club), the total value of its shares was very low.

According to a law known as Real Decreto 1251/1999, when teams move up from the third to second division, they are required to have dedicated capital equivalent to 25% of the average expenses in that league. (Fortune, June 2014).

Club president Alex Aranzábal mentioned last year that they want to demonstrate that in football, a small club when it handles things well can beat the powerful. As a result, through raising funds from crowdfunding they have maintained their presence in Spain’s top division. Want to know more about this inspiring crowdfunding story? Click here.

Sadly we cannot offer you any shares in City or United up here in Manchester but we have got our latest Coventry Crowdfunded Property Investment available if you would like shares in that?

Image source and access to the full article click here




Chiltern Firehouse Chef Is Rekindling His First Restaurant By Using Crowdfunding

Nuno Mendes Chef

Chiltern Firehouse chef Nuno Mendes has decided to rekindle his first resturant viajante. Mendes plans to raise £1.75 million and those who are hungry to invest into his restaurant project has to pay a minimum of £10, making buying into Viajante accessible for all its fans. Those with a larger appetite for investment get extra perks including guaranteed bookings, free meals, invited to free dining events, plus sneak previews.

Details about what to expect from the new restaurant are still very low key, however, Nuno has revealed that it will serve numerous courses and will bring in a wave of breathtaking tastes and textures in a setting of refined beauty and calm.

If all goes according to plan, the restaurant will be open in August 2016.

Image source and access to the full article click here


Manchester app developer launches £500k crowdfunding campaign


We always love to hear about crowdfunding in Manchester and thought this was an ideal story to add. The company behind Karrot, a loyalty app that aims to help users slash their mobile phone bills while shopping with certain high street retailers, has embarked on a new drive to raise £500k. (Bdaily, November 2015).

Airtime Rewards Ltd which created the app is hoping raise their aimed amount through crowdfunding site Crowdcube in order to help increase its team, build its user base, and attract new retail partners.

The app which was launched last month has already attracted numerous high street brands such as Cafe Nero and H Samuel who have now partnered with the company.

Company co-founder Josh Graham mentioned that he is really excited about where the money raised could potentially lead.

Image source and access to the full article click here


Liverpool Lantern Festival launches crowdfunding campaign

Liverpool Lantern

Staying in the north west, Liverpool Lantern Company has launched a crowdfunding initiative to help raise cash to put on a three-night festival next spring. (Liverpool Echo, October, 2015).

They are hoping to raise £10,000 during the 40 day crowdfunding campaign via Indiegogo.

People who are interested in the campaign can contribute between £3-£100, once contributed, there are perks such as limited edition t-shirts to having a chance of bringing your very lantern home after the festival.

Community groups, schools, and businesses can take part in lantern workshops which will be delivered by the company itself at cost of £600.

Part of the crowdfunding idea is that the company loves community involvement and to really sustain Liverpool’s strong connection with art and culture. We put together an investment guide to Liverpool which may be of interest?


Image source and access to the full article click here


What Are Your Thoughts?

Which of our chosen crowdfunding stories has interested or inspired you the most? We would love to hear from you, feel free to leave us a comment on our Facebook and Google Plus pages. If you prefer to tweet us, tweet @TheHouseCrowd.

In the meantime if you want to know more about Property Crowdfunding do register for our Information Pack which will tell you all about it. 

Register Now For More Information


Property values can fall. Your capital may be at risk & returns may vary. Read our Risk Warning.

Back to the Future

Now that we’re in 2015, we’re waiting for the Back to the Future Part II’s predictions to come into play and when we say some, we’re referring to flying cars and futuristic hoverboards. Imagine how much easier it would be to get to work? You could avoid the dreaded traffic jams during rush hour and rest your little legs if you have to walk to work. Property crowdfunding wasn’t in the mix, but we thought of that one and we bet Doc Brown and Marty McFly are kicking themselves!

Doc Brown and Marty McFly did however get a few predictions right and they are things that we probably can’t live without today including video calling, tablet computers, microwavable meals and having a connected home – wireless internet. Well we probably could, but psychology, we can’t. We live in a world where we rely heavily on the online world, which isn’t a bad thing; we just need to remember that there is a whole world out there that is filled with opportunities, including property crowdfunding.

The House Crowd have revolutionised how us folk involve ourselves with property investments and we’ve made it easier for people to climb the property ladder, and more importantly, given everyone the opportunity to invest via property crowdfunding. We have a free information pack available online, which you can download. It will have all the information you need to understand how property crowdfunding works. You can also register online and stay up to date with all of the latest news from The House Crowd, and be the first to know about our latest property investments.


Property Investments Dominating Home Owners

Latest statistics from the official EU’s bureau Eurostat has highlighted an interesting figure that the percentage of home owners in the UK has fallen to 64.6% and it’s predicted to fall below France’s overall percentage which stands at 64.3%, for the first time.

Other statistics from the Intermediary Mortgage Lenders Association also pointed out that 2.5m homes that were built between 2000 and 2012 entered the private rental sector and out of the 2.5m, only 40,000 were bought by the occupiers. Since 1996, there have been 2.6m additional homes rented out in the private sector and 1.4m financed by buy-to-let loans.

Although more people are venturing into the property investments market causing a decrease in home owners, it’s just one of many reasons as to why home rentals are in higher numbers.

Other factors include high housing prices, stricter mortgage lending, increase in interest rates, the recent financial crisis and more. Of course, we’d all love to own our own house with a garden and a nice driveway, but for some it’s a dream that can be more difficult to achieve. It may sound a little ironic, but opening the front door to the property investments world to begin with might not be a bad idea. Think about it, you would have taken your first step onto the property ladder and you’ll be earning additional regular income along the way, all of which can be put into your savings for a mortgage for that dream house of yours.

I know what you may be thinking, how I can get involved with property investments if I’m struggling to own my own house in which I intend to live in? Well, it’s all rather quite simple; property crowdfunding with The House Crowd.

These figures may seem overwhelming at first, but don’t let it put you off from stepping onto the property ladder and as we mentioned before, investing in a property first might be a solution. For those looking for a simpler, stress free and smarter way to invest in a property, then we can’t recommend enough about getting in touch with The House Crowd today for more information about how our property crowdfunding platform works.

Joint Ventures Property Investment

Joint Ventures Property Investment

Back in 2012, when we were first starting out, we were the first to offer the property crowdfunding investment model. At that time, things were very different to how they are now. Just take a look at this quote from our blog back in March 2012:

“I’ve just been lurking around the property investment forums such as Property Tribes. There seem to be some interesting discussions about joint ventures in relation to property investment but some scepticism about the partners involved, especially as they all seem to charge fees in one way or another.

Not a true joint venture in my opinion.

Hopefully, people will realise we offer a simple, transparent way they can participate in a genuine joint venture and invest in property for mutual benefit.”

This is an example of what we were thinking about back in 2012 when we first launched.

However, since that time, we are pleased to have seen the property crowdfunding market catapult in popularity. Indeed, people did wake up to the simple, transparent joint ventures in property investment that we offered. So, too, did many other property entrepreneurs, who began mimicking our model and setting up their own property crowdfunding and P2P platforms.

Now, the industry is worth billions worldwide. We are proud to have been the first, and still the leaders, in offering a way to invest in a diverse portfolio of property with the potential for high returns.

Find out more by registering with us, or view our property investments directly:

Register Now for more Info

View our Property Investments