The Latest Crowdfunding News – 27/4/16

Crowdfunding News – All The Latest Updates

Hi guys and welcome to another fortnightly edition of the latest crowdfunding news from the UK and around the world. Today we start our crowdfunding journey from looking at a government backed crowdfunding scheme for cultural organisations to ending our trip on a golf course in Scotland! If you missed our last crowdfunding news round-up, catch up here.

 

Government To Pilot Crowdfunding Scheme For Cultural Organisations

The Culture White Paper

The Government has announced that it is to pilot a crowdfunding scheme to promote use of the model by cultural organisations. (UK Fundraising, April 2016)

The pilot scheme was mentioned in the government’s white paper for culture which was launched by Minister for Culture Ed Vaizey last month. The white paper for culture focuses on two specific areas, 1) to focus on increasing participation in culture and 2) helping cultural organisations secure funding from sources other than public funding.

The white paper mentions that the Government will launch a new pilot scheme in partnership with the National Endowment for Science, Technology and the Arts, Arts Council England and the Heritage Lottery Fund and will use crowdfunding as a tool for funding cultural projects.

According to the paper, donation-based crowdfunding grew the fastest among all alternative finance models in 2015, with a 507 per cent year-on-year growth rate and £12 million distributed. (UK Fundraising, April 2016)

Image source : UK Fundraising

 

Australian Crowdfunding Bill Fails

Australia Crowdfunding

We’ve previously mentioned about Australian crowdfunding on past crowdfunding news blog posts (in one of our posts from March we looked at crowdfunding legislation for start-ups).

In addtion, in our March blog post we looked at new legislation that allows unlisted public companies to raise money through crowdfunding from mum and dad investors which was approved by the lower house.

However, the Crowd-Sourced Funding bill, Australia’s push for a legislative update for investment crowdfunding regulations, has silently died in the Aussie Senate as mentioned in a recent Crowdfund Insider article.

Tom Nockolds from the Community Power Agency who was part of approving the legislation process mentioned in Crowdfund Insider : “If the legislation had passed in its proposed form, there would have been a lot of backslapping within government saying, isn’t it wonderful we’ve solved the crowd-sourced equity funding problem and we don’t have to address that anymore, when actually it would have only been half the job done at most.”

It seems for now that regulations will take a back seat as the Australian government focuses on policy initiatives based on the country’s fintech scene.

 

World’s Most Crowdfunded Restaurant Opens In Manchester

Chilango Manchester

From leaving the southern hemisphere to now travelling back to sunny Manchester for some Mexican food!

The London-born Mexican eatery Chilango has opened its 11th UK restaurant in Manchester’s Oxford Street after raising £3.4m from crowdfunding.

The Mexican eatery was created by Chicago-born Eric Partaker, and travel enthusiast Dan Houghton; a pair of passionate entrepreneurs who had an idea and watched their business grow rapidly.

Partaker told Business Quarter : “We’ve been desperate to expand our brand across the UK for some time now, and Manchester was the natural move up into the north for us.”

He also mentioned that Manchester was a perfect place for the brand as it has a fantastic buzz just like their Mexican restaurant.

At The House Crowd, unfortunately we can’t help you crowdfund your very own restaurant, however, we can offer you some handy Manchester guides (North and Central).

Image source : Business Quarter

 

More People Turning To Crowdfunding To Cover Trips Abroad In U.S.

Crowdfunding Travel

A recent survey from GoFundMe showed that there has been an increase in people using their site to help them raise money to go on trips. Six years ago, there were 135 campaigns with the goal of going abroad. Last year, there were more than 130,000.

Laniya Hooks, a senior in high school, is one of the people turning to crowdfunding to raise money for a trip to Europe. She is going to Spain, France and Italy. It’s a 19 day adventure with People to People where she will meet others abroad, help them and learn about their cultures. (WIVB, April 2016)

She decided to go on her trip a few months back, however, her father and grandmother passed away suddenly, which left the family with a lot of financial difficulties.

The 17 year old student from Buffalo decided to use crowdfunding to help her fund her trip.

Hooks told WIVB : “It’s kind of intriguing to me to see how people will help somebody they don’t even know achieve their dream, “I think it’s cool that people are helping. I chose GoFundMe because — I’ve never used it before — but I saw it work for somebody else so I thought well maybe I will give it a try and see what it’s like.”

The Buffalo student has so far raised $300, her goal is to reach $2900. If you want to help Laniya fund her trip, get involved here.

 

The UK’s Most Western Golf Club Turns To Crowdfunding

Golf Scotland Crowdfunding

One for all you golf lovers out there! The UK’s most westerly golf course, Barra Golf Club, on the west coast of the Isle of Barra, in the western isles of Scotland, has turned to the internet in an attempt to raise about £30,000 for a much-needed clubhouse. (Golf Club Management, April, 2016)

The club was formed in the early 90’s and is run with little financial support, other than membership fees and an honesty box. A few months back, the second green collapsed due to erosion. In addition, the nine-hole course that overlooks the Atlantic Ocean provides no shelter for players.

Club volunteers need help to fund a small clubhouse which will provide warmth and shelter, a kitchen, WC facilities and storage. Funding for the clubhouse will also help youngsters who are keen golfers on the island. Club captain Murdoch MacKinnon mentioned in Golf Club Management : “These youngsters are the future of the club. If we don’t get some kind of clubhouse built, I fear it will close and that would be a huge shame and a big loss to the island.”

Last year in Germany, a golf club raised €500,000 from crowdfunding which helped expand its facilities.

Have an interest in golf and crowdfunding want to help the Barra Golf Club? If so, get involved here.

Image source : Crowdfunder

 

 

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 News Round-up 9/3/16

Property News Round-up 9/3/16

 

Hi guys and welcome to another fortnightly edition of our property news round-up. As usual we will be looking at the latest goings-on in the domestic property market from looking at various house prices around the country to the sobering prospect of Brits having to face on average a three year wait before they can afford a property. If you missed our last property round-up, feel free to catch up here.

Average London Home Is Worth Nearly Triple Those Across England & Wales

 

London Property

New figures reveal the change in house prices over the past year and highlight the regions with the fastest growth in Britain. (Homes and Property, February 2016).

It was revealed that house prices in the capital have risen by nearly 14% with the average house worth three times that of houses in the rest of the country.

In other parts of England and wales, an average property price is around £192,000, in contrast, in London, the average cost will set you back over £530,000.

According to the Land registry, London and the South East have performed strongly with capital figures at 13.9 per cent and 10.7 per cent for the South East respectively.

In addition, the South West prices rose 6.2 per cent this year, cities such as Bristol saw house prices rise to over £220,000.

Moving onto the north, the North East showed the smallest price increase of just 0.2 per cent, cities such as Sunderland fell by 3.2 per cent.

However, on Tyneside, Newcastle had the highest monthly price rise in the north east, with an increase in January of 2.1 per cent to just over £123,000.

In the North West prices grew by 2.1 per cent, Manchester once again showing signs of buoyant growth at 5.6 per cent.

 

Study Shows Third Of £1m-Plus Homes Paid For In Cash Since 2011

Expensive Homes UK

According to research, about a third of homes sold for £1m or more in the UK have been paid for in just cash in the last five years.

Cash buyers have spent more than £63bn in total on £1m-plus homes in England and Wales since 2011, spending on average £1.75m for a property. (Guardian, March 2016).

The research comes after a report from a high street lender predicted that the number of properties in the UK worth £1m or more would more than triple by 2030. Currently, less than 500,000 homes across the country are valued at £1m plus.

The house price analysis which was conducted by Bower Private Clients (BPC) also found out that almost two-thirds of cash buyers bought in London where the average spend per property hit £1.89m, but southern and eastern England also saw high numbers of cash buyers for £1m-plus homes.

Moreover, the Essex based company revealed that their research showed that in London, 22,852 properties costing £1m-plus have been bought for cash since 2011, and 7,864 elsewhere in the South-East. Heading north, there were 641 properties that were priced at £1m-plus and 239 in Yorkshire and Humberside respectively.

Property Investment Is Growing At A Greater Rate In The North East Than Anywhere Else In The UK

North East Investment

Investment in property is growing at a greater rate in the North East than anywhere else in the UK, with investors snapping up more than £1bn worth of commercial property in the last year. (Chronicle Live, February, 2016).

Commercial property experts CoStar revealed that investment volumes within the North East grew by 32% – the largest percentage increase of any UK region.

Gavin Black, chairman of the G9 Group of chartered surveyors told Chronicle Live the North East 2015 total of £1.06bn was almost double the £524m annual average over the last eight years.

He went onto to say that by any judgement this is impressive and that investors are increasingly searching beyond the capital for value and within the North East there is good value as well as asset management opportunities. Investors are always keeping a close eye out on lucrative deals in the region.

 

Property Sales In Scotland Up 4% In 2015

East Renfrewshire Property

We now leave the North East and travel to the north of the border to look at the Scottish property market.

A new analysis report points out that residential sales in Scotland increased by 4% in 2015, which were well below the 11% recorded in the previous year.

The report which was conducted by Savills indicates that tougher mortgage lending conditions during the first half of 2015 impacted the recovery of Scotland’s housing market, but the property market adjusted during the second half of the year due to a recovery in mortgage lending for house purchases across Scotland, which increased by 9% from 59,500 in 2014 to 64,800 in 2015. (Property Wire, March 2015)

East Renfrewshire (pictured) witnessed the strongest annual growth in the number of transactions during 2015 at 13% due to the good schools effect. Glasgow, West Dunbartonshire and West Lothian also performed well and experienced high transactional growth during 2015.

The number of transactions at £1 million and above reached its highest level since 2008. Savills report showed that Prime markets in suburban and commuter areas across the country’s Central Belt performed strongly last year, with growth spreading out from core urban hotspots.

Faisal Choudhry, director of Savills Scottish Research mentioned in Property Wire that the upturn in demand is driving an improving development land market. Sentiment for development land in Scotland’s cities remains a positive one.

Are you interested in Scottish property investment? If so why not visit our property investment in Scotland page.

 

Brits Face Waiting An Average Of THREE YEARS Before Buying First Home

House Buyers UK

A sobering thought… BRITS have to wait an average of three years before they can afford their first home, according to new research. (Express, March, 2016)

The biggest barriers involved include high prices, saving for a deposit and other costs associated with buying or moving house.

Recent research shows that one in two people want to buy their first home or move up the property ladder.

Moreover, six in 10 say they will have to wait 12 months, while 21 per cent worry they may never afford to buy or move home.

Price comparison site GoCompare found out that those who were thinking of buying or moving home have been doing so for an average of 3.2 years.

The sheer lack of availability in the area they want to live, job insecurity and the costs such as mortgage payments, as well as bills have been the main barriers for people. Also, saving for a deposit has been a huge hurdle for many.

GoCompare’s product development manager Matt Sanders told The Express : “Affordability is a big concern for both first-time buyers and those wishing to move-up the property ladder. House prices are increasing due to rising demand and lack of supply. (Express, March 2016)

He also mentioned that with house price inflation exceeding wage growth it’s even tougher to save enough money for a deposit – as a result has potentially put homeownership out of reach for many people.

Are you looking for an alternative and an accessible way into the property market and are thinking about getting involved in property crowdfunding? If so, why not take a look at our Property crowd funding- how it works page for more info.

 

What Are Your Thoughts?

Which of our chosen property 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

 

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