As the UK economy recovers, interest in property development is also recuperating. Thankfully, however, the opportunities are now open to all with the concept of property crowd funding becoming increasingly popular in the UK, started by The House Crowd in 2012.
It is flattering for us that there are now around 5 property crowd funding websites dealing with buy-to-let residential property, each offering a slightly different business model but based around the same concept that the crowd funding company acts as the central point between the owner, developer, landlord, letting agent and a number of individual investors wanting to buy property as part of the crowd.
The House Crowd and some of the other UK online platforms are looking at commercial property for crowdfunded investment, already being done in the US. Traditionally seen as more risky, obviously more expensive and therefore unattainable, crowdfunding is making this accessible and offering higher returns.
A major reason for the rise in people following The House Crowd suit, is the Financial Conduct Authority’s (FCA) new regulatory rules on internet crowd funding which came into effect on 1 April 2014, in summary, ensuring that platforms must be fair and not misleading; risks should be highlighted; systems must be in place to separate the crowd’s money from the platform, all of which we do here at The House Crowd.
So, to be part of the bright future, why not invest with the first property crowdfunding company to find out how click here.