We’ve all heard a lot about the crowdfunding revolution when it comes to funding big and small for startups, small businesses, socially responsible ventures, and the like. But what about when it comes to real estate?
Keep your eye on this trend in 2013 – it might just spread like wildfire.
How Peer-to-Peer Lending Grew
The real estate crowdfunding story began with lending. “Peer-to-peer” networks like Prosper.com created a forum that allowed people who needed to borrow money with people who wanted to lend it – at a substantial interest rate.
Despite some big default numbers – par for the course with small, unsecured business loans of this type – Prosper was a roaring success, with over $437 million in funded loans to date.
Read More at Nerd Wallet