Patch of Land, a crowdfunding solution for real estate financing that brings together borrowers and lenders through an online platform, announces today that the largest ever, entirely crowdfunded residential home loan was fully funded on its website.
The Covered Wagon Investment Group, boasting over 60 years of real estate and property development experience, purchased the 16,000 square foot suburban family estate in Arcadia, California with plans to renovate and increase its value to $3.3M.
Jason Fritton, CEO and Co-Founder of Patch of Land, announced:
“We are proud to announce that in under four weeks, Patch Of Land has funded the largest ever crowd-financed residential home loan valued at just under $1.9M entirely through individual accredited investors. Though Patch of Land pre-funds every loan, the speed at which loans have been funding, and how quickly our company and industry continues to grow, affords us great confidence that this will not be the last deal of its kind.”
The Arcadia home sits on a one third acre plot and will be increased to 4,800 livable square feet. The $1,890,000 loan was fully funded as of May 20th through 63 investors from all over the country, each of whom played an integral part in the funding process. Other highlights include:
- Over 1/3 Acre of Land (15,935 sq. ft.)
- Appraised at $3.3M w/ Renovations
- 4 Bedrooms, 3 Baths, 2 Stories, 14 Total Rooms
- 3-Car Garage
- Premium Finishes
Patch of Land recently funded an Elizabeth, New Jersey multi-family property in less than an hour. Recent rapidly funded loans include the following properties:
- 223 S. 2nd St., Elizabeth, NJ 07206 – $160,000 funded in under one hour
- 1336 Downs Ave., Charlotte, NC 28205 – $100,000 funded in 4 days
- 7373 E. Fremont Dr., Centennial, CO 80112 – $264,000 funded in 4 days
With Patch of Land’s prefunding first mechanism, borrowers are able to get their funding right away, and then investors can review the loan and project before making a determination of whether they want to invest. In the case of Arcadia, the borrowers did not have to wait 30 days to receive the money; they have already begun the rehab process on the property and investors have already begun to accrue interest.
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