Estateguru, an online investing and originating platform that serves the European market, is reporting a “stable and success” first quarter of the year. Estategura says it funded 178 projects with a loan volume of €23 million and hitting a new milestone of over €700 million in financed loans.
At the same time, approximately 3235 new investors joined the platform.
CEO of Estateguru, Mihkel Stamm, said they see that the real estate market in the Baltic states is revived. He added that developers, buyers nad investors are becoming more active. Stamm said he is “optimistic about the market’s development prospects, but that it will still take time to return to the volumes of a few years ago.”
The rising interest rate environment has boosted activity on Estateguru deliving higher returns for investors.
“Last year, the average annual return of our investors was 8.62%, while the corresponding figure for the first quarter of this year was already 9.56%,” said Stamm.
Estateguru’s assets under management are reportedly €295 million at the end of Q1 2023, which is 16% more compared to the previous year.
A total of over 156,000 investors have joined the Estateguru platform since its launch, financing loans secured by real estate for more than €700 million.
Last week, it was reported that EstateGuru Secondary Market sellers earned €306,500 with more than 65% making a profit.
Estateguru has long been a transparent platform sharing statistics on the loans issued and returns for investors. A statistics page provides insight into the operations of the marketplace. The historical return of Estateguru stands at 10.7% with an average loan size of €132,000.
Estateguru reports that 0.01% of its loans have been written off with an average return of 8.69% for loans that have been recovered after falling into default.
Based in Estonia, their home country is the most active market followed by Lithuania and Germany.
The loans are typically utilized for development, bridge and then miscellaneous business loans. Every loan is secured by real estate with 97.86% backed by a “first-rank mortgage.”