Peer-to-peer property lending platforms have repeatedly highlighted that they are well placed to support small- and medium-sized enterprise (SME) housebuilders and help tackle the housing crisis.
Recent statistics in the sector shows how vital this support really is.
Just last week, Sirius Property Finance revealed that the estimated share of homes built by SMEs across England fell from 193,810 in 1988 to just 162,470 in 2017.
Meanwhile, the cross-party Lords built environment committee’s ‘Meeting housing demand’ report concluded that the government must address the barriers that exist to building new homes and increase housing supply.
Here Peer2Peer Finance News lists some of the UK P2P platforms that can support SME housebuilders with development or bridging loans, in alphabetical order.
Assetz Capital is the largest P2P platform by loanbook size that is open to retail investors.
The platform has provided £1.4bn through retail and institutional funds, including through the coronavirus business interruption loan scheme, to SME housebuilders and is now also delivering finance under the recovery loan scheme.
Blend Network, which gained approval for direct authorisation from the Financial Conduct Authority last year, has funded £32.7m to SME housebuilders since it was founded in 2016.
Earlier this week, Blend debuted a new property refurbishment loan to help support housebuilders seeking to renovate old properties.
The P2P property lending platform has maintained its record of zero losses while continuing to support SME housebuilders.
CrowdProperty has funded £372.59m in total with 100 per cent capital and interest payback.
The platform had a huge year in 2021, launching in Australia after an AUS$1.5m (£810,000) fundraise and winning several industry awards.
Folk2Folk is the second largest UK platform in terms of the size of its loanbook.
This month the platform exceeded the £500m lending milestone, after deploying a record £108m to businesses including SME housebuilders during 2021.
Invest & Fund
Invest & Fund had a busy year 2021, continuing to provide record lending amounts to SME property developers.
JustUs supports SME housebuilders and other home-grown businesses, and has lent £17.6m altogether with zero capital losses.
The British Business Bank became a minority shareholder in JustUs in December, in a transaction which values the P2P lending platform at £50m. It is planning to launch into the US later this year.
Kuflink reached profitability in the 12 months to 30 June 2020.
Then the platform, which provides development and bridging finance to SME housebuilders, reported a profit of £295,191 in the year ending 30 June 2021, a rise from £239,607 during the previous 12-month period.
LandlordInvest has a loanbook of £13.15m, £9.8m in capital repaid and £1.29m earned by investors.
Loanpad, which supports SME property developers, has £98.85m in total live loans and no capital losses to date.
Chief executive Louis Schwartz has said he expects the platform to achieve “steady stable growth” this year since reaching profitability month-on-month from June, despite posting an overall loss of £69,713 in 2021.
The property platform provides property development, refurbishment and exit loans.
Nexa Finance had previously reported a busy few months during the pandemic in 2020.
Simple Crowdfunding conducts both P2P and equity investment in property loans.
Last summer, co-founder Atuksha Poonwassie said the P2P property lending platform was planning to launch new property development loans soon, having paused new lending since November 2020.
Shojin Property Partners
He has previously revealed he saw the platform, which supports SME housebuilders, going public or being bought out in three to five years’ time.
SoMo has lent over £196m to SME developers, without any capital losses.