LandlordInvest eyes development loan growth
LandlordInvest has lent out more than £17m to date and paid over £1.7m in interest to investors, as it predicts growth in its development loan book.
The peer-to-peer property lender released new data which showed that it had completed 106 loans since March 2017 – including tranches of the same loan – of which 70 have been repaid in full and 36 are currently active.
Bridging loans make up 93.3 per cent of its portfolio, while buy-to-let and development loans are each responsible for 3.6 per cent of its book.
Read more: LandlordInvest finds IFISA returns 6 times more than cash ISA
“LandlordInvest began offering development loans only one year ago and we expect that portion of the loan book to soon exceed buy to let,” the firm said in a blog post on its website.
As Peer2Peer Finance News reported in February 2022, LandlordInvest decided to focus on bridging and development loans, which produce better margins, rather than buy-to-let loans.
The London-based lender also reported in its latest data that the average account value is £9,731, up 8.8 per cent from the same time last year.
The data revealed that LandlordInvest investors put far more into their Innovative Finance ISAs (IFISAs) than their standard accounts, at an average of £17,454 and £6,387 respectively.
However, the largest single investment made by a standard account was more than £330,000 and the largest in an IFISA was over £50,000.
The number of investments held in standard or IFISA accounts is 52.4 per cent and 47.6 per cent respectively.
Read more: LandlordInvest reports revenue boost in 2022
The lender said that there have been 5,518 investor deposits since March 2017, totalling over £14m. When it comes to withdrawals, over 8,000 have been made, totalling just over £11m. This does not include ISA-related transactions, such as transfer in or transfer out.
Read more: LandlordInvest: IFISA investors can earn £409,060 in interest
