P2P Real Estate Crowdfunding in Cyprus
- Nov 5, 2017
- 2 min read
Cyprus Online (COL), a Cyprus property investment group, has announced a new peer-to-peer lending platform, which will launch soon. Cyprus Online will be providing peer to peer loans secured by mortgages and no loan will be higher than 50% LTV.
The financing model of Cyprus banks is outdated, and they are too slow to change the course as fast as the market demands. Recent years have shown that alternative finance solutions are reshaping the industry, and a major change on stage is inevitable.
Citing global figures on the growth of peer-to-peer lending and alternative asset classes, COL sees opportunity in Cyprus. While the U.S. and the UK both have experienced a massive expansion of crowdfunding and peer-to-peer financing markets, other countries including Cyprus have lagged behind.
Real estate crowdfunding & peer-to-peer financing has attracted a lot of attention from investors, as well as real estate operators in multiple markets.
Equity funds, banks and brokers take a lion’s share in commissions from investors. Besides, the investing procedures are time-consuming and sophisticated, as well as a number of people are rejected the opportunity of investing their capital due to inability of meeting qualification requirements.
COL advocates investment accessibility and simplicity. Our aim is to give the people a chance to put their money to work, as well as to give the Cyprus real estate market the access to crowd capital.
Initially, COL's peer-to-peer platform will not be automated and will provide the opportunity to invest in loans secured by Cyprus properties. COL plans to launch a fully automated Cyprus real estate crowdfunding platform in 2017 and make it available to a much larger audience.
COL is set to make tremendous efforts to ensure security and credibility. Their goal is to provide quality & secure investment opportunities, no junks. All the loans will be secured by mortgages carefully evaluated, and COL will keep its stake in all the loans listed.
COL is headquartered in Nicosia, Cyprus and in the first year of operations, the Group has successfully launched several projects and the loan portfolio has reached EUR 5 million.
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