P2P Property Lender Lendy Tops £300 Million. Speed, Security & Low LTVs Key to Growth

By Crowdfund Insider

Peer to peer property lender Lendy has surpassed £310 million in originations with £50 million coming in last 100 days. The P2P lender states that investors and developers are responding to post-Brexit slowdown in bank lending.  Lendy adds that quick turnaround, security and low Loan to Value (LTVs) are key to their growth. Lendy says there are over 16,000 registered users on their site.

Lendy highlighted several UK property investments recently listed on their platform:

  • £7.5 million for the purchase and redevelopment of a commercial building in Marylebone, central London
  • £5.7 million for the development of a major residential building at Liverpool waterfront
  • £2.4 million for the development of a major student accommodation complex in Huddersfield

The platform says it has funded hundreds of bridging and property development loans since it launched in 2012, including residential developments, commercial property, conversions, and farmland.

Lendy adds that developers and investors are looking beyond banks and choosing peer to peer lending platforms to finance their projects. Pointing to their own platform, Lendy can facilitate a loan in a matter of days. They contrast this with bank credit committees that may take months. Lendy states they can finance loans of any size extremely quickly, with loans often oversubscribed by up to 5X. The platform also says their team can quickly evaluate the underlying security due to in-house expertise.

Liam Brooke, co-founder of Lendy, says that an increasing number of property developers and investors are becoming aware of the benefits of financing via P2P lending.

“We have developed a reputation for being able to do deals that other sources of finance can’t – and to get them done fast. Our users’ ability to fund deals of £10 million-plus means that property investors and developers can get the finance they need much faster than they could through a bank. For investors, Lendy offers a blend of returns and security that continues to grow our user base at a significant rate. That shows no signs of slowing down as more individuals become aware of how they can benefit from the limited LTVs and due diligence on our loans.”