• Dec. 4, 2016, 10:25 pm

GROUNDFLOOR expands to 12 additional states

Real estate lending marketplace GROUNDFLOOR is expanding to 12 additional states, one year after it qualified under regulation A+. The new states are Rhode Island, Massachusetts, New Hampshire, Michigan, Missouri, Minnesota, Colorado, Arizona, Utah, Nevada, Oregon, and Washington.

Over the past year GROUNDFLOOR funded 102 loans and saw a quintupling of its retail securities sales to $12.5 million. Borrowers returned $5.4 million in principal and interest to investors, which is a 470 percent increase. The weighted average annual rate of return is 14 percent on a nine-month term and there was no loss of principal.

“At a time when we’re seeing alternative lenders buckle under the ebbs and flows of institutional capital, our model contributes to challenge the status quo and accelerate our growth,” GROUNDFLOOR cofounder and CEO Brian Dally said. “The broadest possible base of capital means market-lending rates for the best borrowers and sensational risk-adjusted yields for retail investors.”

“One year later we are still the only peer-to-peer real estate lender open to non-accredited investors,” GROUNDFLOOR cofounder and EVP of Regulatory Affairs Nick Bhargava said. “Last quarter we announced lower rates, while the market trended in the other direction. GROUNDFLOOR is a thriving marketplace because we’re committed to a model that benefits everyone.”

Get Daily Digest

No spam guarantee.

Leave A Comment