Lend Academy Network Forum

Real Estate Crowdfunding => General Discussion => Topic started by: EmilyFoxSeaton on September 10, 2017, 09:27:20 AM

Title: Groundfloor Annoucement
Post by: EmilyFoxSeaton on September 10, 2017, 09:27:20 AM
I got an e-mail from the CEO promising a big announcement on September 12th. What do we think that is?

I am much more bullish on them at the moment.  I have had a ton of homes pay off this month including one that was in default. I now have invested in about 60 properties. And 21 of them have been paid back in full. That was about 1000 dollars as an investment and I got $50 in interest. That is not as good as Lending Club. For my 2000 dollar investment there... I have gotten about $150 dollars in interest.  This is all since January 2017.

The issue seems to be that Groundfloor investments do pay off early a lot. If I immediately reinvest I am all set but, at the moment, they have nothing to reinvest in.

They also announced that they are limiting the amount of money any one investor can put in. I think that makes some sense. But do wonder if it will cause the properties not to be funded quickly.
Title: Re: Groundfloor Annoucement
Post by: Fred93 on September 10, 2017, 03:33:30 PM
I'm guessing they will say they raised some money (equity) to fund expansion.

They've gone back and forth on the size limits for investments.  This latest limit is 5% of a loan, which will cause difficulty for larger investors.  I explained to them the Prosper scheme of limiting any one investor to 10% until the loan has been sitting in funding for 1 day, at which time the limit is automatically removed, and suggested that they might do something like that.
Title: Re: Groundfloor Annoucement
Post by: jheizer on September 10, 2017, 10:09:52 PM
My guess was something along the boring ereit route or a way to auto invest.  Funding is probably much more likely though.

Yeah my cash is building up.  I just checked and I'm at over 10% cash right now.  They best get some more loans out there.
Title: Re: Groundfloor Annoucement
Post by: jheizer on September 12, 2017, 11:39:24 AM

Groundfloor Announces $100 Million Expansion Of Lending Capital With Direct Access Capital

So they have no loans for us to buy and the big announcement is they are selling the loans they do have to someone else?  Snore.
Title: Re: Groundfloor Annoucement
Post by: EmilyFoxSeaton on September 12, 2017, 08:11:58 PM
Gold star to Fred.

Ahh snoozer of an announcement. I truly don't care how they get my investments just get them and have them be good.
Title: Re: Groundfloor Annoucement
Post by: EmilyFoxSeaton on September 13, 2017, 06:08:55 AM
So in a later e-mail to me yesterday they did throw out the idea of loans with monthly interest.

Today we are announcing our partnership with Direct Access Capital (DAC). This is an important development for Groundfloor and real estate investors across the country.

This new partnership has more to offer investors like you than meets the eye. For one, it creates more capacity for us to serve more borrowers. We now have a fresh $100 million to lend for the purchase and renovation of single-family houses in the 24 states in which we operate.

Welcoming our first institutional investor also enables us to offer a greater variety of investment products over time. For example, soon we’ll begin offering monthly payment loans for retail investor participation alongside our traditional balloon payment product.

As a result of this partnership, Groundfloor will gain the financial strength to improve and expand our infrastructure and reach. Our wherewithal to open access for the benefit of individual investors like you grows stronger today.

We’re excited to share this news with you. Read more about it here in our latest blog post. We have many other significant developments in the works as well and will be sharing even more good news soon.  Stay tuned.

We also have several new loans dropping this week, from 14.5%, so make sure your account is funded and ready to go.
Title: Re: Groundfloor Annoucement
Post by: jheizer on September 22, 2017, 07:24:30 PM
More payments today and still no new loans :(