When it comes to crowdfunded and P2P real estate platforms in the EU, you’ve got a lot of options. Housers, which is based in Spain, is becoming more popular as a P2P lending platform for real estate investment. So, is Housers right for your investment capital? In this Housers review, we’ll go over everything that you need to know.
The basics & history of Housers
Housers is based in Spain, and it started in 2015. Though it mostly focuses on real estate loans in Spain, it’s open to investors from all across Europe.
Since it was founded, it has attracted more than €90,031,959 in investments from 110,376 investors. All deposits and loans are made in EUR. It offers a number of different types of loans, all of which are backed with real estate. This helps safeguard your investment.
Returns at Housers: make 4.5-11% on your investment
At Housers, you can make between 4.5-11% on your investment, depending on the types of loans in which you invest your capital. Since these loans are secured by property, the risk is lower than an unsecured loan, such as a property loan. However, this also means your returns are lower.
Overall, though, Housers offers a good rate for most of its loans. This is especially true when comparing it to other real estate focused P2P lending platforms in the EU. One drawback, though, is that it does not offer that many loans at once. As of publication time, for example, Housers had only 3 open projects that were ready for crowdfunding.
Housers loan diversification: Diverse real estate opportunities
All Housers loans are backed by real property, and it offers three main types of loans. These include buy-to-let, buy-to-sell, and development loans. Each type of loan pays out a bit differently, so you’ll want to make sure you check each one carefully before investing.
Housers does not use any third-party loan originators, and the company handles all of the loans itself. Loan duration typically is at least 12 months, and can be as long as 10 years, so you can set up your portfolio with short, medium, and long-term investments pretty easily. If you’re looking for a P2P lending platform that offers terms of less than 12 months, though, you’re going to be out of luck with Housers.
Housers features: Limited and hard to use
This is the biggest weakness of Housers. It doesn’t really have any good modern features. There is no auto-invest feature, so you’ll have to invest in loans manually. It also has a very high minimum investment of €1,000. This is a bit too much for most casual investors.
It also lacks any kind of buyback guarantee. Since it offers real-estate backed loans, this is not a total deal-breaker. However, it’s nice to have that extra peace of mind, which Housers does not offer.
On the more positive side, it has a secondary market where you can buy and sell money, and you can deposit funds with a bank transfer, or charge your credit card to deposit cash.
Housers user experience: Not awful, but not great
The highest praise we can say about the experience of using Housers is that it’s fine. It’s relatively easy to sign up and transfer money, and navigating the website and viewing loans is easy. Before this Housers review, we were able to get all set up in just a few minutes.
This P2P lending platform just feels a bit clunky and outdated, though. This is especially true when you compare it to other real estate crowdfunding platforms like Estate Guru or Property Crowd. We also had some performance issues while loading multiple pages to view loan opportunities.
Should I use Housers? Risks & recommendations
The biggest risk of using Housers is that your loan borrower won’t pay. If the borrower defaults, you run the risk of losing your investment capital. This risk is lower with the Housers P2P lending platform because its loans are backed by property and collateral, but it’s still a risk.
The other major risk is that Housers could go out of business. Since it doesn’t use third-party loan originators, this would result in serious losses.
However, these risks are present with any P2P lending platform. Overall, Housers is no riskier than any other top P2P real estate crowdfunding platform, so it’s a relatively safe place to invest your money.