P2P Lending / NFT Lending Forum

I called Prosper and they are changing their requirements for loan origination. They did not get specific but indicated that volume will be back starting In November.

It seems many folks on the forum have been disenchanted with Prosper and Lending Club for various reasons but mainly returns. I continue to invest in these sites but do not allocate any "new" money since my returns have steadily gone down over the past few years.

Most of discretionary income goes towards Real Estate Crowdfunding sites and I have done much better from a return perspective than I do in Consumer loans. It is still early in this genre but patterns are developing and there are clear leaders in the industry.

Please check out my review below................

https://investorjunkie.com/47367/p2p-real-estate-crowdfunding-comparison/" class="bbc_link" target="_blank">https://investorjunkie.com/47367/p2p-real-estate-crowdfunding-comparison/

Realty Mogul  - https://www.realtymogul.com" class="bbc_link" target="_blank">https://www.realtymogul.com
Real Crowd -- https://www.realcrowd.com/" class="bbc_link" target="_blank">https://www.realcrowd.com/
Fundrise - https://fundrise.com" class="bbc_link" target="_blank">https://fundrise.com
Lending Home - https://www.lendinghome.com" class="bbc_link" target="_blank">https://www.lendinghome.com
Patch of Land  -https://patchofland.com
Peer Realty - https://peerrealty.com" class="bbc_link" target="_blank">https://peerrealty.com

All require the investor to be accredited

There are a ton of people who could help you thru this website. I would definitely reach out to Peter or Ryan to help narrow your focus. I would also visit sites like:

http://www.biggerpockets.com" class="bbc_link" target="_blank">www.biggerpockets.com & http://www.crowddd.com" class="bbc_link" target="_blank">www.crowddd.com for real estate

http://www.investorjunkie.com" class="bbc_link" target="_blank">www.investorjunkie.com & http://www.lendingmemo.com" class="bbc_link" target="_blank">www.lendingmemo.com for reviews and feedback on crowdfunding sites

http://forum.lendacademy.com/index.php" class="bbc_link" target="_blank">http://forum.lendacademy.com/index.php ---this index provides a plethora of sites which can help you with analysis.

Good Luck

If you are looking into some good analysis of the major players in Real estate P2P sites, visit the site below:

https://investorjunkie.com/reviews/crowd-investing/" class="bbc_link" target="_blank">https://investorjunkie.com/reviews/crowd-investing/

If interested in getting feedback on specific opportunities at these sites from people who invest in this market go to:

https://www.biggerpockets.com" class="bbc_link" target="_blank">https://www.biggerpockets.com

I have been investing in this market for almost 4 years now with much better returns then Prosper and LC. If you are looking purely for bridge loans, Lending Home has better investor returns and higher inventory then Peer Street(must be an accredited investor). If you want a site that provides a mix of debt, equity, consumer and commercial loans,  then Realty Shares is the destination. Interested in REIT's.... Fundrise and Realty Mogul have transitioned in the past year to these platforms. Lastly, if you want someone else to do the home work and provide diversification across many P2P real estate sites then visit Alphaflow.

The great thing about AlphaFlow is they allow one to synch the data from multiple P2P sites at their site so you can see a visual dashboard of all of your Crowdfunding activity.

Good Luck

All:

I'm curious to find out from the faithful what is the number one criteria or filter that you use for Prosper and LC.

I used to use a number of filters and programs to see which would yield the best results. I have hit or missed on a bunch of them but nothing has been consistent except for one. In the past two years, my one and only filter that I have been using is "Previous Prosper loans". I look at borrowers that have successfully paid their loan off and do not have one currently and my results have steadily increased. In fact, my portfolio has gone up almost a full percentage point while my LC returns have dropped a full point over the same time horizon. I have been clamoring for this same type of filter at LC but I'm not getting to the right people or they are just not interested in adding this filter.

I know there are folks who frequent this site who may be able to do some backtesting to validate what I have experiencing. If the results are higher than a typical investor then hopefully we can get a few more people to reach out to LC and see if they can add this filter.

Thanks

I agree with RawRaw/Fred93 that the P2P RE sites all carry risk bur risk is a relative term. I am big proponent of P2P RE and have been investing in this alternative space for 42 months. I know what you are thinking........this is a very short window to determine if this is a good long term play. However, reading your thread I assume your an accredited investor and  I think it is a good idea to try it out and see what happens. Start small and add/subtract based on your results. I have done 110 deals on 8 different sites with 60 deals completely closed. I have lost principal in only two cases and yet my overall return is north of 10%.

I feel the best overall site right now is Realty Shares which gives you Debt/Equity & Commercial/residential opportunities and solid returns. Lending Home/Patch of Land are good for debt positions and short term turnarounds. Most of the deals on the debt sites are done within 12 months so it is pretty easy to get your rate of return.

I used to invest heavily in Fundrise and they were one of my favorite sites until they shut down their interest in specific properties and channeled all their efforts into the eREIT.  Their fees are higher than other REIT's that I invest in so I no longer have any interest in Fundrise.

Another way to participate and potentially spread your risk further is using AlphFlow. The guy who started this site left Realty Shares and created a fund that invests in multiple P2P RE platforms. In addition, this site is awesome if you want a single dashboard for all of your P2P websites. 

Good Luck

Here is my review for those who are interested in the P2P real estate vendor landscape. Again, this is not for all but it may help for those considering this outlet for alternative lending...............

https://investorjunkie.com/47367/p2p-real-estate-crowdfunding-comparison/" class="bbc_link" target="_blank">https://investorjunkie.com/47367/p2p-real-estate-crowdfunding-comparison/

I have been investing in P2P Real estate sites since early 2013. I am an accredited investor so this response may not be applicable to everybody. I have reviewed 50 sites, tried 12 different platforms and have settled on 5 to 6 main sites for my P2P real estate investing.

Currently, I have invested in just over 100 deals with 60% debt positions and the remainder equity. Almost half of these transactions have been fully completed (principal & interest) with very good monetary gains. Of the 45 or so completed deals, the average return has garnered a 9.75% annual yield which is roughly 1% higher then my 8 years of returns thru LC/Prosper. The amazing thing is that I have yet to lose any principal which I cannot say the same for in my consumer lending experience.  I know many long time Lend Academy bloggers think that this type of platform is too risky but I have had good results thus far.

Below are the list of companies that I have spent the most time with in the past 3 years:

o   Realty Mogul
o   Patch of Land
o   Ifunding
o   Realty Shares
o   Fundrise

I will have a blog out next week to review these companies against each other.......

Anil,

Excellent work on your diagram. I have a question for you. I know you have been a long time advocate of marketplace lending but I have not seen you comment on marketplace real estate lending. Would your percentages change if P2P real estate was added to the mix? I have done 8 years with Prosper/LC and 3 years with various Real Estate marketplace lenders and my percentages are roughly 2% higher on overall return.

I was just curious to see what your thoughts were on the subject matter.

Kind Regards, Jack