Crowdfunding: Privately Financing Britains Real Estate

A skyscraper in Bogota, Colombia; a 95-unit condo development in Manhattan, New York; and funding to get Olympians from the training field in their home towns across to the splendour of the 2016 Olympic Games in Rio. The scope for crowdfunding is just about as broad as the modern economic marketplace itself, and the sectors that are benefitting from this financial innovation are just as wide ranging.

- Rhodri Llewellyn

For my own account, I have contributed funds to the crowdfunding campaign of a private school in the British Midlands, and a scheme of new apartments in the city of Manchester, just to cite a couple, though I could just have easily invested into a restaurant business, a penthouse in London, or even a secondary loan provider. This diversity and flexibility is unquestionably a leading factor in the surge that this sector has enjoyed in recent years.

It should be recognised that crowdfunding is a two-way social interaction, and as the sector has become increasingly mainstream, it’s not just the recipients of the crowd’s funds that are benefitting. The individuals and businesses that place money into crowdfunded loans and investments are enjoying an ever greater choice of, and control over, their personal portfolio investments. This ease in the ability to diversify across sectors, locations and investment amounts, means almost anybody can gain access to investments that suit their personal goals and risk appetite.