What Is BulkEstate?
Bulkestate is a crowdfunding platform that provides investors with access to real estate investment opportunities in development projects as well as unique offers to buy structuring group buying deals to acquire small size (such as one apartment) real estate at wholesale prices. The platform was launched in December 2016 and since then more 2,700 investors have been registered from 87 different countries. So far 39 projects have been funded through the platform and 13 have been repaid successfully. They have an excellent track record in picking loans to fund since no defaults have even been recorded on the platform. Bulkestate is based in Riga, Latvia and Tallinn, Estonia. Minimum investment in a single loan is €50 and all of the loans are listed in EUR.
Rates on Bulkestate are similar to its competitor CrowdEstate (maybe a little higher too). They start at 12% and can go as high as 19%. They also provide incentive payments to investors that are willing to put up large sums. Usually, investors making EUR 10,000 or larger investment will receive 1% incentive payment from the invested amount and investors making EUR 25,000 or more will receive a 2% incentive payment from the invested amount.
All loans on Bulkestate are real estate and property-backed. I like that the Loan-to-Value ratio is usually pretty low (Usually around 50%) and that each loan is secured with a real estate mortgage. They do not provide so much info as CrowdEstate but they do provide all necessary date. The terms of the loans are between 3 and 24 months. There is also an appraisal report available to each loan but they are not available in English, the document is in Latvian or Estonian (I assume), at any case, I can’t read them.
Bulkestate regularly adds large projects and will notify you with an email before they do but they are funded pretty quickly so you will need to transfer funds to your account before the project goes live or else you will miss it. They also list the project on their platform so you can get all the necessary information about the project.
Bulkestate does not offer any form of a BuyBack guarantee as all of their loans are backed with real estate. Loans are granted only for projects, which future value provides a safe exit for investors in case the borrower fails to meet the loan payment schedule. Bulkestate holds all mortgages and executes them if loans default.
Bulkestate offers the possibility of auto-investing. As you can see it’s really easy to configure it. You just up the max investment, min return and max term and that’s pretty much it. You just wait for the project to go live and you are an investor!
Since Bulkestate doesn’t offer a BuyBack Guarantee there is always the risk of the loan’s default. So far, they don’t have any defaulted projects and that’s pretty impressive.
Unfortunately, there is no Secondary Market offered on the platform and there is also no option for investors to exit a project prematurely, so make sure that you will not need the money anytime soon before investing.
Bulkestate is the only platform that gives you the opportunity to buy an investment property after its completion at wholesale prices (Up to 35% Discount). They publish the offer on their platform giving a chance to purchase one or more apartments in the project. The deal is successful if all apartments are bought, meaning that there is a potential buyer for every apartment in the building then a bulk-deal can take place. The potential buyer can arrange a visit to see the property before paying the reservation fee. That might also be a good method for Bulkestate to sell an asset in case of borrower default.
No service fees are paid by the Investors.
Bulkestate Sign Up Process
The sign-up process is pretty simple. You can click here and go through the steps as they are on the screenshots below. You can also sign up using Facebook or your Gmail account. The info requested is very limited and you don’t need to upload any identification documents until you want to withdraw your funds from the platform. The entire process is pretty simple and it shouldn’t take you more than 5 minutes.
Bulkestate’s main competitor is CrowdEstate and EstateGuru as they are very similar in terms of their loan offerings but BulkEstate offers higher returns. Some other competitors are Envestio, Crowdestor and also Grupeer. You can click here to check platform reviews and here to see the bonuses that some of them provide.
Bulkestate Review – Conclusion
Bulkestate is the real estate crowdfunding platform that offers the highest yield. That, in conjunction with the great track record and ZERO default rate make this platform a great option for a diversified portfolio. For me, the only real drawback is the lack of a secondary market or an early exit option, other than that it’s a great platform all around.
If you would like to start investing in Bulkestate I would appreciate it if you could use my referral link.