As always, I would like everyone to know that this is an 100% impartial and unbiased review of Crowdestor.
What is Crowdestor?
Based Riga, Latvia (the company is incorporated in Tallinn, Estonia), Crowdestor is a crowdfunding platform, which offers the opportunity to invest directly in real estate and business projects. In every project on the platform, Crowdestor is involved as co-financiers and/or co-developers, this ensures accountability from their development partners on behalf of their investors. You can start investing from €50 with an annual interest rate from 12%. All loans are listed in EUR.
My personal average is 15.67% and most of the loans on Crowdestor offer high yields that can be as high as 19%. There was also a cryptocurrency mining farm project that has since been paid back and was yielding 36%! Keep in mind that you start earning interest from the moment you invest in the project and not when minimum funding target is reached.
All loans on Crowdestor are for business loans and vary from development projects and restaurants to cryptocurrency mining farms. The terms are from 3 to 18 months. Also, as you can see in the picture above, the platform gives you a fair wanring before a projects is live to transfer funds in your account.
Crowdestor offers a limited selection of loans, usually, not more than a couple on any given timebut their size is decent.
Crowdestor introduced its BuyBack Guarantee on March 1st 2019, for more information, click here.
Crowdestor does not offer the option of auto-invest but this is not a real issue since projects are limited and fairly large. Also, you will get a notification email when projects are about to be available.
Now that Crowdestor introduced its BuyBack Guarantee the risk is whether its provisional fund is enough to cover the default . So far, no defaults have been recorded on the platform but then again, it’s a new platform. For more information about the risks from peer-to-peer lending activities please check the “What Is Peer-to-Peer Lending” article.
There is no Secondary Market offered on the platform.
Crowdestor charges no fees for investing in their platform.
Crowdestor Sign Up Process
The sign up process is pretty standard. You can click here and follow the steps as shown on the screenshots below. You will also be required to upload a picture if your ID card. Sign up process is pretty quick and will take about 5 minutes but then you will have to wait for about a day before they verify your ID card so you can transfer funds to your account.
Crowdestor’s main competitors are Envestio, Kuetzal, October, also, CrowdEstate, EstateGuru, BulkEstate and Grupeer. You can click here to check platform reviews and here to see the bonuses that some of them provide.
Crowdestor Review – Conclusion
Crowdestor offers a decent alternative for platforms like Envestio and Kuetzal, however, if I only had to pick one, it would be Envestio since they are operating since 2014 and have a proven track record (Envestio also has a bonus program for new investors). Although, if you want to diversify away from Envestio or it has a shortage of projects you are interested in then Crowdesor is a great option for you. You can also check their website here.
If you would like to start investing in Crowdestor I would appreciate it if you could use my referral link.
If you would like to add something about Crowdestor please leave your comments below.
Until Next Time,