LandlordInvest Review: Peer to Peer Lending

As with most other peer-to-peer lending platforms, there is no buyback guarantee in the event of project failure. This type of insurance project is mostly used by credit originator platforms because transparency is very poor and investors need some kind of protection (even if it is weak) to be interested in this type of a company.

At Landlordinvest, loans are given a credit rating based on collateral and the downside to not getting a buyback guarantee is that investors need to exercise due diligence and look at particular ventures as well as take diversification seriously. It is suggested to have over 100 loans to ensure good diversification.

LandlordInvest mostly does residential bridging loans, but also some commercial-property bridging (e.g. loans against pubs and hostels), and residential buy-to-let lending. It also sometimes covers the final costs for completing residential developments. Loans are typically between £50,000 and £500,000, lasting about one year.