Poor risk management
The platform is serious but there is a high proportion of default. Even with a conservative investment strategy, you're likely to lose money.
I invested about €3500, got indeed €380 in interest payments but lost €700 because of the numerous defaults.
I guess that the current economic situation is to be blamed but measures such as better screening should have been taken to avoid such poor results.
Many other investors seem to report the same issue. I'm taking my money away from this platform. I recommend not to invest any money in it.
Svar från Estateguru
Dear Investor,
first, we'd like to acknowledge your frustration with the increase in defaults on the platform of late. Our current focus is on resolving these defaults and recovering our users' funds and we want to assure you that we have the personnel and the processes in place to do this.
We've dedicated additional resources and are working closely with various legal partners to accelerate the recovery process. While progress may be gradual, we are actively taking measures to bring about improvements. One thing that sets Estateguru apart is the fact that our loans are backed by a mortgage on property. This allows us, in the case of defaults, to refund our users from the funds secured by selling the collateral property at auction.
This can take longer in certain markets (such as Germany) due to legal requirements and the associated waiting periods. But we are committed to seeing the process through, and we are beginning to see tangible results.
As a matter of fact, just last month, we achieved a significant milestone by successfully recovering the entire principal amount for a project in Germany. We have also seen recent recoveries in Finland, Spain and Estonia, and we expect more soon.
We thank you for your patience at this time.
Kind regards,
Estateguru