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Crowdestate review 2019

Check out our Crowdestate review, and see if the platform is for you.

Review of Crowdestate

Risk/Reward

4/5
We find the return compared to the safety favorable.

Beginner Friendly

3.5/5
The Crowdestate platform is very beginner friendly.

Investor Protection

3.5/5
Crowdestate has made some safety measures.

Return

5/5
Investors get an average return of 17.74%.

We Like

  • Solid investment returns
  • Real estate focused platform
  • Auto invest
  • Secondary market is available

We Don’t Like

  • Only a few projects
  • Lack of diversification options

Summary: Crowdestate provides a perfect opportunity for investors who want to invest in real estate and business loans. With an average return of 17.74%, one also well understands why the platform is popular among its investors. However, the popularity has a backside, which means that it sometimes can be difficult to find enough investment diversification via the platform. Still, the platform is definitely worth a try.

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Last updated: October 13, 2019

Crowdestate review 2019 – Is the platform safe?

Crowdestate, with its long history, is a platform that is hard not to come across. That’s why we decided to find out how secure the platform really is. This Crowdestate review is the result of our investigations.

If you have considered or are considering investing through the platform, we recommend you reading this Crowdestate.eu review. In the review, we will try to give you greater insight into how safe the platform is and for what purpose it is best suited. In addition, we give you some recommendations in this Crowdestate review.

You can, of course, read our full review from A-Z. But if you’re just searching for the answer to something specific, you can navigate our Crowdestate review by using the navigation below. However you choose to read our review, we would like to point out that the Crowdestate.eu review is based on our own opinion, and therefore should not be regarded as financial advice.

Learn about the following in our Crowdestate review:

What is Crowdestate?

Crowdestate is a crowdfunding real estate platform, which allows you to invest in properties from just €100. This means that you can invest in various property projects without having the headache of receive calls from a tenant stating that the toilet does not work.

Before listing a real estate project on the platform, Crowdestate performs a preliminary investigation of the project itself.

Together with other investors, you invest in different projects. It also makes it easier for you to spread your risk to more than just one house.

Before you invest, you’ll get the chance to read some relevant background information on the projects, including a SWOT analysis.

Crowdestate has been around since 2014, which means that it is a fairly mature platform with a longer track record.

What rate of return can you expect?

The average return on investors on the platform is around 17.74%. So you can expect a similar return if you start investing through the platform.

On Crowdestate, you can choose between different projects. It is thus possible for you to invest in projects that suit your particular risk appetite.

At times, there may be a lack of investable projects. So, depending on how much capital you want to invest, it can sometimes be problematic to be fully invested. This may result in you not achieving the return you want. Therefore, it may actually be a good idea to combine the use of the platform with a similar platform like Envestio. Make sure to check out our Envestio review, before investing.

Who can invest via Crowdestate?

Investing via Crowdestate requires that you are an adult. But depending on your financial situation, it is both possible to invest as a private person and as a company.

In general, people from the vast majority of countries can invest through Crowdestate. But due to complex and expensive regulation, it is not possible for people from the US, and some other countries, to invest via Crowdestate. If you are unsure whether you can invest, you can find an overview of the FAQ via their site. Here you can check whether it is possible for you.

Would you like to sign up as an investor at Crowdestate? Then press the button below. You will then be taken directly to their website from which you can create your user. In a very short time you will then be able to invest via their platform:

Is Crowdestate safe to use?

When you invest your money at Crowdestate, it’s not a secret to anyone that there’s a risk associated with it. In general, this is always the case when you invest. But what are the risks associated with investing in their projects you might wonder? In this part of our Crowdestate review, we take a look at what risks you are taking at Crowdestate and what has been done to minimize them.

The main risk

The main risk when investing via Crowdestate probably lies in the investments themselves. Here you run the risk of the projects ends up failing. Here you can lose both your principal and the interest.

However, in the case that a project ends up being insolvent, your maximum loss is the size of your investment plus interest. Thus, you do not run any additional risk than what you invest in the projects.

What happens if Crowdestate goes out of business?

As part of assessing how safe it is to invest via Crowdestate, we have in this Crowdestate review taken a look at what happens if they end up folding:

For starters, Crowdestate has made the safety measure of legally separating their own assets from your and other investor’s assets.

So instead of your investments being hold by Crowdestate itself, your investments are held by a so-called Special Purpose Vehicle (SPV). This ensures that your assets will not be lost in the event that Crowdestate goes bankrupt.

Should Crowdestate end up going bankrupt, investments can be transferred to a management company.

So this means that your assets are well secured – even in the event that Crowdestate goes bankrupt.

Conclusion of our Crowdestate review

As a conclusion to our Crowdestate review, we believe the platform’s security is okay. The company has done its part to secure your investments.

As you only get exposure to real estate, it may be a good idea to use the platform along with a platform like Mintos. If you use these two platforms in a combination, you get both exposure to real estate, but also ordinary consumer loans. So it’s a good way to spread your risk. Check out our Mintos review if necessary.

Our probably biggest reason not to invest via the platform is that there is often a shortage of projects. This is because the platform is quite popular among P2P investors, which means that new investments are quickly being fully subscribed. If your goal is to invest in real estate, we recommend that you complement with platforms like EstateGuru, Bulkestate, and ReInvest24, if you can’t get enough money invested through Crowdestate.

Are you ready to invest through Crowdestate after reading our Crowdestate review? Then by clicking on the button below, you can be taken to their website. Here you can create yourself as a user and start enjoying the investments you can make at Crowdestate: