Primary Market

EstateGuru Premium will not affect the position of the platform’s retail investors – we will ensure that a suitable proportion of the loan is always left for the retail investors. However, the Premium program will enable us to plan the platform’s loans better and increase the volumes. Also, to decrease the syndication period of the loan and thereby increase the average return for the investors.

All investors who’s investments exceed €100,000 and who express the wish to join can become a member of EstateGuru Premium.

EstateGuru Premium is a membership created for the platform’s investors. The membership is available for all investors who’s investments exceed €100,000.

EstateGuru investors can earn an extra bonus by inviting their friends, acquaintances, and family members to join the platform. To receive your bonus, you should share your personal referral code (your EGU code) with the potential new investor. You can find your code at the top of your virtual account page or under the referral program sub-menu in the account settings section. For each new investor who joins and provides your code, we will give you a 0.5% bonus on any investment they make in loans that achieve funded status within the first three months after their account activation. Once the project the friend invested in gets funded, the bonus will be credited to your investment account. The same bonus is given to your friend, who also earns a 0.5% bonus on their first three months of investment.

The loan is in "open" status if the syndication period is ongoing and investing in the loan is still possible. Once the loan is full, the loan is placed to "fully invested" status.

To invest on the platform your bank account needs to be verified. Hence, the first deposit needs to be done from the investor's personal bank account (SEPA payment). If you have made the first deposit from your personal bank account but investing is still not possible, please contact EstateGuru customer support.

Users are welcome to make their deposits to EstateGuru via SEPA payments, LHV bank link, but also through third party service providers such as Transferwise, Lemonway and Paysera. A user's first deposit is the means to verify the bank account, hence the first deposit needs to be done from the investor's personal bank account! If you are using the Transferwise service, please make sure you are using a multi-currency account for your deposits. More information can be found here and here. Attention should also be paid to the countries where such accounts cannot be opened - you will find the countries listed here. Please be aware that EstateGuru only accepts EUR currency.

Once a loan is in "fully invested" status and has not reached the notary transaction just yet, then all adequate investments are marked in investors' portfolios as "reserved" funds.

"Pending" status indicates that the funds have been raised to finance the loan, however the notary transaction has not occurred yet. Normally the notary transaction will occur within 1 week from the end of the syndication period, however according to EstateGuru's loan terms the interest calculation will begin by end of 15 calendar days + 10 working days from the end of the syndication period.

Projected LTV represents an LTV figure that EstateGuru's team is willing to offer for this particular project as a maximum. This indicates that within the next upcoming stages of the loan the LTV of the loan might increase up to the projected LTV figure.

Many developers face the challenge in which the current value of their development object does not enable them to raise the capital that is needed to complete the development object entirely. As EstateGuru only lends against the current value of the collateral not the future value, then for development loans we often make use of the stage financing method. This means that when the first investment round of an object enables the borrower to increase the collateral value of the property by developing the object further, then in the context of the given LTV the investment amount can increase via next stages of the loan. All loans are funded solely based on the current value of the object and a precondition for every stage is a new updated valuation report of the collateral.

Development loan is a loan used to finance the development's planning process or the development/construction of the property itself. A bridge loan is a short-term loan used to meet current obligations before securing a permanent financing option, enhancing the value of the property or selling the underlying asset. A business loan is a loan used to raise capital for supporting the day-to-day activities of the firm, business expansion, acquisition of equipment or goods, cover pending obligations (taxes, etc.). Despite the loan type, all EstateGuru's loans are secured with a mortgage.

The interest that you receive from borrowers is gross income, which means that EstateGuru does not deduct any tax from the amount. All interest earned from loans is treated by tax authorities as investment income and thus subject to income tax. Investors have the possibility to postpone paying the income tax by investing through a juridical entity, but will still be liable for tax. EstateGuru does not provide tax-related advice and recommend that you turn to a local tax advisor for additional information.

Yes, the interest rate paid by the borrower is fixed throughout the loan period. The payment frequency and interest rate can vary depending on the loan type.

The aim of inspecting the borrower is to assess the company's ability to pay back the loan. We do a thorough investigation of the borrowers’ background, creditworthiness and current obligations. If applicable, the business plan and financial statements will also be investigated.

In case the borrower wants to extend the loan period, EstateGuru will investigate the reasons and assess the situation accordingly. If the loan period is to be be extended, the borrower will be obliged to pay a fee to cover additional documentation expenses.

As soon as the borrower is late in repaying an instalment, we will make contact on behalf of our investors to find out the reason behind the delay. In case of a delay, the borrower shall pay an indemnity specified in the general loan terms. When the borrower faces financial difficulties, we will try to find the best solution for both parties. If the borrower is unable to repay the loan, we will cooperate with our debt collection partners and security agent to recover the debt.

You will start earning interest after the required documentation and creation of pledge is completed.

We do not pay interest on uninvested funds. To get the best return from using our platform you should invest your money into open projects to minimize uninvested funds. EstateGuru also has an Auto Invest function which will take care of your investments without you having to worry about it.

Yes. You need to create an investor account with your own name and in the end of the registration form, you have to choose “Select this if you represent a company”. Make sure to add the full name of your business and the correct registry code. Before investing you are required to send us an accurate copy of your government-issued identification document.

EstateGuru charges a 2% fee for selling claims via the secondary market function (the fee is applied to the seller) and a €1 service fee which is calculated and charged every time an investor withdraws funds from the virtual account. An “inactive account fee” is charged as contractual penalty to users who have deposited funds in their accounts but who have not made any new investments on the Primary or on the Secondary market for the last 12 months and who also have no active loans in their portfolio. The fee will be applied monthly in case there is a positive balance on the user’s account. If the cash balance is €0 then the fee will not be applied. If the user makes an investment, the account status will be switched to active again.

First you need to sign up as an investor on our platform. Then you need to visit your email account and activate your user account. Before you are allowed to start investing, you are required to send us an accurate copy of your government-issued identification document, fill in the required AML information and an appropriateness questionnaire. Transfer money to your EstateGuru virtual account. Choose a loan you would like to invest in. All loan repayments and interest accrued is held on your EstateGuru account.

An unsecured loan is a loan which does not have any collateral in place, such as land or apartment, and is solely based on a borrower’s credit history and potential ability to repay. Secured loans have assets as collateral so that if a borrower cannot repay the loan, EstateGuru's security agent represented by a law firm Triniti will start the asset sales process. Hereby, the risk of losing the money is minimized..

After the credit crunch and the resultant recession, the risk appetite of banks was reduced significantly, which means that banks have tightened their lending criteria. Banks have strict criteria, which is not borrower friendly and thus many loan applications are rejected by banks. EstateGuru is a small and flexible organization which is willing to help companies that are denied financing by banks despite their strong business plan and solid collateral.

EstateGuru is not a bank, thus we do not fall under the scope of banking laws and regulations. Like with most forms of investing, peer-to-peer lending carries a degree of risk. We reduce this risk to our investors by conducting thorough due diligence and by taking asset security on every loan, in case the borrower is unable to repay their loan. EstateGuru does not guarantee your loans.

EstateGuru is a facilitator of real investments, we do not offer the management of assets. All investment contracts are signed between the borrower and the investor, EstateGuru simply facilitates this transaction. All client funds are separated from EstateGuru’s operational funds. Should EstateGuru suffer financial difficulties or go bankrupt, client funds are safe and can still be accessed. In such an unlikely event, a contractual entity will be appointed to take over the role of EstateGuru to serve all the investments.

EstateGuru makes it easy for investors to access a variety of real estate investments with a relatively small amount of capital. The minimum amount for investment is €50, which enables investors to create a diversified portfolio. All loans are secured with a mortgage.

All the loans are backed with a mortgage. Once the loan is fully invested, the borrower has to go to the notary office and enter into an agreement with the Security Agent to create a mortgage. The mortgage will then be registered at the Land Register (with the Security Agent as mortgagee on behalf of the investors). The Security Agent is a separate limited liability company whose primary purpose is to hold securities for the benefit of investors making investments via EstateGuru. The name of the entity is EstateGuru Tagatisagent OÜ. The entity is controlled by the leading Baltic law office of Triniti

Depending on the project characteristics the annual interest rate can range between 8% and 13%.

The minimum investment amount is €50.

You must be at least 18 years old and have a bank account in any of the EEA member states or in Switzerland in order to lend through EstateGuru. We also have to perform certain "know your customer" checks before you can start investing with EstateGuru.