Peer2Peer Finance News
The UK's first peer-to-peer finance magazine for investors and the industry
  • Home
  • News
    • Personal Finance News
    • Industry News
    • SME News
    • Global News
  • Property
  • IFISA
    • IFISA Guide
  • Video
  • Open Banking
  • Cryptocurrency
  • Features
    • Joint Ventures and Promoted Content
  • Comment & Analysis
  • What is P2P?
  • Partners
  • Events
    • Past Events
  • P2P Power 50
    • Power 50 2020
    • Power 50 2019
    • Power 50 2018
    • Power 50 2017
  • Sign up to our e-newsletters
  • Magazine
  • Directory
  • Jobs
  • My Account
    • Manage Account
    • Change Password
    • Log In
    • Log Out
shutterstock_757147216
May 11 2020

Property Pact sees launch put on ice

Marc Shoffman Industry News, News, Property, Top 3 Errol Woodhouse, FCA, Property Pact

Peer-to-peer lender Property Pact has had its launch derailed by coronavirus but is still hopeful it can play its part in helping first-time buyers and homeowners climb onto and up the property ladder.

The Financial Conduct Authority (FCA) regulated platform enables investors to fund mortgage deposits for would-be homebuyers. Its founder, Errol Woodhouse, said the platform spent much of last year bringing mortgage lenders on board who were satisfied with allowing P2P-funded deposits, as long as borrowers still meet the affordability criteria.

“There had been lots of conversations with the FCA and we had done a lot of work on restructuring the website and finding mortgage lenders that were willing to work with us,” Woodhouse told Peer2Peer Finance News. “Then coronavirus kicked off.

“We were going for a relaunch in the next six months, now I am still hopeful, but we don’t know when it will be.”

Read more: P2P property lenders optimistic about market recovery

Property Pact had been talking to institutional investors about funding large tranches of money for deposits, he added. Most P2P property lenders have avoided funding residential mortgages due to their long loan terms, but Property Pact focuses on funding the deposit. Essentially borrowers end up with a Property Pact loan to repay on their deposit, alongside the actual mortgage.

Investors have a restriction – or equivalent of a second charge – that means they can take legal action in the case of any defaults.

The five rules for a successful development IFISAs: Dark horse

Related Posts

magnifier

Industry News, News, Top 3

Trade association calls for more FCA scrutiny

FOLK2FOLK - Roy Warren MD - head crop (col)

Industry News, News, Top 3

Folk2Folk eyes £100m from institutions as it expands nationally

the acronym fca for Financial Conduct Authority concept represented by wooden letter tiles

Industry News, News, Top 3

FCA to publish initial supervisory work on consumer credit guidance

Back To Top
  • Home
  • Contact
  • About
  • Team
  • Advertising
  • Subscribe
  • Privacy
  • T&Cs
  • Disclaimer

Follow Us on Social Media

© Peer2Peer Finance News 2020
• Additional design by