A quick refresher on how to get started and invest in Groundfloor loans...
When Groundfloor was just getting started five years ago, critics and cynics objected with what we nicknamed “the Groucho Marx problem” -- i.e. the idea that no borrower we wanted would ever accept a loan from us. We’ve been lending for four years now, and lending extensively in non-Atlanta area markets for just over two years of that time. As our 2017 Year In Review indicates, volume has grown significantly.
With another year of growth ahead, it’s a good time to ask: How have we done? The data shows the positive impact of ongoing improvements in our risk management, underwriting and asset management: A significant improvement in on-time repayment, without realizing a large reduction in net yield.
n July, we published an analysis quantifying the effect diversification had on the range of returns realized in the portfolios of over 2,400 Groundfloor investors up until that time. With 2017 now behind us, we’ve updated and enhanced that analysis. The data now includes 2,950 portfolios, with over 209 loans repaid representing $21 million in principal invested.