Housers launches to reaffirm its foundations to expand horizons

This article was written and published in Spanish and has been translated into English via Google Translate. Click here to read the original article.

The crowd-lending platform will expand capital to deepen its European expansion and enter the market of large stores.

In just over three years, Housers' participative financing platform has exceeded 100,000 users. Through them, 200 projects worth about 80 million euros have been financed, mostly in Spain, although they are also present in Italy and Portugal.

Housers' success is a combination of several factors. A great idea, a good brand, a lot of work and the real estate concept that everyone understands, according to Juan Antonio Balcázar, CEO of Housers since the end of last year. His signing coincides with a new stage of the company. Faces a phase of capital increase to try to lead the European market.

When the company was incorporated in 2015, there was no regulation for real estate crowdfunding, the business financing law appeared and in 2017 they obtained the CNMV's license. They went from crodwfunding, where Housers were the promoters of the projects, to crowdlending, that is, to directly finance the promoters thanks to the loans of the users. "We have investors from 155 different nationalities and of the almost 79 million euros raised we have already returned 26 million euros between yield and capital. Thanks to these investors, more than 500 properties have been rehabilitated », explains the CEO. Housers receives a large number of projects and only 20% pass the first filter. "Then we conducted a real estate survey and analyzed the company to which the loan is intended to rate the risk from A to F, data that we communicate to investors," he adds.

Housers was created by two entrepreneurs, Álvaro Luna and Tono Brusola, with the aim that any saver, from 50 euros, could invest in the real estate market. Juan Antonio Balcázar has been director of Digital Strategy at Spainmedia Magazine and formerly CEO of Grupo 20 Minutos and general director of 20 minutes online. "I'm here to reorganize the company, to be more stable, less startup, although I think we should continue to have that spirit, take risks," he says. A strategic plan of 2019-2023 has been designed "which should be the basis for seeking a round of financing that allows us to make that plan," he adds. Thanks to the business financing law "we can finance developers in any EU country, we can open the door in many countries," he says. Both in Italy and Portugal are working very well.

The platform already has investors of 155 different nationalities

The idea is to launch Housers in eight other countries, still to be defined. "Some we already know, others do not. There are countries in which we are not interested in their projects but their investors," says Balcázar. The decision of the countries will depend in part on the regulation that exists in them, some more advanced and in other cases very complex. The round of financing of 4-5 million euros is expected to be completed before the summer to later launch the plan. Since Housers do not believe that there is a new housing bubble in Spain but high prices, "there is still a long way to go," says its CEO. They understand that one of the consequences of these prices is that in Spain there will be no more projects but "in Europe there are many opportunities".

From Housers remember that their product is not competition of the financing of the banks, "but complementary" and thanks to them "we give visibility to the promoter. In addition to financing, many users end up buying some assets. "Many of the projects are residential but also have commercial premises. "With the expansion plan we want to enter to finance large areas whether it is a supermarket or a parking lot," reveals the CEO. They are also studying the franchise model in the markets of Latin America, Asia and Australia where by regulation they can not enter alone.

In search of profitability

The average investment of users of Housers is 4,300 euros with a first initial investment of 1,200 euros and as they recover their money they reinvest it in other projects. They have 500 new investors every month. 70% of its users are men between 35 and 45 years old, with a high average purchasing power. And the profitability that is achieved in the projects varies depending on the product. "The savings, five years, involves the purchase, reform and rent, and performance is around 4%, with monthly interest payments," says Balcázar. "The investment, two years, does not include rental of housing, and profitability is between 7 and 8%. And the promotion has a very varied profitability. We operate as bridge credit, "he adds.

This article was written and published in Spanish and has been translated into English via Google Translate. Click here to read the original article.

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