Patch of Land, a crowdfunding platform that brings together borrowers and lenders through an online interface, announces its largest loan offering to date: The Ramada Hotel located on the historic Main Street of America, Route 66. This investment offering expands Patch of Land’s nationwide reach into Arizona. The investment offering is listed at $3.2M with an 18-month loan term at 10% APR and 47% LTV.
Information from GlobeSt
Comments from Nick Labadie, Rose Law Group Senior Planner/Project Manager
“It’s exciting to see technology and new platforms for real estate investment emerging, but thanks to a serious lag in federal regulations regarding crowdfunding, sites like Patch of Land can only allow accredited investors to participate. This means you have to earn $200k individually or $300k as a couple or be worth $1M not including your home. That puts it in the realm of folks who would probably be able to find a way to invest without these sites.
“However, it’s not all bad; being up and running for accredited investors now, means that when the regulations finally come down the line to allow non-accredited investors to participate, sites like this will have the experience and foundation to be ready for the big influx of investors.”
