We come bearing good news, investors! As of the 21st March 2022, the rate of return across two of our Investment Classes – Home Loans and Construction Loans – has increased by 0.25%.
Between recent legislative and bank policy changes, and the increasing likelihood of a recession, it looks like we should be hunkering down for a period of pretty significant uncertainty. So, how can property investors protect themselves in the current environment?
In this article I am going to talk about my personal experience using Squirrel’s P2P lending investments as a reasonably secure short-term investment vehicle to grow my family’s first home deposit.
Due to recent Reserve Bank LVR restrictions coupled with tightened credit criteria from banks in response to the CCCFA regulations, we’re seeing more loans that would have previously been gobbled up by a bank, heading towards non-bank lenders like Squirrel.
When I’m chatting with new investors, I always make a point of talking through the secondary market. At a high level, it performs incredibly well for investors who are looking to cash out some or all of their investments.
The Squirrel Monthly Income Fund is a new way to invest in Squirrel loans, on top of our existing peer-to-peer investments. For those that prefer a more hands-off approach, with the Managed Fund we manage the investment while you watch the returns come through.
In this case study we’re taking a look at a property development company that was in need of a treasury management strategy, to minimise the negative impact of cash drag. Here’s how they ended up maximising their returns by investing with Squirrel.
In this case study we're putting the microscope on a Wholesale Fund who was finding it increasingly tricky to originate and manage the loans it required to meet its investors’ income expectations.
We are so fixated with property that talk of any kind of bubble quickly turns the conversation to housing. I’m going somewhere else. History is a great teacher.
At Squirrel, we're known as one of the largest mortgage brokers in New Zealand. But what you might not know is that we are also a lender, which means we can make a portion of those loans available as investments for retail investors. This gives investors better opportunities for their cash funds.
Interest rates offered by banks are low as a result of the pandemic. The Government has helped out lots of parts of society, and we’re all grateful for this. Have they helped those reliant on interest income?
We haven’t published a case study for a while, so here are two that will provide an overview of the borrowers and loans you’re investing in.