VentureCrowd Property Crowdfunding in Australia

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@v_crowd

Transcript of VentureCrowd Property Crowdfunding in Australia

@v_crowd

The Old World is Disappearing

Stockbroker Banker Real Estate Agent

Crowdfunding: Cutting out the Middleman

Crowdfunding Platforms

Equity Property

Credit

Rewards

VentureCrowd distinguishing characteristics: •  Multi-asset class •  Agnostic platform for sourcing deal flow •  Expert partners for pre-screening •  Encourage responsible investing e.g.

diversification

Evolution of VentureCrowd Deals

VentureCrowd’s $1.2M raise for ingogo would have ranked in the top 10 equity crowdfunding deals in the US in 2014

$50K

$363K

$505K

$1.2M

$4M

Australia Real Estate

Housing Assets GDP Ratio

Australia $4.86 trillion $1.49 trillion 3.26

UK £4.28 trillion £1.52 trillion 2.82

Canada $3.14 trillion $1.77 trillion 1.78

USA $18.45 trillion $15.98 trillion 1.15

Residential Real Estate

$4.86 trillion

Commercial Real Estate $0.7 trillion

Australian Listed Stocks $1.4 trillion

Australian Superannuation

$1.4 trillion

~3.3x size of Australian economy

Housing Affordability

Barriers of Entry to Private Property Investment

$500K average price

of a one bedroom

apartment in a good Sydney

location

$2.2K monthly

mortgage payment on

$400K loan at 4.5%

$18K stamp duty in NSW on a new

$500K investment property

$100K minimum deposit

required for 80% LVR

mortgage

Individual private property investment: •  inherently fragmented and inefficient •  few ways in which to access compared with

bonds/equities •  investors generally rely on their own networks

to access quality deals •  minimum ticket of at least $50,000 -100,000 •  time and effort required to actively manage

and operate the property •  concentration risk

$2K conveyancing fee and other disbursements

Property Trusts: •  provide more diversification & liquidity •  reduce transparency and control •  do not offer the “thrill” of investing in a

single property or the “touch it, see it, feel it” quality that has long made property the favoured investment in Australia

A New Alternative

Investing via VentureCrowd Property: •  invest as little as $100 •  eliminates most of the barriers or difficulties involved with traditional real estate investing •  provides a level of access and transparency that has never before been possible for real estate •  greatly reduces the time and capital requirements needed to invest •  allows investors to invest more quickly •  allows investors to allocate the same $50,000 -100,000K they may otherwise put into a single property across

multiple properties in different geographies thereby achieving greater diversification.

Investor Property

VS.

Incumbents

Banks

Real Estate Agents Conveyance

Property Management

Property Trusts

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$

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Become Your Own Property Mogul

First Partnership & Properties