- Auto-investment is offered
- Secondary market accessible
- Supported by venture capital companies
- The founders also invest on EvoEstate
- Short track record
If you are in doubt about what platform you should use for real estate, EvoState is probably the best place to start.
You can use auto-invest to make investing very passive, and their secondary market helps you to sell your investments again - if you discover better opportunities elsewhere.
EvoEstate offers a new and innovative way to diversify investment on crowdfunding platforms for real estate investments. But is their platform really worth the use?
So if you're considering investing through the site, we suggest you first read this review on EvoEstate. Because we are looking here to see if it's worth using them or not. Via our analysis we hope you'll get a better feel for the platform.
What exactly is EvoEstate?
EvoEstate is an investment platform for real estate investments. They compile and provide source deals from some of the big crowdfunding platforms for European real estate. By using EvoEstate, you'll basically have access to offers with just one account to over 18 platforms.
Some of the originators of a project that you can find on EvoEstate include Crowdestor, ReInvest24 and PROFITUS.
Since EvoEstate is a layer on top of the other platforms, they can also offer features such as a secondary market that some of the platforms originally didn't have at all. More about these can be learned later in this study.
Launched in February 2019, EvoEstate is based in Tallinn, Estonia. The company's founders are working on the platform along with other investors, and are currently investing about €134,579.
With as little as €50, you can open an investment account on their platform.
We'll explain some of the main features on the platform in the following part of our EvoEstate analysis, and why they're important to you as an investor.
1. EvoEstate Secondary Market
The secondary market is the first feature which we want to discuss in this analysis of EvoEstate. This is a place where you can trade the investments on the platform with other investors.
While it is not feasible for many project originators to sell the assets on a secondary market, EvoEstate has made this possible. So if it is a criterion for you that there is a secondary market on a platform, you can actually benefit from using EvoEstate instead of the originators of the project themselves – all while investing in the same deal.
The secondary market can be useful for both purchasing investments and selling investments.
A secondary market is used mostly by investors wanting to cash out their investments. The investments can be sold at either a discount or a premium - that 's up to the seller. But usually you'll be able to sell your investments quickly if you give a discount.
If you're just starting out on EvoEstate, you can take advantage of some of the discounted investments to hopefully get an annualized return that is higher. We recommend that you take a look at the secondary market before purchasing investments in the primary market to see if there are any exciting opportunities available.
2. Auto-investing at EvoEstate
An auto-investing feature is more or less expected and is nowadays available on most P2P platforms. You'll be able to find such a feature on EvoEstate, too.
Using the platform's auto-invest feature allows you to place your investments on autopilot which means you can invest without having to select new loans to invest in each time your existing loan investment runs out of time.
To use the auto-invest feature of EvoEstate, please follow the steps below:
- Account creation
- Please ensure you are signed in
- Go to settings for auto-invest
You can set up an auto-investment plan from here that suits your investment goals.
You can determine, among other things, which types of investments you want, how big your portfolio should be and what value you are looking for.
You can also include and exclude various project originators which enables you to be highly selective.
Last but not least, you can also only choose to invest in companies where the investors are spending their personal money – this could be a good start if you just start investing in real estate.
What yield can you expect?
The return you'll get on EvoEstate depends on many factors including which project originators you select and the types of projects you invest in:
When you invest your money in rent, you practically own small bits of real estate. This is the lowest risk investment on the platform, and according to EvoEstate, in annual returns as well as capital appreciation you can expect somewhere around 3-6 percent.
If you invest in fixed-interest loans, you are providing real estate development companies with financing, basically. Typically, these loans are secured as collateral by real estate and have a projected interest of around 8-13%.
You should invest in equity if you want a high risk, and probably also a high reward. You can earn about 14-30 percent annually here. But there is also a much higher probability of a 100 percent loss with this type of investment.
Who should invest through EvoEstate?
To invest via EvoEstate the following requirements must be met:
- Have a minimum age of 18
- Have a verified bank account
- Not from the USA
You can easily get started at EvoEstate if you meet the above requirements. Only follow the steps below and you should then be able to invest very quickly:
- Account creation
- Add funds to your account
- Invest on the site in real estate
How secure is EvoEstate?
One of the most important things when investing your money online via investment sites in Peer-to-Peer is that the security is in order. Therefore we took a look at the safety on their platform in this EvoEstate review.
How safe are investments?
Investment protection varies a great deal depending on the type. Some investments are secured with collateral, which means you'll probably still get back some of your invested principal if the project goes south.
Project Originator Risk
You rely a lot on EvoEstate to do thorough due diligence on the individual project originator. We therefore recommend that you make due diligence with each project originator in which you decide to invest. That will give you a much better understanding of a particular originator's investment risks.
What happens if EvoEstate goes out of business?
EvoEstate is a real estate property transaction facilitator. In fact they don't manage assets. The contracts are therefore signed between investors at EvoEstate and the borrowers. That also means investor funds are separated from EvoEstate funds.
Therefore, should EvoEstate go bankrupt, you should still have access to your assets and your savings should not be included in the bankruptcy.
Conclusion of our study on EvoEstate
If we could invest in just one crowdfunding platform for real estate, EvoEstate will certainly be our top choice. With only one account, they have made it possible to invest in more than 18 real estate platforms. This makes making proper diversification with real estate crowdfunding easier and more convenient than ever.
They also cleverly allowed investors to make early exits to their secondary market – something not provided by other project originators on their site.
EvoEstate main features and highlights
- Real Estate Investment Platform