Resale Market update, July 2017

We started Property Partner with the vision of allowing investors to build a diversified property portfolio at the click of a button. Our Resale market was created to bring “liquidity” to an asset class that is typically illiquid.

Since our launch in January 2015 our Resale Market has reached a number of milestones:

  • £15m of capital returned to investors
  • 2.9 days*: The average time to sell an investment in June 2017
  • 36% of portfolio traded
  • ‘Bid’ function: Bids offer sellers an instant exit

2017 has seen the Resale Market continue to grow in size & efficiency. With numerous efforts being made to build on recent improvements, there is an opportunity for all investors to benefit.

Introduction of Bids
The introduction of Bids in August 2016 allowed investors to place bids at a price at which they would like to buy shares. This created a symmetrical marketplace, where both buyers and sellers have transparent pricing and volume information.

Time to Sell
Investors who sold shares last month only had to wait an average of 2.9 days, between placing a sell order and a buyer completing the transaction. With improving efficiency and liquidity the average time to sell shares has decreased significantly in 2017. Read about the investor who sold £80k in 30 minutes.

Sales Price vs. Valuation
To date over £15 million has been traded on our Resale Market. As with any investment, there can be a price to pay for liquidity. We aim for our investors to be able to achieve a fair price when they sell shares on our Resale Market.

The charts below provide further information about the health and growth of our Resale Market. We are champions of transparency and will continue to provide additional information to you, our investors, to help inform your investment decisions. We welcome any feedback or questions you have, as we continue to build and strengthen our Resale Market.

 

Screen Shot 2017-07-13 at 22.33.21Screen Shot 2017-07-13 at 22.33.35

 


*Time to sell is calculated as a weighted average of the time it takes to sell shares at or below the 30-day weighted average share price.


Properties on our platform have, on average, after all fees and before personal taxation, delivered an estimated annualised total return of 8.4% up to 30th June 2017; including 3.2% net rental income (dividends) and 5.2% in capital value growth. These returns are calculated quarterly and (i) with reference to the average dividend yields and price movements of all previous listings, (ii) spreading over 5 years any purchase discount to the RICS valuation, and (iii) assuming the property remains tenanted.