EstateGuru Platform Overview 🌍

EstateGuru is a European real estate crowdlending platform connecting retail investors with short-term, property-backed loans since 2014. Investors can earn high passive income (historical average ~10% annual return) by funding loans secured by real estate mortgages, while small developers get fast alternative financing. Key advantages include access to tangible collateral, a decade-long track record, and cross-border diversification across 8 countries (Baltics, Finland, Germany, etc.). However, risks are significant ⚠️ – loans can default leading to delayed or lost payments, investments are illiquid until the borrower repays or a resale occurs, and complete loss of capital is possible in worst cases. The platform operates under an EU crowdfunding license (since May 2023) and is regulated by Estonia’s Financial Supervision Authority, adding oversight but not guaranteeing returns.

EstateGuru Investment Product Offering 💰

EstateGuru offers property-backed debt investments, primarily short-term bridge and development loans secured by first-rank mortgages on real estate. Investors purchase claim rights in specific loans (minimum €50 per project), earning fixed interest (typically ~8–12% annually) paid monthly or at loan end. Each loan is a direct obligation of the borrower, with EstateGuru acting as intermediary and a security agent holding the mortgage collateral. The platform focuses on European real estate projects (originally Estonia, Latvia, Lithuania, later expanded to Finland, Germany, Spain, etc.), though as of 2025 it refocused on core Baltic markets and select new ones like Portugal. Typical loan terms range around 12–18 months (14 months on average), with loan-to-value ratios usually below 75%. Investors can start with small amounts but should diversify across many loans. Returns are generated from borrower interest payments (historical investor ROI ~10.0%), and principal is repaid at maturity or via interim amortizations. All loans carry substantial risks – borrowers may default due to project or market issues, causing payment delays or capital loss. Loans are not tradable on public markets (only within EstateGuru’s secondary platform), so investments are illiquid until exit. In a default scenario, the mortgaged property is sold to recover funds, but recovery can be slow and is not guaranteed (if collateral value is insufficient, investors bear losses). EstateGuru introduced a new pooled product called “EG Grow” in 2025, which automatically diversifies funds into multiple loans and pays a steady 7% annual yield via monthly distributions. This caters to passive investors seeking simpler, auto-diversified exposure, complementing manual and auto-invest options. Overall, EstateGuru’s product is a crowdfunding loan investment model offering high-yield real estate debt – with security from property collateral, but also notable default and liquidity risks that investors must carefully manage.

EstateGuru Company Background and Regulation 🏢

EstateGuru OÜ was founded in Tallinn, Estonia by Marek Pärtel and partners in 2013–2014 with a mission to make property investment accessible and financing easier for SMEs. Over the years it has grown into a pan-European platform with offices in Estonia (HQ), Latvia, Lithuania, and beyond. The company’s leadership includes co-founder Marek Pärtel as Chairman, and a seasoned management team: (as of 2025) CEO Daniil Aal, CFO Marko Arro, and Chief Risk Officer Andres Luts, among others. EstateGuru has attracted strong international backers – it raised €5.8 million in a Series A round in 2021 led by UK VC TMT Investments (an early Bolt and Pipedrive investor) alongside European funds like Verve Ventures, Swiss Immo Lab, and Czech J&T Bank’s arm. Earlier, it also crowdfunded ~€1 million from its own user base on Seedrs. The platform’s ownership is thus a mix of founders, venture investors, and some crowd shareholders, supporting its expansion. Structurally, EstateGuru operates through local subsidiaries in key markets (e.g. Estateguru Lietuva UAB in Lithuania and Estateguru Finland Oy in Finland). Since 2023, EstateGuru is a licensed European Crowdfunding Service Provider (ECSPR) – it secured its EU-wide crowdfunding license on 10 May 2023 from Estonia’s regulator. This means it must comply with unified EU rules for investor protection and can passport services across all EU member states. The platform is regulated and supervised by the Estonian Financial Supervision Authority (Finantsinspektsioon), and was among the first in its region to meet the new standards. It is also registered or recognized by local authorities (e.g. included in the Bank of Lithuania’s list of crowdfunding operators). EstateGuru partners with Lemonway, a French licensed payment institution, to securely handle client funds in segregated accounts. Importantly, investor deposits are not covered by deposit insurance, and EstateGuru’s activities are not backed by any investor compensation scheme – regulation ensures transparency and operations oversight, but investments remain high-risk. The firm has built partnerships with legal firms, real estate valuers, and institutional liquidity providers to support its marketplace. Overall, EstateGuru presents itself as a pioneering Baltic fintech with solid governance and licensing, aiming for trust through compliance – yet its recent challenges (discussed later) put its risk management under scrutiny despite the formal regulatory framework.

EstateGuru Volumes and Performance Results 📊

EstateGuru has grown rapidly, facilitating nearly €0.92 billion in cumulative loans as of December 2025. This represents 7,500+ funded loans to date, financing property projects across eight countries. The platform’s investor community is large and international – by mid-2025 it counted over 164,000 registered investors from 100+ countries, up from ~154k at end-2022. Key milestones include reaching €500 million total lent in 2022 and €800 million in 2024, and by October 2024 the platform had repaid €540 million back to investors with €92.8 million in interest earned overall. In 2024 alone, investors funded 341 projects worth over €80 million, and earned €12.6 million in interest that year. The average investor return historically has been around 10% per annum, and in 2024 specifically it averaged 10.6% – on par with prior years. However, performance diverges between older loans and newer ones. By late 2025 a very large portion of the outstanding loan book had become troubled: roughly 62% of active loan volume was in default or recovery status (about €133 million in default out of ~€214 million outstanding). This sharp rise in defaults (concentrated in loans issued pre-2023) has dragged down many investors’ realized returns, with some long-time users seeing only ~5% actual yield due to delayed projects and unrecovered debts. Overdue loans often stretch for years – as of 2025 many defaults from 2020–2022 remained unresolved, deeply frustrating investors. Despite this, actual losses realized have been minimal so far: EstateGuru reports that only €275,000 (0.04% of all lent capital) has been written off as unrecoverable to date. The recovery process is ongoing for most defaults, and the platform claims to have recovered over €62 million from defaulted loans (principal + interest) by late 2025. For context, performing loans now make up only ~38% of the portfolio by value, but newer loans (2023–24 vintages) are doing much better: 96% of 2023 loans and 99% of 2024 loans are either repaid or currently paying on schedule. This reflects stricter credit policies implemented recently (discussed below). The bottom line is that while EstateGuru has achieved impressive funding volumes and paid out tens of millions in interest to investors, its default rate spiked to industry-high levels in 2023–2025, significantly affecting investor outcomes ⚠️. Prospective investors should note the date of data – many headline figures (total funded, average return) reflect long-term aggregates, whereas the current active portfolio is under strain with high default/recovery volume. EstateGuru’s ability to successfully resolve these defaults in the coming years will largely determine if final investor returns remain attractive or are heavily eroded by losses.

EstateGuru Risk Management and Due Diligence 🛡️

EstateGuru emphasizes a robust risk management framework to select and monitor projects, though its effectiveness has been questioned by recent outcomes. Every potential loan goes through a multi-stage due diligence process by EstateGuru’s credit team. Initially, there is an early screening to weed out unfit applications – many borrowers are turned away at first contact if they don’t meet basic criteria (e.g. sufficient collateral value or acceptable credit background). Loans that pass this stage undergo thorough financial analysis and property appraisal: the team evaluates the borrower’s financials, experience, project feasibility, and independently assesses the real estate collateral value. Collateral is mandatory – 100% of loans are secured by a mortgage (typically first charge) on property or land. The collateral value and loan-to-value (LTV) ratio are carefully considered (EstateGuru historically kept average LTV around 60–65%). A dedicated Credit Committee reviews each deal and gives final approval or rejection, ensuring multiple experts vet the risk. In 2023, after obtaining the new EU license, EstateGuru further tightened its credit policy to raise standards. Key changes include: stricter borrower concentration limits (limiting how much exposure the platform has to any single borrower or group), accepting only projects with an expected default probability <6% (based on Moody’s Analytics modeling), and favoring smaller, simpler projects over very large developments to reduce complexity and improve transparency. Additionally, collateral appraisals must be recent (within 6 months), and only collateral owned directly by the borrower company is accepted (no unrelated third-party pledges). These measures aim to avoid the pitfalls that led to past defaults. Every approved project is now assigned an internal risk rating using a system modeled on Moody’s ratings: from “Aaa” for lowest risk loans to “Ba3” for higher-risk (but still acceptable) loans. Investors can see this risk score on each loan listing, helping them gauge relative risk and diversify accordingly. EstateGuru strongly encourages diversification – its policy limits large exposures and spreads loans across different countries and sectors so that a downturn in one area won’t devastate the entire portfolio. The ongoing monitoring of loans is handled by a recovery & risk team. They track project progress and due payments, and if a loan becomes delayed or problematic, they initiate a structured recovery process. This involves engaging with the borrower for workouts, or swiftly moving to legal enforcement: EstateGuru coordinates with local bailiffs, courts, and realtors to foreclose and sell the collateral if the borrower defaults. The platform publishes quarterly portfolio reports updating default and recovery stats to maintain transparency. According to EstateGuru, their recovery efforts have yielded positive outcomes in many cases – by 2025 they claim to have recovered ~€62 million from defaulted projects, often returning not just principal but also accrued interest and penalty fees to investors. For example, a Lithuanian loan default from 2021 was resolved by 2025 via collateral sale, allowing investors to recoup all funds and earn ~7% annual interest despite the delay. The average time to recover defaulted loans is reported around 8–9 months after default (though in practice some cases take much longer). EstateGuru’s risk team also collaborates with external partners: they have a network of law firms, auction houses, and real estate brokers in each country to handle debt collection efficiently. Despite these policies, the very high default levels in 2022–2023 revealed shortcomings in risk assessment – particularly in Germany and Finland, where many loans went bad. In response, EstateGuru disclosed it had investigated its German team in early 2023 for violations of internal rules, suggesting that some loan officers or partners may have approved subpar loans or failed due diligence. While details weren’t fully publicized, the company stated it addressed the irregularities and tightened oversight. Going forward, investors should evaluate whether the new risk measures (post-2023 license) are improving loan quality – early data for 2024–2025 shows vastly better loan performance (<1% defaults so far in loans issued after policy changes). In summary, EstateGuru’s risk management on paper is comprehensive – thorough vetting, collateral-backed loans, risk scoring, and active recovery – but execution has been uneven, leading to a backlog of defaults. The platform’s credibility now hinges on how effectively it can convert those safeguards into actual investor protection, by avoiding future bad loans and maximizing recoveries on existing defaults.

EstateGuru Platform Features and Tools 💻

The EstateGuru platform provides a range of features to help investors manage their investments and liquidity. Investors can choose to invest manually in individual loans via the Primary Market, or use the Auto Invest tool to invest passively. The Auto Invest feature allows setting custom criteria – for example, an investor can automatically allocate funds to any new loan offering ≥8% interest, ≤12 months duration, LTV under 70%, in selected countries, etc.. Auto-invest ensures popular deals don’t get filled before one can act, and EstateGuru offers full filter options when auto-investing at least €250 per loan (with a lower €50 entry, fewer filters apply). To enhance liquidity, EstateGuru introduced a Secondary Market in 2019 where investors can sell loan claims to other investors before maturity. This secondary marketplace allows an exit route if one needs cash, though the seller pays a 1% fee on the sold amount. Initially the fee was higher, but it was reduced in 2025 to encourage trading. Sellers can list loans at par or at a discount/premium, and buyers can pick up seasoned loans to earn interest immediately. For even faster exits, EstateGuru offers an “Instant Exit” program (introduced in 2021) that will instantly buy back eligible loan claims from investors at a fixed 35% discount. This means an investor can cash out a loan immediately by giving up 35% of its value – a steep cost, so it’s used as a last resort for emergencies. Only certain loans in stable markets qualify, and the program is funded by EstateGuru’s own reserve (replenished from recoveries). Investors also benefit from a comprehensive dashboard to track their portfolio. The platform (recently revamped in 2025 with a new interface) provides detailed portfolio reports, including current investments, next payment dates, and performance metrics. Notifications and email updates are sent for key events (loan funded, borrower payments, any delays/defaults). EstateGuru’s platform supports multiple languages – English, Estonian, German, Spanish, Latvian, Lithuanian – catering to its pan-European user base. The investment currency is primarily Euro (€) for all loans (there’s no multi-currency lending at present, simplifying investing for the Eurozone investors). Security features include two-factor authentication for login and transactions, given the financial nature. The site’s “Knowledge Hub” and blog offer educational content, monthly portfolio updates, and case studies for investors wanting deeper insight into projects and platform performance. Notably, EstateGuru provides an Investor Tax Report tool: users can download an annual statement of interest earned for tax filing purposes. The platform does not withhold any taxes on interest (investors are responsible for declaring and paying taxes according to their local laws). EstateGuru does not offer any insurance or buyback guarantee on loans – if a borrower defaults, investors must rely on the collateral recovery process. There is also no “provision fund”, so each project’s risk is standalone. However, EstateGuru’s collateral auctions page (launched 2025) allows investors to even participate in bidding for foreclosed properties, adding transparency to recoveries. Overall, the platform’s functionality is fairly advanced for real estate crowdfunding: automated investing, a resale marketplace, portfolio analytics, and consistent communication keep investors engaged. These tools, combined with the new EG Grow product (which automatically diversifies into loans and pays monthly yield), show EstateGuru’s focus on convenience and flexibility for investors. But it’s important to remember that these are tools to manage investments, not to eliminate risk – investors still need to carefully select or auto-filter loans and use the secondary market judiciously, especially given the default situation.

EstateGuru Fees and Pricing Structure 💶

EstateGuru’s fee policy affects both investors and borrowers, with a generally transparent schedule published on its site. For investors, joining the platform and making investments is free, but there are certain service fees:

Portfolio Fee (AUM) – Since November 2023, EstateGuru charges investors an Assets Under Management fee of 0.083% per month (≈1% annual) on the outstanding principal of performing loans in their portfolio. This fee is only taken if the investor actually received interest that month, and it’s capped (max €100 monthly) for large portfolios. Essentially, it slightly reduces the net return (e.g. an investor with a 10% gross yield might net ~9% after this 1% fee). This new fee proved controversial and was increased in 2025 (previously 0.05% monthly) to bolster EstateGuru’s revenues.
Withdrawal Fee – Each time an investor withdraws funds from their EstateGuru account to their bank, a flat fee of €3 is charged. This was raised in mid-2024 (from €1 previously). Depositing money is free (usually done via bank transfer or card to the Lemonway account).
Secondary Market Fee – If selling a loan on the secondary market, the seller pays a fee of 1% of the sold claim value. There is no fee for buyers on the secondary market, and listing loans for sale is free (fee only upon successful sale).
Inactivity Fee – To discourage idle cash, EstateGuru imposes a fee on accounts that have funds but no new investments for 12+ months. After 1 year of inactivity, a charge of €10 per month applies, increasing to €50 per month after the second year of no activity. This fee only applies if you have a balance sitting unused; making any new investment resets your status to active.
Other – There are no ongoing management fees besides the AUM fee. The platform doesn’t charge any entry fee for opening an account, nor any performance or “carry” fee on returns. Currency exchange isn’t applicable as investments are in EUR. EstateGuru also doesn’t charge for account closure. Notably, interest to investors is shown net of EstateGuru’s cut – EstateGuru may take an interest spread of 0–2% from the borrower interest (this is invisible to investors except noted in project details). For example, a borrower might pay 11%, of which the investor sees 10% and 1% is retained by the platform. This spread varies by project risk and is essentially a fee paid by borrowers that slightly lowers investor APR.

For borrowers (fundraisers), EstateGuru’s income comes from several fees:

Origination Fee – Borrowers pay an intermediation fee of typically 2.5%–4% of the loan amount upon successful funding. The exact percentage depends on the loan’s risk profile and terms (larger, lower-LTV loans get closer to 2.5%, smaller or higher-risk loans might pay 4%). This is akin to an arrangement fee.
Administration Fee – Some loans also carry an annual admin fee up to 2% per year of the loan principal. Often simpler short-term loans have 0% admin fee, while more complex or longer-term loans might incur a servicing fee (deducted periodically).
Security Fees – Borrowers cover the costs of establishing and releasing the collateral mortgage. There’s a security agent fee (around €750 + VAT for the first stage, lower for subsequent stages if a loan is funded in tranches) to set up the collateral arrangement. Additionally, notary fees are paid at cost (varies by country), and a €100 fee applies when the mortgage is released at loan end.
Extension & Late Fees – If a borrower needs to extend the loan term, EstateGuru may charge a prolonging fee up to 16% of the extended amount (minimum €500) – a hefty penalty to discourage casual extensions. For late payments, borrowers face a €20 overdue notice fee and default interest or penalty interest as stipulated in the contract, plus a debt management fee equal to 8.75% of amounts due if legal action is initiated. If the loan goes into default, costs of bailiffs, legal proceedings, and collateral realization (around 10% of loan as a sales fee) are also charged to the borrower or recovered from collateral proceeds. These enforcement costs can eat into what’s recovered, indirectly affecting investors.
Other – EstateGuru may require borrowers to maintain property insurance, in which case it charges 20% of the insurance premium as an arrangement fee. Borrowers also need a legal entity identifier (for regulatory purposes) which EstateGuru can provide for €100.

EstateGuru’s pricing model is fairly transparent, with a public fee list and costs typically disclosed in loan documentation (e.g. the exact interest rate split). There have been criticisms though: The introduction of the investor AUM fee and hikes in withdrawal fees were done unilaterally and upset many users, some of whom felt the platform was making investors pay for its own financial issues. EstateGuru defended these fees as necessary to sustain operations and recover defaulted loans, but it undeniably reduces investor net returns slightly. On the borrower side, the fees are relatively high (combined origination + admin can be ~5–6%+ for a 1-year loan), which some developers factor into a higher cost of capital. The platform does provide all terms upfront, and interest rates offered to investors are net of fees, so there’s clarity on what investors earn. No hidden fees are charged to investors – everything is either an explicit flat fee or a clearly stated percentage. For retail investors, it’s important to account for the ~1% annual platform fee when calculating expected net returns, and to be aware of the €3 withdrawal fee and any potential liquidity costs (1% to sell on secondary, or deeper discount if using instant exit). EstateGuru’s fee transparency overall is good (full details available on their site), but investors should watch for any future changes in fees as the company navigates its financial performance.

Negative Publicity about EstateGuru ⚠️

In recent years, EstateGuru has faced significant negative publicity stemming from its loan performance and certain business decisions. Perhaps the most alarming issue is the platform’s surge in defaults since 2022. By August 2025, over €133 million of loans were in debt recovery (legal default) – amounting to more than 60% of EstateGuru’s total active portfolio in default status. This is an extraordinarily high default rate for a crowdfunding platform, far above industry norms. Many investors have seen large portions of their portfolios stuck in long-term defaults with uncertain recovery. On consumer review sites, the frustration is evident – EstateGuru holds a “Bad” rating of 1.4 out of 5 on Trustpilot (based on ~1,400 reviews). Recent Trustpilot reviews (late 2025) are scathing: investors complain that “loans keep defaulting and there are no updates from the recovery team”, with some waiting over 3 years without progress. Multiple users call it a “scam” or advise others to stay away, citing 40–50% of their investments in default and only generic reassurances given in quarterly updates. This public backlash has severely damaged EstateGuru’s reputation among the once-supportive P2P investor community. In fact, a prominent industry site P2P Empire reported that their community voted EstateGuru as the “worst crowdlending platform” of 2025, a dramatic fall from its previously high rankings. The main reason cited is poor risk management leading to numerous delays and defaults, which “overshadowed the platform’s previous reputation”.

A specific controversy arose in the German market: EstateGuru expanded aggressively into Germany around 2020–2021, but by 2023 it became clear many German loans were problematic. In January 2023, EstateGuru announced an internal investigation into its German team for potential misconduct, suggesting that some German projects might have been approved without proper due diligence or possibly involved conflicts of interest. While the details were not fully disclosed, the outcome was that Germany turned into a disaster – as of Aug 2025, about €78 million of defaulted loans were in Germany alonerethink-p2p.de. The CEO at the time admitted “external irregularities” were found and addressed, but the lack of transparency on what exactly happened drew criticismrethink-p2p.de. This situation indicates possible lax oversight or even fraud by local managers, raising concerns about EstateGuru’s control systems (though the new license regime likely forced improvements). Additionally, EstateGuru decided to pause lending in certain markets – Germany, Finland, Spain, and Sweden were marked “non-active” by 2025 – essentially retreating from regions where performance was poor. While probably a prudent move, it underscores that earlier expansion was overly ambitious.

Another source of negative publicity was EstateGuru’s introduction of investor fees during a downturn. In late 2023, as defaults piled up, EstateGuru imposed the portfolio AUM fee (discussed above) which directly cuts into investors’ returns. This was seen by many as EstateGuru charging investors for its own failed loan decisions. On forums and Reddit, users were outraged; one thread titled “This is really dodgy, EstateGuru… I hope they reconsider this nonsense” highlighted discontent with the new fees. Investors also speculated that the fee introduction was to bolster the company’s finances amid rising recovery costs. The increase of the withdrawal fee to €3 in mid-2024 was similarly viewed as cash-grabbing, with comments like “clear indication that EstateGuru wants to earn extra money from the exit of many investors”. These moves, while perhaps necessary for sustainability, were poorly timed and communicated, leading to reputational damage and an exodus of some long-time users.

Media coverage has picked up on EstateGuru’s troubles. Finance bloggers who once praised the platform’s yields have turned critical. A German investor blog called Rethink-P2P labeled EstateGuru’s loan book “the worst portfolio quality in the P2P industry”, citing the enormous volume of defaulted loans and questioning whether risk assessment and recoveries were fundamentally flawed. They pointed out that of the €38 million in recoveries promised for 2024, only €13 million was actually recovered, while an equivalent €13 million of new defaults emerged – meaning the total default pool didn’t shrink at all. This analysis accuses EstateGuru of overly optimistic recovery forecasts and failing to improve the situation despite assurances. It also highlights that EstateGuru’s much-touted track record of “no investor has ever lost money” may be in jeopardy if recoveries fall short. As of late 2025, the amount in recovery keeps growing quarter by quarter instead of decreasing, which is a red flag.

There have been no known regulatory sanctions or warnings issued against EstateGuru by authorities (indeed, it obtained a license which implies regulators found it compliant). However, regulators in Estonia did tighten rules – for instance, Estonia now allows using tax-advantaged investment accounts for licensed crowdfunding, a change EstateGuru’s CEO said will boost investor confidence. The platform hasn’t been accused of any fraud or insolvency to date. Nonetheless, the combination of investor anger, bad press, and platform departures (many are withdrawing as loans repay, evidenced by EstateGuru’s own note that outflows were high in 2023) indicates a trust crisis. EstateGuru is actively trying to rebuild confidence – for example, publishing more frequent updates and highlighting that its new loans are performing ~99% on time. But until investors see substantial recoveries from the backlog and a return to normal default levels, negative sentiment is likely to persist. Prospective investors should heed these warnings: high default rates, slow recoveries, and recent fee changes are serious issues that could materially affect returns. In short, the once leading platform has hit a rough period, and this is well documented by public feedback 🚨.

EstateGuru Success Stories and Milestones 🏆

Despite the challenges, EstateGuru has several notable success stories and milestones that demonstrate its potential and past achievements. Since its launch, the platform has been a pioneer in real estate crowdfunding in Europe – celebrating its 10th anniversary in 2024 as one of the continent’s most experienced property fintechs. A key milestone was obtaining the coveted pan-European ECSPR license in May 2023, making EstateGuru one of the first real estate platforms fully authorized under the new EU regulation. This license win underscored the company’s commitment to transparency and consumer protection, and was highlighted by management as solidifying EstateGuru’s status as a “trusted and compliant” provider across Europe. The platform also successfully expanded its footprint over the years: starting from Estonia in 2014, it entered Latvia (2016), Lithuania (2017), Finland (2020), and Germany (2021), funding projects in each market and attracting local investor communities. By October 2025, EstateGuru proudly reported having facilitated €700 million of investment into Baltic real estate alone via cross-border investors, showcasing how it connected capital with opportunities beyond traditional banking systems.

EstateGuru’s growth also attracted industry recognition and investment. The platform’s Series A funding round in 2021 was oversubscribed, raising €5.8M in just 4 days and bringing in prominent fintech investors (TMT Investments, Venture firms from Switzerland, etc.). This vote of confidence placed EstateGuru alongside other Estonian startup successes like Bolt and Pipedrive (as TMT noted, they saw EstateGuru as having similarly strong prospects). EstateGuru has also been acknowledged in fintech awards shortlists and has frequently been cited as one of the leading real estate crowdfunding platforms in Europe by alternative finance analysts. In both 2021 and 2022, the platform actually ranked near the top in P2P industry community polls (before its drop in 2025), indicating earlier that it had built a solid reputation among users for returns and reliability.

On the ground, many projects funded via EstateGuru have succeeded. A prime example is the Volta Villa development in Tallinn, Estonia – a historic factory building turned luxury apartments. EstateGuru investors financed this project in stages (13 rounds) for a total of €4.2M, and it was completed smoothly and even repaid ahead of schedule by the developer Endover. Over 6,700 investors took part, with the largest investing €500k and smallest just €50, truly showcasing the democratization of real estate investing. Upon completion, Endover fully repaid the loans early and investors earned a solid 10.8% annual return on this project. In March 2025, EstateGuru users voted Volta Villa as the “Project of the Year 2024”, citing it as a model outcome: a well-managed development with timely execution and a profitable exit for investors. EstateGuru has partnered with Endover on multiple successful projects, indicating strong developer relationships. Another success was the Rocca Tower IV project (also in Tallinn), which was named best project of 2023 by investors for similar reasons. EstateGuru has funded many smaller loans too – for example, bridging loans to entrepreneurs that allowed them to finish construction and later refinance with banks, giving EstateGuru investors their principal + interest reliably. The platform touts that historically, investors have earned over €90 million in interest (and counting), and until the recent issues, no investor had lost principal – an impressive feat in alternative lending.

EstateGuru’s ability to adapt is also a positive. In 2025, seeing investor demand for simpler products, it launched “EG Grow”, an automated investment product that provides a fixed 7% yield with monthly payouts. This innovation diversifies their offering beyond single-loan investments and has been well-received by more conservative investors who prefer a stable return. The company also rolled out a new investor portal with improved analytics and security in mid-2025, demonstrating focus on user experience. Additionally, EstateGuru played a role in regulatory developments – it was active in advocating for legislation in Estonia to allow crowdfunding investments via special investment accounts (for tax efficiency), which was passed in 2023. In terms of industry positioning, EstateGuru often cites itself as Europe’s largest marketplace for short-term property-backed loans, having served borrowers and investors across a broad geography. By September 2024 it had reached the €900 million funded milestone, which is among the highest volumes in European real estate crowdfunding. This was accompanied by positive stats like 98% of collaterals are first-rank mortgages and strong performance of new loans, which the company highlights to rebuild trust.

Moreover, EstateGuru has delivered some early exits and big repayments that instilled confidence. In late 2024, an Estonian developer unexpectedly repaid a €4.2M loan early, returning capital to 6,778 investors and yielding 10.8% interest, which was featured in the news as a sign of robust outcomes. The platform also claims an average recovery rate of ~7% interest even on defaulted loans that do get resolved – meaning investors often still profit after a default is sorted out, which is a unique success compared to many peers where defaults mean losses. EstateGuru’s community has been another strength: the referral programs and regular updates created a loyal base (somewhat eroded lately, but still active). In September 2024 alone, 963 new investors joined the platform, reflecting that many still see value and potential. The platform has also formed partnerships with institutional investors to co-fund larger loans (like agreements with family offices or funds to invest alongside the crowd), bringing additional capital and validation. In essence, while EstateGuru has hit obstacles, its success stories – from flagship projects repaying successfully, to rapid scaling and innovation in products – show what the platform can achieve. If it manages to solve the current default issues, those fundamental strengths (wide reach, asset-backed model, tech-driven service) could again shine. Investors considering EstateGuru should weigh both the glowing successes of the past and the recent pains, but there’s no doubt the platform has demonstrated an ability to deliver strong results under the right conditions.

Is EstateGuru safe and properly regulated?

EstateGuru is regulated as an EU crowdfunding service provider, holding a license issued by the Estonian Financial Supervision Authority in 2023. This means it must adhere to strict operational standards and is supervised by a national authority. The platform uses segregated client accounts via Lemonway to keep investor funds separate from its own. While regulation adds safety in terms of transparency and fund handling, it does not guarantee investments – investing in EstateGuru loans still carries risk of losing money, and there is no deposit insurance or guarantee fund covering your investments. Overall, EstateGuru is a legitimate, licensed platform, but investors’ safety depends on the success of the underlying loans.

What returns can I expect on EstateGuru?

The average return historically is around 9–11% per annum for investors. As of recent data, EstateGuru advertises ~10% average yearly yield. However, your actual return can vary. If you build a well-diversified portfolio and most loans repay on time, you might achieve around 8–12% interest. But given the many defaults since 2022, many investors’ effective returns have been lower (some report ~5% net after delays). Newer loans (2024 onwards) are performing well with ~10% yields, whereas older defaulted loans are dragging averages down. EstateGuru also now charges a ~1% annual fee on invested principal which will slightly reduce returns. So, while double-digit returns are possible, a cautious expectation might be around 6–10% net depending on default outcomes and fees.

How long is my money locked in and can I exit early?

When you invest in an EstateGuru loan, your money is typically locked until the loan’s term ends and the borrower repays, which on average is about 12–18 months. Loans can sometimes be extended or delayed, which prolongs the lock-in. Early withdrawal isn’t guaranteed, but there are options: EstateGuru has a Secondary Market where you can sell your loan claim to other investors before maturity. If there’s buyer demand, you can exit that loan early (the seller pays a 1% fee for the sale). Additionally, EstateGuru offers an Instant Exit program for certain loans, where the platform will buy your claim immediately but at a steep 35% discount – meaning you only get 65% of the claim value in cash; this is usually a last resort for emergencies. Note that if a loan is in default or significantly overdue, you may not be able to sell it at all (or only at a heavy discount on the secondary market). So, expect your investment to be illiquid for the loan term, but the secondary market provides some flexibility for early exit if needed.

What are the main risks with EstateGuru?

The primary risks include: Borrower default risk – the borrower may fail to repay the loan, leading to potential loss of capital. While loans are secured by property, the sale of collateral can be uncertain in timing and amount, and you may get back less than invested or nothing in worst case. As of 2025, default risk has materialized strongly (over 60% of outstanding loans in default), so this is the number one concern. Illiquidity – you can’t easily get your money out until loans repay (secondary market helps but is not guaranteed, especially in a downturn). You should be prepared to tie up funds for the full loan term or longer if delays occur. Platform risk – if EstateGuru itself faces financial trouble or technical failures, it could disrupt operations (though as discussed, regulatory safeguards exist for continuity). Macro risk – real estate markets and economic conditions affect borrowers; e.g. a market crash could spike defaults or reduce collateral values. Many of EstateGuru’s projects are in development or construction – these carry execution risk (cost overruns, sales risk) which can lead to borrower default if the project doesn’t go as planned. Concentration risk – if you put too much into one loan or one region, a single bad outcome could hit your portfolio hard. It’s crucial to diversify across many loans to spread this risk. No guarantee or insurance – unlike bank deposits, your investment is not insured; you can lose all your money on a given loan if recovery fails. Finally, there’s currency risk only if your home currency isn’t EUR (since loans are in EUR, non-euro investors bear FX risk). All these risks mean investors should only invest money they can afford to have inaccessible and at risk. EstateGuru itself acknowledges that crowdfunding investments entail “considerable risks” including possible total loss of invested assets. By understanding these risks and diversifying and using due diligence (or trusting the platform’s improved due diligence), investors can better navigate the EstateGuru opportunity.