The best real estate crowdfunding platforms


Real estate investing doesn’t have to be hard. There are easier and straightforward ways to add real estate to your portfolio if you want to avoid doing extensive real estate research. This is possible due to real estate crowdfunding platforms. You can diversify your portfolio by adding commercial properties, residential properties and other real estate investments at low cost.

In this article, we have compiled a list of the best real estate investment platforms to help narrow down your options. Keep reading to find your best match.

1. Fundrise (our top pick):

Best for beginners and unaccredited investors

expenses Minimum investment Average annual returns total investor dividends investment options Accredited investors only
0.85% asset management fee; 0.15% advisory fee Depending on account level: $10 to $100,000 From 2017 to 202: 7.31% to 16.11% $124 million + Varies based on the selected account level number

The Starter Portfolio of Fundrise requires only $10 to start investing. Furthermore, it is not necessary to be an accredited investor. Fundrise offers portfolios for both income and growth investors, as well as a combination of the two. At only 1% per year, the fee structure is simple and straightforward.

For various reasons, Fundrise is at the top of our list. First of all, Fundrise was founded in 2010, which makes it one of the platforms with the longest operating history as compared to the others.

Fundrise is a crowdfunding real estate investment platform that offers a variety of investment portfolios.

We believe Fundrise has something for everyone. Fundrise uses a valuable investment strategy when it comes to real estate investing. This crowdfunded real estate platform aims to purchase properties below market value and then, through improvements, build equity.

Positives

  • Fundrise is open to unaccredited investors
  • Trading on the platform requires a small minimum account size
  • It has five levels of different accounts that you can choose from
  • Fundrise is a highly diversified investment platform
  • Excellent for passive investment

Negatives

  • Illiquid investments, which means that you cannot cash out or sell your investments as easily as you can with liquid assets such as mutual funds and stocks.
  • Its fee schedule is complicated
  • Fundrise is not suitable for short-term investments

Get started with Fundrise

2. RealtyMogul: Best for Income Investors

expenses Minimum investment Average annual returns total investor dividends investment options Accredited investors only
1% to 1.5% 1000 dollars 4.5% to 8% 136 million dollars
  • 1031 exchange.
  • Single property (office, self storage, multiple families, medical office, industrial, retail).
  • Real Estate Investment Trusts (REITs)
number

RealtyMogul

More than 219,000 investors have joined RealtyMogul since its inception in 2012 to gain access to real estate investment trusts (REITs) and special market offerings. RealtyMogul is known for its exceptional due diligence, personally evaluating every potential property and scrutinizing every deal using property models and methods.

This crowdfunded real estate platform searches for good rental properties or existing leases. It only works with real estate partners who have asset management experience and a proven track record. Don’t make cashless investments like basic construction or raw land. Investors can choose one of three objectives: diversification, growth and passive income.

Positives

  • RealtyMogul has a good investment choice
  • Detailed due diligence
  • Monthly automatic investment in Real Estate Investment Trusts (REITs) starts at $250 per month

Negatives

  • Each investment comes with different fees
  • Investments are difficult to sell or trade
  • Some extended waiting times

Get started with RealtyMogul

3. CrowdStreet: Best for Accredited Investors

expenses Minimum investment Average annual returns total investor dividends investment options Accredited investors only
CrowdStreet funds: 0.50% to 2.5%. Other fees vary depending on the offer $25,000 As of 2021, it was 17.3%. In general, it depends on the investment 220 million dollars
  • individual deals.
  • funds.
  • Professionally managed and tailored portfolio
yes

Crowdstreet has attracted more than 100,000 investors from across the United States. Its innovative technology provides direct access to a carefully vetted real estate investment portfolio with a quality regulated institution. Accredited investors can choose to invest in a single property or fund.

Founded in 2014 and headquartered in Portland, Oregon, Crowdstreet has published over 550 commercial real estate investment offers. 63 of these commercial real estate investment offers have been fully realized.

Positives

  • With a handy chatbot feature, Crowdstreet is an easy-to-use platform
  • Investment details are easily accessible when you sign up for a free account
  • Institutional Quality Offers

Negatives

  • Open to accredited investors
  • High investment limits
  • Does not support early withdrawals

Get started with CrowdStreet

4. Multiple

expenses Minimum investment Average annual returns total investor dividends investment options Accredited investors only
The stock investment fee is 1%. Other fees are determined by the offer $10,000 Historically, 16.8% $126.7 million
  • 1031 investment exchange.
  • Preferred Equity and Preferred Debt.
  • Commercial institutional real estate.
  • Opportunity areas.
yes

Multiple It is a crowdfunded real estate platform focused almost exclusively on commercial and institutional real estate and also offers preferred equity, large debt and equity investments. EquityMultiple recently expanded its portfolio with tax-privileged real estate investments (1031 exchange and opportunity area) and fund products. The frequency of deal distribution varies but is usually monthly or quarterly.

Positives

  • It has a good investment choice
  • A variety of target waiting times
  • It is an easy-to-use, crowd-funded real estate platform

Negatives

  • Available only to accredited investors
  • High minimum investment
  • Refund options are limited

Get started with EquityMultiple

5. Yieldstreet: The Best in Real Estate and Alternative Investments

expenses Minimum investment Average annual returns total investor dividends investment options Accredited investors only
For Prism, fees range from 1% to 2%. Other investments starting from 0%

500 dollars. Some investments require an initial investment of $10,000. A minimum investment of $1000 is required for short term notes options 9.71% average rate of return 100 million dollars
  • Short term notes options.
  • alternative investments.
  • Multi-asset funds.
number

Yieldstreet provides alternative investments and real estate to accredited investors with an investment of at least $500. The company currently allows you to invest in the following alternative asset classes: real estate, marine finance, legal finance, technical finance, commercial and consumer finance.

But don’t worry if you are not an accredited investor. Yieldstreet Prism Fund is still available for investment to non-accredited investors. This Prism Fund also requires a minimum investment of $500. However, it allows you to invest in various alternative asset classes.

Positives

  • It provides access to alternative investments such as lawsuits, real estate, arts, debt, etc.
  • Specially structured credit deals are open to individual investors
  • We welcome unaccredited investors
  • Every investment is backed by tangible assets.
  • The platform is easy to use
  • It can be managed online or via mobile apps

Negatives

  • Investments are illiquid.
  • Only accredited investors can access most of its investments
  • Relatively high fees
  • Customer reviews and consumer complaints raise concerns

Get started with Yieldstreet

6. AcreTrader

expenses Minimum investment Average annual returns total investor dividends investment options Accredited investors only
0.75% Usually, it varies. $10,000 – $25,000 7-9% 40 million dollars Farmland yes

Farmland may be an option for individuals who are considering a less common approach to real estate investing.

AcreTraderAcreTrader is an agricultural land platform available to accredited investors only that allows you to invest in shares of working farms. Income is generated by leasing the land to farmers or selling it at a higher price after years. The minimum investment ranges from $10,000 to $25,000.

Positives

  • AcreTrader farmland investment platform helps farmers by handling insurance, property management, management and other aspects of land ownership
  • 7-9% target returns range
  • Investing with Self-Directed IRAs (SDIRAs)
  • Sale leaseback, capital raising and property expansion options for farmers
  • Due diligence process and rigorous underwriting of property

Negatives

  • Only accredited investors are welcome
  • Few new offers
  • Limited investment choice
  • Illiquid investments, i.e. shares of farmland, cannot be bought and sold as easily as with an ETF or stock

Get started with AcreTrader

7. The first national real estate partners

expenses Minimum investment Average annual returns total investor dividends investment options Accredited investors only
Typically 0.50% to 1.5% $50,000 12-18% $914 million
  • Real estate
  • individual deals
yes

First National Realty Partners (FNRP) is a real estate investment open only to accredited investors. It is a platform that enables investors to increase their wealth by investing in commercial real estate based on grocery. First National Realty Partners (FNRP) was founded in 2015. It is headquartered in New Jersey. Opportunity funds or individual property are available for investment. The holding period for the Opportunity Fund ranges from three to seven years.

Positives

  • Provides clear and consistent property acquisition standards
  • Grocery chains and tenant relationships with major retailers
  • It supports simple diversification of fund option

Negatives

  • The minimum investment is relatively high
  • Available to accredited investors only
  • The website can be difficult to navigate

Get started with our first national real estate partner

conclusion

Hopefully, with all the information in this article, you can make an informed decision on the best real estate crowdfunding platform for you.



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