Best Real Estate Crowdfunding Platforms of October 2020

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Real Estate Crowdfunding is a great way in which you can build wealth over time. There are many different ways of approaching this type of investing. This means that you need to be up to speed on all the various aspects of real estate to ensure that you are making smart investments.

The last thing you want to do is ignore the experts who have tried and tested methods and platforms for successful real estate investing. There is a real estate platforms list that you should be well up to date with. You will then be armed with the necessary tools to make your money work for you through real estate.

Name

Fundrise

Minimum Investment
$500
Account Fees
0.85% annual asset management fee
Investment Length
4-7 years
Offering Types
eREITs, eFunds
Fundrise is an online platform for real estate investing that provides opportunities for the average joe to invest in both commercial and residential property. This is done thanks to crowd funding. Unlike a lot of similar platforms, you do not need to be an accredited investor in order to put your funds to work with Fundrise for the most part. Their offering mainly revolves around real estate investment trusts (REITs). The company was started in 2010 and is one of the forerunners in the space of online crowd funding for real estate. It was in 2015 that they caused a stir in the sector due to their very first eREIT. This is a REIT that is available online to all types of investors. Fundrise is committed to giving equal opportunity to investors and they are now one of the most established companies of their kind in the space today.
Name

Housers

Minimum Investment
$50
Account Fees
10% fee on profits
Investment Length
12-60 months
Offering Types
Buy to let, Buy to sell, Development loans
Housers is a platform for real estate asset investing, focusing on the European market. They began their operation in January 2016 in Spain. They have gradually expanded their operations, opening up in Italy during April 2017 and in Portugal in August 2017. All of their investments have links with real estate assets. They provide monthly income for their investors and they aim to diversify their offerings through having a presence in numerous countries. They are one of the first platforms of this kind to target the European market. They are open for all levels of investor, with the minimum investment only being €50. They aim to provide maximum transparency to investors and carefully select the properties. Housers try to make the entire process simple, with the goal of realizing consistent returns with low levels of volatility. At Housers, they specialize in three types of investments. These are development loans, buy to let and buy to sell. They also have plans to get into the art buying space in the future and offering this to investors.
Name

Crowdestate

Minimum Investment
$100
Account Fees
20% success fee when return is greater than 8%
Investment Length
9-24 months
Offering Types
Real estate, mortgage loans, corporate financing
Crowdestate is a crowdfunding online platform for real estate that was founded in Estonia. In addition to offering a vehicle for investors to get involved in real estate projects across the world, they also have a mortgage loan and corporate finance offering. They have been in operation since 2014, with the first of their investable projects coming to light in May 2014. Since then, they have gotten nearly 30,000 investors on board for 145 projects. In that time, more than €60 million has been raised in that time. The average return during this period was 18.73%. Crowdestate aims to offer complete transparency to their investors by providing them with as much information as possible about potential investments. Their expert team has already vetted the potential investment in advance, saving you a lot of time in the process.
Name

PeerStreet

Minimum Investment
$1,000
Account Fees
0.25%-1%
Investment Length
6 months to 36 months
Offering Types
Real Estate Loans
PeerStreet acts as a marketplace in which accredited investors are able to make investments in real estate loans that are private and of a high quality. They have been in business since 2013 and they have raised over $50m in funding to date. Some of their notable venture partners include Andreessen Horowitz and Felicis Ventures. Access is given to asset classes that previously were very hard to access. They deal with the likes of institutions, funds and accredited investors for the most part. These are debt investments mainly for residential real estate. Some may call this type of real estate investing as being hard money loans or fix and flip loans. PeerStreet buys loans from different third parties that have undergone vetting. PeerStreet will then sell them to their users who pool their money together. Usually, the loans will have terms of between 6 and 36 months. For the most part, they will have max loan to value ratios of 75%.
Name

CrowdStreet

Minimum Investment
$10,000
Account Fees
Only small fees overing legal costs etc
Investment Length
36-360 months
Offering Types
Debt, equity, preferred equity
CrowdStreet is one of the leading online platforms for commercial real estate investments. They have 170,000 users on board and provide them with access to many different types of real estate investments. They also have relationships with over 260 major commercial real estate developers who raise capital through the CrowdStreet platform. The company’s headquarters is in Portland, Oregon and they have many different offices throughout the United States. They have been in operation since 2014 and they are constantly looking at innovative ways in which they can take their offering to the next level.
Name

RealtyMogul

Minimum Investment
$1,000
Account Fees
0.3%-0.5% annually
Investment Length
6 months to 10 years
Offering Types
REITs, Individual Properties, 1031 Exchanges
Realty Mogul aims to provide their clients with innovative ways to invest in real estate. It is a crowd funding platform whereby investors can pool their money together in order to create strong investments in real estate. They have been in business since 2013. This is through real estate investment trusts (REITs) and through individual properties. They try to offer a personal experience and provide investment opportunities in a data driven manner. Their main target real estate opportunities are those that are well leased or have leases in hand. They are not interested in investments that do not offer any cash flow, whether it is raw land purchasing or ground up construction. Over the years, Realty Moguls has built relationships with partners in the real estate world that are trusted and have the results to back up their knowledge. To date, Realty Mogul has financed more than $2 billion worth of property and they have more than 175,000 members. As part of this Realty Mogul review, we will look at its features and advantages, as well as its drawbacks.
Name

Groundfloor

Minimum Investment
$10
Account Fees
No fees
Investment Length
3-12 months
Offering Types
Home renovation loans
Groundfloor has been in operation since 2013 and they have their headquarters in Atlanta, Georgia. Their main area of focus as a crowdfunding real estate platform is on small residential real estate development projects. Most of their competitors focus their efforts on large commercial projects. Groundfloor look to offer renovation loans to those flipping properties. Usually, these will be for single family properties or small multi-family properties. The investors get in on the action by taking an investment in the renovation loan. Since they started in 2013, Groundfloor has been the arranger for more than 330 loans, worth more than $40 million. This is mainly in the form of short term financing. Most of their competitors go down the route of equity funding in some shape or form. Groundfloor is constantly expanding and they are a trusted online real estate investing crowdfunding company.
Name

RealtyShares

Minimum Investment
$1,000
Account Fees
1% annual fee
Investment Length
6-120 months
Offering Types
Common equity, Preferred equity, Debt
RealtyShares was founded in 2013 and since then, they have brought more than 1,160 projects to their platform for their investors. In this time, more than $870 million has been invested in these projects by users of the platform. Their team has a lot of experience in the real estate, finance and technology spaces. It is a crowdfunding real estate platform that caters for sponsors, borrowers and investors. One of their main focuses is on smaller scale types of investments, like flipping single-family housing. Most of their competitors focus on bigger scale projects such as commercial and large multi-family complexes. You have access to many different real estate investment opportunities with RealtyShares for competitive rates, as you will have direct access to these project as RealtyShares does not have to go through a middleman.
Name

Rich Uncles

Minimum Investment
$5
Account Fees
No broker/dealer fees. 3% funds fee
Investment Length
4-7 years
Offering Types
REITs
Rich Uncles is a relatively new company and they offer real estate investing to non accredited investors. This is through three different non-traded, public real estate investment trusts (REITs). They are one of the proponents of crowd funding property investing. This method of investing makes it much easier for the average investor to have an allocation of his or her portfolio dedicated to real estate investments, as you can invest as little as $5. These REITs are required by law to pay out 90% or more of their total income through dividends to the shareholders. Therefore, investors can realize regular income through their investments.
Name

LendingHome

Minimum Investment
$5,000
Account Fees
1.15%-2.6% on monthly interest
Investment Length
12 months
Offering Types
Bridge Loans, Platform Notes
LendingHome is effectively a different option to the usual mortgages process for residential real estate. Their platform and underlying technology will make the process a lot faster and simpler for investors and borrowers. You can receive almost instant funds for your investment upon approval. However, you will need to have at least $50,000 in order to make an investment. As a direct lender, LendingHome acts as the originator of loans by using their own capital. Once these loans have been close,d they will then be entirely sold to their institutional investors or else they will be broken down into Platform Notes. This is how individual investors can get in on the action. For getting involved in the Platform Notes side of things, the minimum investment is only $5,000.
Name

EquityMultiple

Minimum Investment
$10,000
Account Fees
1%
Investment Length
N/A
Offering Types
N/A
This cloud based application platform gives its users the opportunity to take part in real estate transactions through crowdfunding. It brings security and allows users to invest in property crowdfunding without the stress or hassles of working independantly. You will never need to fix a leaky tap! The EquityMultiple technology is advanced and focuses on data storage, workflow, integration, scaling, and security. The product employs ultimate protection, so its users can rest assured. External threats are also protected against with some of the most cutting edge technology. As it is all based in the cloud it gives the ability to deploy security updates without any service interruption to the user. This is a great option for those users that maybe have some background experience in nvesting.  The level of customer support is great but if you are an absolute newbie then perhaps better going elsewhere. The team who work for EquityMultiple are in principle property investors and experts. It is this expertise and knowledge that helps create this excellent product. The question that now comes to mind is, is EquityMultiple the right product for you? This article will help you decie exactly that.
Name

Roofstock

Minimum Investment
$0
Account Fees
0.50%
Investment Length
N/A
Offering Types
Equity, Direct Ownership
Roofstock is an online marketplace that focuses on making investments in the single-family rental space. The creators of the platform have a long track record of investing in this sector and it is looking to make the space a lot more transparent and efficient. Buyers will be able to invest in vetted homes that have nice potential for cash flows, while sellers can market their homes without having to deal with tenant disruption or losing income. This Roofstock review will look at all of the different aspects that make up this offer, allowing you to determine if it will be a good fit for you.
Name

AlphaFlow

Minimum Investment
$10,000
Account Fees
1%
Investment Length
12 - 48
Offering Types
Debt, Equity
AlphaFlow is an online platform that was originally created by a group of private lenders. It has offices in New York City and in San Francisco and its specialization as a company is residential real estate debt in a crowdfunding format. This provides a diversified set of investments for investors once they have been accredited. AlphaFlow is a passive approach to residential real estate lending. This AlphaFlow review looks at the ins and outs of this offering giving you a proper insight into whether or not you will be of benefit of signing up for an account.
Name

RealCrowd

Minimum Investment
$5000
Account Fees
$0
Investment Length
36
Offering Types
Debt, Equity
RealCrowd is a platform that focuses its efforts on commercial real estate investment. There is a range of different types of properties available to invest in on the platform. The properties themselves are listed on the RealCrowd site through third-party firms, with RealCrowd effectively being the middleman marketplace to allow investors to get a piece of the action of these properties. The company was started by a team that has a lot of experience in the real estate and fintech sectors, bringing this experience to bear to create the RealCrowd offering. This RealCrowd review looks at all of the various compartments of this offering, giving you a good insight into what you can expect if you sign up for an account.
Name

EstateGuru

Minimum Investment
€50
Account Fees
0%
Investment Length
6 - 36 months
Offering Types
Business Loans, Development Loans, Bridge Loans, Refinancing Loans
EstateGuru was started back in 2013 when a group of experts in the fintech and real estate spaces came together in Estonia and came up with the idea to make it much easier for the everyday persons to be able to invest in secured property loans. For years, these types of investments were mainly only for the ultra-wealthy. Since then, the platform has been growing year-on-year, bringing conservative investment opportunities to the table for its investors. The main focus is on the European real estate market, particularly for shorter-term loans that are backed by properties. Tens of thousands of investors have joined up to the EstateGuru site over the years and have invested in loans, most of which range from 12 months to 18 months in length. This EstateGuru review will look at all of the different features of the EstateGuru offering. This will give you a good insight as to what you can expect if you sign up to the site.
Name

Origin Investments

Minimum Investment
$100 000
Account Fees
1.5%
Investment Length
N/A
Offering Types
Equity, Preferred Equity
Origin Investments was founded back in 2007 as a real estate investment company that is the owner and operator of many commercial properties across the United States, with its main focus being on the fastest-growing markets in the nation. The headquarters is in Chicago and it has other offices across the United States. The Origin Investments platform allows investors to get access to a number of different diversified property funds. You can view the properties individually that make up these funds, but this is not a site for purchasing an individual property. You will be buying a mix of a range of different properties. This Origin Investments looks at the different parts of this offering a lot of detail, allowing you to gain an insight into whether or not this might be a good fit for your investment needs.

How To Invest In Real Estate?

There are many ways in which you can invest in real estate. The most popular options are to become a landlord, joining a real estate investment group, engaging in real estate flipping or investing in real estate investment trusts (REITs). Each of these options have their own pros and cons.

How Much Money Do You Need To Invest In Real Estate?

The answer to this question depends entirely on what method of real estate investing you partake in. If you want to become a landlord, naturally you will need a significant capital sum for the deposit as well as for any repairs and renovations. However, if you are looking at an investment group or REIT, you can get started with sums as low as $500.