Real estate crowdfunding has been a popular investment option for many people over the years. There are more applications and services being added to the list every month. Our goal is to bring you the most honest, simple, and informative reviews. Turns out, users also want to compare specific applications.
This review compares Groundfloor and RealtyShares . The better service depends on your needs. Let's dive in!
According to our readers (you!), when it comes to real estate crowdfunding, people
care most about the minimum investment required, whether they need to be an
accredited investor, and whether or not the software has support private reits.
Let's look at how Groundfloor and RealtyShares stack up
against each other on these threads.
To start, we will consider the minimum investment required for both applications. In other words, how much does one need to invest to use the service? Out of the two, Groundfloor minimum investment of $10 is smaller than the deposit of required by RealtyShares.
Being an accredited investor is often required from real estate crowdfunding
RealtyShares requires accreditation whereas Groundfloor does not. If you aren't an accredited investor, then you can only use Groundfloor.
Unfortunately, neither Groundfloor and RealtyShares offers a private REIT.
|Review||Groundfloor Review||RealtyShares Review|
Overall rating as by Investor Junkie.Rating
|Commissions & Fees|
|Ease of Use|
|Amount of Deals|
|Promotions||None||$100 cash bonus when you enter "partner100"|
|Account Fees||No Fees for Investors||1% on equity; up to 2% interest rate spread on debt|
|Investment Length||3 - 12/months||6 - 120/months|
|Regions Served||8 states plus Washington, D.C.||Not available in AK, NV, ND, SD, VT|
|Self Directed IRA|
|Sign Up||Sign Up|
Groundfloor is a real estate lending marketplace created for non-accredited and accredited investors. Specializing in lending for single-family or small multi-family home rehab and renovation loans, Groundfloor provides access to short-term, high-yield returns with a minimum investment of as little as $10. Typical loans return 6%–14% annually on a six- to 12-month term.
RealtyShares is an online investment platform that specializes in real estate investments. It focuses on smaller business investments, including single-family house flips. RealtyShares has a large amount of investment type options, though the investments are illiquid.