Crowdfunding has become a serious form of participation for investors and capital for developers. Although this is not an exhaustive list of crowdfunders, it is some of the better known. DCLHCP may or may not offer its projects under any of these sources so review them or register to be kept up to date on developments.

Based in Los Angeles, Realty Mogul works with individual and institutional investors to help borrowers and sponsors connect to capital. It was one of the first crowdfunding sources on the scene back in 2013. This is not blind investing. Realty Mogul personally visits every property and works solely with partners with proven strategies. They deal predominantly with properties that are already leased, and they work with both accredited and non accredited investors.

With short term horizons of one to five years, Fundrise and its crowd have invested tens of millions of dollars into real estate properties, including the iconic new World Trade Center. The focus here is not just on acquiring properties but on improving them. Fundrise’s goal is to purchase properties for less than what it would likely cost to replace them. They have over 75 years of experience as a team. You can invest here for as little as $5,000, and the vetting process is topnotch. Only about 5 percent of proposals received by Fundrise are accepted. Non accredited investors are welcome, but they might not have access to the full scope of Fundrise’s offerings.

Invest as little as $5,000 in CrowdStreet’s professionally managed real estate deals. Founded by CEO Tore Steen and VP of Business Development Darren Powderly, CrowdStreet has negotiated over $200 million in institutional quality commercial real estate transactions. The site comes with a nice array of online tools, and expert help is available if you need it. There’s no fee to join the CrowdStreet marketplace, and all opportunities ahve been thoroughly vetted.

Groundfloor uses state crowdfunding rules. This means that people located in states where Groundfloor does business don’t have to be accredited investors to participate in the site’s real estate deals. Investors can put up as little as $100 in properties and financings. Typical venture loans to real estate entrepreneurs return about 10 percent in six to 12 months. Founded in 2013, Groundfloor welcomes both accredited and non accredited investors. It thoroughly vets each borrower and pre funds each loan.

Build on its founders’ collective $3 billion in institutional real estate investing experience. RealCrowd emerged from the prestigious Y combinator Incubator program. If you don’t like too much risk, this could the source for you. RealCrowd deals only with companies that don’t need your money. They must have at least 10 years’ experience and at least $50 million in transactional histories. They can close without your funds. So why would they work with RealCrowd? For access to its network of investors. One downside is that RealCrowd deals typically require a $25,000 to $50,000 minimum investment.

RealtyShares has an impressive track record – nearly $90 million invested dollars in projects in more than 40 states. Invest as little as $5,000 in RealtyShares’ offerings of direct equity and debt instruments. CEO Nav Athwal says, “We make the process of investing in real estate as easy as purchasing shares in publicly traded companies on E-Trade.”

Patch of Land was founded by two brothers who wanted to help communities that suffered under the real estate crash of the early 2000’s. It’s a peer to peer marketplace that matches investors with investment opportunities. These opportunites are short term and high yield. The focus here is on projects that traditional lenders will sniff at and turn away from. One downside is that it works with only accredited investors.

Rich Uncles is for accredited and non accredited. Minimum investment amound: $500. Rich Uncles was founded in 2005 (rebranded in 2016) and offers income producing retail and office commercial and industrial real estate projects. It’s a “blind pool offering” which means you can’t choose which projects to invest in. The amound of projects they’ve funded historically isn’t listed but there are 36 total projects that they’ve funded overall. Fees vary, but there’s a 0.1% monthly fee, a 3% acquisition fee, as well as other vaiorus lender fees. Typical returns on investments are 7% or more and dividends are paid monthly. They vet their properties by only purchasing properties with long term triple net worth leases with well qualified tenants in place and they only buy properties where constructions is complete.

MinnowCFunding is for accredited and non accredited. Minimum investment amound: $1,000. MinnowCFunding was founded in 2017 and their offerings include residential, commercial, and industrial real estate. Since they’re so new, information is limited on the value of their assets and their performance. Fees vary per deal but they do collect a 7% fundraising fee. Dividends are paid annually at about a 5% rate of return on investment, plus a higher return when and if a property is ever sold. Their team of real estate veterans and advisors has over 50 years of collective experience underwriting and managing real estate so they do have a strict vetting procedures for each investment. MinnowCFunding is right for investors who want to spread out their investment amond commercial, industrial and residential properties.

Small Change is accredited and non accredited with a minimum investment amound: $500. Small Change was started in 2014 and you can choose the project you want to invest in. However, some are open to everyone while others are only open to accredited investors. The offerings include residential, commercial and mixed us properties. Each project is socially conscious in varying ways, from green building materials to being located in a walkable area to providing affodable housing. Small Change doesn’t charge investors any fees but there is a profit share with the sponsors. Profits vary by project but average annual returns are 8% or more. The vetting process is based on what will make a profitable investment and what will also positively impact the investment’s surrounding neighborhood.

EquityMultiple offers only accredited investors with a minimum investment amound: $5,000. EquityMultiple was started in 2015 and they offer commercial real estate debt and equity so you can choose a deal that fits your investment objectives. They co-invest in every deal and their fees are 0.5% annually. Typical annual returns on investment range from 10%-17% and the payment of distributions vary depending on the deal, but are usually monthly or quarterly. They have experienced real estate companies that perform due diligence for every deal prior to offering them to investors. Less than 5% of deals pass this vetting process. Equity Multiple is therefore right for investors who appreciate a stringent investment vetting process.

1031 Crowdfuding is for accredited only has a minimum investment amount: $25,000. 1031 Crowdfunding was started in 2014 and they are tailored for commercial real estate investors who want to sell their properties without being taxed. Their offerings include commercial real estate equity investments that qualify for 1031 exchanges. They have completed over $2 billion in total real estate transactions. Their fees are typically between 5-7% up front. They currently have 23 investments available including retail, industrial and apartment buildings. Their experts vet the properties based on their ability to perform a 103 exchange for commercial real estate. 1031 Crowdfuding is right for current commercial real estate investors who want to sell one of their properties and defer capital gains.

PeerStreet is for accredited only and has a minimum investment amount: $1,000. PeerStreet was started in 2013 and they offer residential debt investments, multifamily and commercial property investments. You can choose your own investments by filling out custom parameters or you can opt for the auto portfolio. As of October 2017, they’ve done over $500 million in total loans funded. Their fees are 1% annually. Their average return on investment is 6-12% annually and dividends are usually paid out monthly. They have a strict loan vetting process and their experienced staff only choose high quality loans. They also offer complete transparency to investors who want to see their prior performance history and claim to have zero losses to investors to date. PeerStreet is right for investors who want to customize their investment parameters.