Real estate crowdfunding has transformed the real estate investing landscape. Once reserved for only the most affluent investors, many real estate platforms have significantly lowered the barrier to entry when it comes to investing in real estate.
The low account minimums, reasonable fee structures and cleanly laid out investment details on these platforms make it easier for investors to include real estate in a well-diversified portfolio.
What’s the difference between these platforms and REITs?
Real estate crowdfunding platforms, on the other hand, pool funds together to let average investors participate in the real estate market through private REITs — which aren’t available through traditional brokerages — as well as private market real estate investments, like individual properties. These could potentially provide higher returns than the REITs available through traditional brokerages, but they may also carry higher risk. Some of the companies on this list also offer other types of investments, such as venture capital, private equity or collectables like art.
Below, our top picks for the best real estate crowdfunding platforms based on several factors, including account minimums, customer support, redemption options, fees and more.