Streitwise Review

Share on LinkedInShare on FacebookTweet about this on TwitterShare on RedditEmail this to someone

Lowest fees highest returnsStreitwise.com is an emerging player in the crowdfunding space and has a very unique model which has allowed them to offer investors some of the best returns. As many traditional platforms have moved away from equity financing Streitwise has stayed true to their focus and continues to offer high quality CRE for investors. Beyond this great offering they have also managed to create an reit which allows even non-accredited investors the opportunity to invest in their holdings.

Our complete Streitwise review is Coming Soon!

Q&A With Fundrise co-Founder and COO Brandon Jenkins

Share on LinkedInShare on FacebookTweet about this on TwitterShare on RedditEmail this to someone

We sat down and asked Brandon Jenkins, COO and co-founder of real-estate crowdfunding Fundrise.com to share with our readers some of the history and developments within Fundrise.com.

Hi Brandon, thanks for taking the time to share your thoughts with us.

CrowdTrader: Can you tell us about how Fundrise began and how you joined the team?

Brandon: The idea behind Fundrise came out of the personal experience of the founders as real estate developers in Washington, DC who recognized an opportunity to open up the world of real estate investing to a broader audience.

I joined when we were still doing our own real estate development projects – when Fundrise was just an idea starting to emerge.

CT: Fundrise has a bunch of unique features which is why I personally love the site, but how would you differentiate Fundrise from the other platforms out there?

BJ: First and foremost quality. We only work with the best quality real estate companies and search through hundreds of deals a week selecting only the top 1% to actually offer as investments.

Second, we focus on providing unmatched customer experience by creating a one-of-a-kind platform. Our technology is 100% designed and built in house…from scratch, so that the experience of investing on the platform is as straightforward and enjoyable as possible.

CT: The huge amounts of VC funding your company has raised is well known, where are you focusing most of this spending?

BJ: We are very diligent about how we spend. We want to know that we are getting a great return on our investment, so we focus our resources on creating the best products with the greatest long-term value.

CT: Since you are also in charge of product development, can you share with us any cutting edge product roll outs or features we can expect to see on Fundrise.com in the near future?

BJ: I can’t give away any specifics but we are working on a few big things that will be complete game changers for the crowdfunding industry…as big as the first day we launched.

CT: Do you have any plans to start issuing offers under Regulation A+ for non-accredited investors?

BJ: Our core business has always been and will be to provide the best quality investments to everyone – whether that is through Reg A+ or other offering structures we are constantly working to deliver on that goal.

CT: Fundrise.com is pioneering the prefunding model which definitely helps protect investors, but doesn’t this have a negative impact on the number of deals you can bring to market as well as the overall returns that investors will receive?

BJ: No, we are big believers in “putting your money where your mouth is” and prefunding every deal is evidence of the level of quality for each investment we offer. It also allows our investors to earn better returns because we are able to negotiate the best terms possible by having certainty of
capital.

Platforms operating under a “best-efforts” model have inherent uncertainty which puts them at a disadvantage when negotiating terms and this is passed along to their investors in the form of lower quality deals and a poorer risk adjusted return.

Refusing to lower our quality standards may result in us doing less deals in the short term, but we believe that our investors will benefit over the long run…and we are long-term in our thinking.

CT: Fundrise.com recently launched an income and growth portfolio which packages together a number of assets, this is starting to resemble a REIT how is this different?

BJ: It’s similar in that investors are able to diversify across multiple assets and we like that. Diversification is critical when it comes to smart investing.

It’s different in that investors get more transparency into what they are investing in and have much lower fees. Lower fees means better returns for investors.

CT: Currently Fundrise is only offering the two portfolio options for investment does this represent a fundamental change in your offering strategy? Will we still be seeing single offerings listed on Fundrise for investments?

BJ: We continue to develop ways for our investors to diversify across more deals at lower minimums – diversification leads to better performance and is something we have seen our investors consistently ask for.

CT: Where do you see the real estate crowdfunding industry in general in the next three years and Fundrise in particular?

BJ: One of our favorite quotes at Fundrise is from Bill Gates, who said “Most people overestimate what they can do in one year, and underestimate what they can do in ten” – crowdfunding is still in its earliest stage. Only in the last year have we truly started to compete and beat out traditional
institutional capital players to get deals done.

Over the long term, technology will disrupt the financial industry just like it did with book stores, travel agents, and taxi cabs – it’s simply more efficient to raise capital online with fewer middlemen each trying to get a cut of the action.

In the near term, you will start to see consolidation. The advent of crowdfunding has not gotten rid of normal business cycles and only when the downturn comes will you find out who was doing things right and who’s out of business.

CT: From a sponsor’s perspective, why should they choose Fundrise to raise capital?

BJ: The best real estate companies want to work with the best partners, ones that have a real depth of track record and experience in the real estate industry. They also want to get the best terms possible.

Because of the unique way in which we raise capital we can provide real estate companies with both the speed and efficiency of private funds and a cost of capital similar to the public markets -in short they work with us because we can provide them with the best deal.

 

Thanks Brandon, we will keep an eye out for new developments from Fundrise.com as I am sure the entire industry will too : )

 

 

FundriseHeadShots-2_(1)

 

 

 

Brandon is the Chief Operating Officer of Fundrise, the country’s first online platform for real estate investment. Brandon works with the design and technical teams to set the strategic direction for the software platform. Before joining Fundrise, Brandon worked as an investment broker and advisor at Marcus & Millichap, the largest real estate investment brokerage firm in the country. Prior to his time in brokerage, he worked for Westfield Shopping Centers in the Regional Development Office.

 

RealtyMogul

Share on LinkedInShare on FacebookTweet about this on TwitterShare on RedditEmail this to someone

With over 15,000 active accredited and institutional investors calling themselves Realty Mogul members, our devoted crowdinvesting community has invested over $60 million dollars in over 225 properties. And for their efforts they have received millions in distributions.

For accredited and institutional investors looking to diversify their portfolio, Realty Mogul offers a fast, easy, frictionless platform that serves as a 21st century bridge connecting them to previously inaccessible investment opportunities.

And for both real estate investment sponsors looking to raise equity and borrowers looking for a bridge loan, Realty Mogul provides access to equity and debt that would likely take several months to secure through more traditional means (and by “traditional”, we mean “slow” and “restrictive”).

So whether you are an accredited or institutional investor wanting to diversify your portfolio across real estate asset classes, a borrower in search of flexible financing, or a real estate investment sponsor looking to raise additional equity, join Realty Mogul today to take your real estate investing into the 21st century.

Welcome to real estate investing. Simplified.

RealCrowd

Share on LinkedInShare on FacebookTweet about this on TwitterShare on RedditEmail this to someone

  real-crowd-logo       RealCrowd is a private, secure and simple-to-use online platform for accredited investors to access, review and  invest in commercial real estate opportunities across the nation. Using the platform, investors can inspect investment offers and materials, such as legal documents and due diligence items, allowing them to make informed investment decisions in what is widely considered one of the greatest wealth creation tools on the planet.

Guide to Crowdfunding Investing

Share on LinkedInShare on FacebookTweet about this on TwitterShare on RedditEmail this to someone

crowd-trade-logo3e-transparentCrowdfunding has exploded as a great way to raise money on the internet for many different causes and projects. It basically allows anyone to share their project or cause and appeal to the masses for financial backing. It has recently been adopted (thanks to the JOBS Act) by various businesses as a new an innovative way for them to raise capital by selling equity or debt  in their project or business venture. This has evolved to create a new asset class for investors allowing “the crowd” to participate in funding start-ups, real-estate developments, or large income producing properties in return for equity or interest payments. In general I would categorize the offers available in to three groups:

Start-Ups

Start-up businesses offer equity to investors and although this is highly speculative the returns can be huge as well. These companies may only be an innovated idea or a company with a prototype of a product. They have no revenue or past performance to base their projections on. More about funding start-ups here.

Growth Companies

Private early stage companies are small private companies which are already selling a product or service and have already generated revenue. These companies are looking for financing to increase production or expand their businesses. These investments are more stable as they have a business model which is already producing revenue although they may not yet be profitable. The returns can be forecasted with much better accuracy and the company value is easier to determine. Some of our favorite platforms offering these type of investments are Circleup.com, Seedinvest.com and crowdfunder.com. Make sure to read our full circleup reviews , seedinvest reviews and crowdfunder reviews as well for more info.

Real Estate

Real Estate companies offer a number of options as well. They may sell debt, offer equity or a combination of both. These offerings may range from development projects of high-rise apartment buildings or single family homes to income producing properties such as elderly care facilities, hotels or commercial real estate. Some of our favorite options for real estate investing are fundrise.com, realcrowd.com, realtyshares.com and realtymogul.com click to see our thoughts and reviews.