7 Best Fundrise Alternatives for Real Estate Investing

Most people think of Fundrise when they think of real estate crowdfunding platforms. That’s for a good reason. They were one of the first companies in the space to bring real estate investing to the masses.

The company has over $2.5 billion invested in properties and over 500,000 customers. A quick glance at their investments reveals hundreds of properties to invest in, all with just $500.

However, legitimate Fundrise alternatives have opened to help people eager to start investing in real estate. If you’re not happy with the real estate investing platform’s performance or want to do your due diligence, our guide to the top sites like Fundrise provides other top choices.

Best Alternatives to Fundrise for Investing in Real Estate

Fundrise offers a lot of features and benefits to investors. That said, it’s not for everyone.


Site Focus Minimum Accredited? Visit
Fundrise eREIT – mixed-use properties $500 Any Investor Learn More
Diversyfund eREIT – residential apartment buildings $500 Any investor Learn more
StreitWise eREIT – commercial real estate $2,500 Any Investor Learn More
RealtyMogul Commercial real estate, direct or by fund $1,000 – $5,000 Any Investor Learn More
Roofstock Turnkey single-family rentals Varies Any Investor Learn More
Groundfloor Peer-to-Peer lender $10 Any investor Learn more
PeerStreet Peer-to-Peer Lending $1,000 Yes Learn more
EquityMultiple 1031 Exchanges $10,000 Yes Learn more

Here are other terrific options to create a diversified portfolio of investments.

1. DiversyFund

DiversyFund is a newer real estate crowdfunding company. Like other Fundrise competitors, you invest in a real estate investment trust (REIT) that offers investment opportunities to all investors.

The Growth REIT is the only REIT DiversyFund offers. It focuses on allowing investors to earn income by investing in residential apartment buildings.

Unlike other crowdfunded platforms, DiversyFund owns and manages the properties they invest in. This allows them to eliminate fees.

DiversyFund lets you invest with as little as $500. All dividends are reinvested in properties. This keeps you from withdrawing gains until a property is sold.

Investors aren’t able to sell their shares until the company liquidates the REIT. This may result in an investment term of at least five years.

The platform is running a promotion for new investors, where all new customers receive a $50 Amazon gift card. Use the code Diversy50 to receive the promotion.

Who Should Use DiversifyFund?

DiversyFund is a fantastic fit for investors who want to earn passive income and don’t mind having their cash sitting in a property. The low barrier to entry lets you get into real estate properties with minimal funds.

Pros and Cons

The real estate crowdfunding company has a lot to offer investors. Here’s what to consider before joining:

Pros:

  • $500 minimum investment
  • No management fees
  • They manage the properties

Cons:

  • One investment choice
  • Dividends are reinvested

Diversyfund offers significant opportunity for new investors that want to add diversity to their wealth building.

2. RealtyMogul

RealtyMogul is one of the more unique apps like Fundrise. While the previous options only offer one investment choice, RealtyMogul is a more robust online real estate investing company.

The platform has two REITs to invest in, including MogulREIT I and MogulREIT II. Both have investment minimums of $5,000 and management fees of one percent and 1.25 percent, respectively.

Although it is a higher barrier to entry, additional investments can be made in $1,000 increments. MogulREIT I distributes monthly dividends with an annual rate of six to eight percent.

MogulREIT II distributes quarterly with an annual rate of up to five percent.

MogulREIT I includes investments in multi-family, office, and retail space. MogulREIT II only invests in multi-family properties. You must hold investments for at least three years to avoid an early redemption fee.

RealtyMogul also offers private placements with a minimum investment of $15,000. Additionally, they offer 1031 Exchanges for interested investors.

Who Should Use RealtyMogul

RealtyMogul is good for both accredited and non-accredited investors looking for diversity in their holdings. Alternatively, if you’re an accredited investor who wants a private placement property, RealtyMogul is a top choice.

Pros and Cons

The platform has a lot to offer investors. Here’s what to consider before joining:

Pros:

  • Two REIT choices
  • Private placement properties
  • 1031 Exchange opportunities

Cons:

  • Higher investment minimum

RealtyMogul has a higher minimum to start investing, but it makes up for this by allowing you to invest in multi-family and commercial properties.

3. Streitwise

Streitwise is a perfect choice for non-accredited investors who want to invest in commercial real estate. Like DiversyFund, it has just one REIT offering (known as 1st Streit Office) that focuses on investing in office properties.

There isn’t a flat investment minimum, but you must purchase 250 shares of the REIT to open an account. The current price, as of Q2 2021, is $10.09 per share. This would equal $2,522.50 to start investing.

Investors can add to their holdings in $500 increments once they open their account. Streitwise pays quarterly dividends, which range between eight and nine percent. The dividend was 8.4 percent for Q4 2020, net of fees.

Streitwise does charge a two percent annual management fee. Most other Fundrise alternatives charge closer to one percent.

Streitwise requires you to hold investments for at least one year. You can sell after that, but you will incur an early redemption fee if you don’t hold a REIT for at least five years.

This is fairly common for most platforms.

Who Should Use Streitwise?

The platform works for non-accredited and accredited investors alike. You can invest in an IRA, individual, or Trust account.

Pros and Cons

Streitwise has a lot to offer investors. Here’s what to consider before joining:

Pros:

  • Low initial investment
  • Pays out quarterly dividends
  • Invests in commercial property

Cons:

  • Higher management fee than other choices
  • Only one investment option

Streitwise is a terrific fit for investors looking for quarterly dividends. 

4. Roofstock

Roofstock is unlike other alternatives to Fundrise because they let investors directly purchase residential investment properties. They allow this for both accredited and non-accredited investors.

Investing in turnkey single-family rental properties is a fantastic way to build passive income. However, time commitments or lack of technical know-how pose a challenge to many investors.

Roofstock allows you to purchase properties with as little as 20 percent down. Their marketplace currently lists nearly 400 properties nationwide that you can buy.

Each listing contains the following:

  • List price
  • Approximate closing costs
  • Approximate repair expenses

Roofstock also has a directory of property managers for you to select from if the property is not local to your area.

If you don’t want to purchase a property, accredited investors can invest in partial pieces of property through Roofstock One. It has a $5,000 minimum investment with a .50 percent annual fee.

You are responsible for your portion of property taxes and upkeep on the selected properties. Roofstock One has a six-month minimum investment period, which is shorter than other crowdfunding platforms.

Who Should Use Roofstock

This real estate investing platform is a terrific choice for people who want to start investing in cash flow properties and not deal with management. It’s often time-consuming, but Roofstock offers all the tools necessary to do it without sacrificing time.

Pros and Cons

Roofstock has a lot to offer investors. Here’s what to consider before joining:

Pros:

  • You can invest in turnkey rental homes
  • Low management fees
  • Open to both non-accredited and accredited investors

Cons:

  • Fractional investing only available to accredited investors
  • May not be able to tour properties before investing

Roofstock is a suitable alternative for those who want to invest in turnkey properties without requiring personal management of the properties.

5. Groundfloor

Groundfloor is the best choice for people wanting to invest in real estate with a minimal amount of money. You can invest in properties with as little as $10, and there is no annual management fee.

If you’ve always wanted to fix and flip properties, Groundfloor is the perfect option. As the investor, you offer funds for borrowers looking to update their current one to four-family properties.

Groundfloor vets the opportunities for investors, and returns average between six and 14 percent. Your income comes from the interest payments on the loan.

The higher the return, the riskier the investment. If the borrower defaults on the loan, you can lose your money.

Risk aside, Groundfloor offers a reduced holding period. All loans range from six to twelve months instead of years with other Fundrise alternatives.

Who Should Use Groundfloor

The platform is a perfect fit for beginning investors looking to get their feet wet with real estate investing. The company is also great for seasoned investors wanting to diversify their investments.

Pros and Cons

Groundfloor has a lot to offer investors. Here’s what to consider before joining:

Pros:

  • $10 minimum investment
  • Short investment terms
  • Perfect for non-accredited investors

Cons:

  • No REITs available
  • No turnkey properties available

If you don’t mind the risk, Groundfloor is an excellent way to diversify your real estate investments.

6. PeerStreet

PeerStreet operates like Groundfloor as it’s a peer-to-peer lending platform for people who need to take advantage of real estate loans.

The company allows investors to manually select investments or take an automated approach. You earn interest income as borrowers repay the loan.

PeerStreet seeks to minimize risk by structuring loans that are secured by mortgages and deeds. They are then backed up by other hard assets. This mitigation makes PeerStreet a bit less risky.

Regardless of if you manually choose loans or automate the process, the minimum to start investing is $1,000. Fees range between .25 and one percent, depending on the loan.

Properties include a range of fix and flip properties and those simply needing some updates. Loans can have a term of six to 24 months, but it’s also possible to see one-month to 36-month loans.

Who Should Use PeerStreet

PeerStreet is best for seasoned investors who are knowledgeable about real estate lending. It’s also a good choice for investors wanting some diversification in their portfolio.

Pros and Cons

The platform has a lot to offer investors. Here’s what to consider before joining:

Pros:

  • Low minimum investments
  • Manual and automated investing options
  • Short-term investments available

Cons:

  • Only available to accredited investors
  • You must hold investments until maturity

If you’re an accredited investor and comfortable with the risk, PeerStreet is a legitimate choice to invest in real estate loans.

7. EquityMultiple

EquityMultiple is another unique alternative to Fundrise. Part of what makes the company different is that it allows investors to invest in 1031 Exchanges and opportunity zones.

The real estate investment platform requires a larger investment of at least $10,000. You can choose either direct investing in properties or fund investing.

Direct investing minimums begin at $10,000, and holding periods range from six months to five years. Fees depend on the type of investment and property you choose.

Fund investing minimums begin at $20,000 and offer varying loan structures, including debt, equity, and opportunity zones. Holding periods are longer on fund investing, from one and a half to ten years. Management fees range from .50 to 1.50 percent.

Who Should Use EquityMultiple

The platform is best for accredited investors who have more to invest or want to take advantage of opportunity zone investing.

Pros and Cons

EquityMultiple has a lot to offer investors. Here’s what to consider before joining:

Pros:

  • Lots of investment options
  • 1031 Exchanges
  • Opportunity zone investing

Cons:

  • High investment minimums

If you’re an accredited investor and have funds available, EquityMultiple is a good choice to invest in real estate.

Bottom Line

In the past, investing in real estate was only available to people with significant means. Thanks to these Fundrise alternatives, it’s possible to start investing and create passive income.

Real estate crowdfunding makes it possible to invest in numerous property types ranging from commercial to turnkey single-family homes. With minimal funds, you can diversify your portfolio and make money.

What do you look for in a real estate investment? How else are you diversifying your portfolio?

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