Definition
Crowdfunding platforms aggregate investor capital for property acquisition. Minimum investments typically $500-$5,000. Returns target 6-12% annually.
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Crowdfunding platforms aggregate investor capital for property acquisition. Minimum investments from $500-5,000 typical. Investors receive returns from property operations or sale. Platform vets deals and sponsors. Liquidity varies from illiquid (5-10 year holds) to more liquid options. Returns target 6-12% annually depending on risk. Lower minimums than syndications enable broader participation. Growing market with diverse platforms. Securities regulations apply. Professional management on platform side.
Pro Tip
Evaluate crowdfunding platform reputation and sponsor track record.
Example
Crowdfunding platform raised $10M for property acquisition from 2,000 small investors.