Realty Shares: Institutional quality real estate with simplified investing
RealtyShares is online real estate investment platform which brings together investors, borrowers, and sponsors. RealtyShares specializes in real estate investment and allows the complete transaction of investing and borrowing happen through their website. RealtyShares focus on small business investments like house flips, business renovations, and other small business investments rather than investing in big real estate projects like malls and apartments. This creates a perfect platform for the investors who are looking to invest in small projects with faster returns when compared to real estate investments like malls and entire apartments which are relatively larger investments with longer terms. But RealtyShares are not limited to small investments only, larger real estate investments are also available on their platform which is pre-vetted by RealtyShares.
Accredited or institutional investors can invest in pre-identified real estate investments opportunities with as little as $5,000. The entire transaction can take place on the website of RealtyShares, legal document signature and fund transfers can be done on RealtyShares platform. This creates one destination for to invest in real estate from anywhere.
RealtyShares reviews real estate investments and performs their own due diligence on them. After being tested on the standards set by RealtyShares, the investments are showcased on their website with all the general information about the deal to legal documents which allow you to perform your own due diligence on them. Investors are free to pick any investment listed on their website, they can choose to invest a small piece on the entire investment in a larger investment or they can take up an entire investment. The dashboard on RealtyShares website tracks the earnings from the investments and allows you the access to check them 24/7. RealtyShares also provides year-end investors tax information.
Investors can choose to invest in real estate equity or real estate loans backed by the solid real estate. RealtyShares also gives you the freedom to introduce an investment of your choice which will be made available to other investors after RealtyShares perform their due diligence on the investment.
Realty Shares Investment Options and Special Features
RealtyShares is very much different from REITs, RealtyShares allows you to choose your own investment and create a portfolio of your choice. On the other hand, REITs do not allow to make changes to the portfolio created by the Trust. In RealtyShares investors can choose from a variety of deals to participate in. They can choose to invest a small amount in a large investment or take up the entire investment. RealtyShares also gives you the freedom to invest in real estate equity or real estate loans. This gives investors the opportunity to invest in larger investments which are usually not available to open market.
RealtyShares performs their own due diligence on every investment that is available on their website. They take care of investigative work for each investment. They perform a thorough background check on each property where the principal borrower or principal party receiving the funds are being inspected by RealtyShares. They also review their financial statements, the property inspection is done and comparable sales data and other relevant information. The results of their investigation are available on the website of RealtyShares which allows the investors to check the risk factors involved in each investment before investing. If for any reason what so ever the investment does not go to closing, all the funds invested by you in that investment will be fully refunded by RealtyShares.
There is no cost for registering with RealtyShares, and no there is no cost for checking out the investment opportunities on their website. On equity investments, RealtyShares usually charges 1% of the aggregated invested amount- paid periodically to cover ongoing investor reporting and communications relating to the investment. On debt investments, RealtyShares takes a servicing fee from the interest being paid to the investor by the borrower.
RealtyShares have the minimum initial investment for a single investment is $5,000, but there are some investments available on their website which are available to invest with as little as $1,000. The holding period of your investments could be anywhere between 6 months to 5 years. RealtyShares can also extend the holding period beyond the initially set period in certain circumstances.
RealtyShares uses SSL with 128-bit encryption that is being used by most the banks in the US. This shows how much importance to security is given by RealtyShares. Their website is regularly reviewed by third party security firms to try finding out loopholes that can crack their security walls and become a potential threat to the investors. RealtyShares uses the services of North Capital Private Securities Corporation to provide execution services in connection with equity and preferred equity investments.
The investments with RealtyShares can also tax advantages which have the potential to save you thousands of dollars in tax every year. This all depends on the type of investment being made at their platform. To know more about tax benefits of real estate investment you should consult a tax expert.
Realty Shares Performance
Real estate has outperformed the stock market 2:1 since 2000
RealtyShares have invested in more than 550 Projects and have more the $59.7 Million in return over the principal amount invested by the investors. RealtyShares have more than 92,000 registered investors on their platform
Realty Shares Past Investment Opportunities
Requirements to Sign up For Realty Shares
- Provide your basic information like name, phone number, email id etc. and set a password for your account.
- To set standards for your investments, RealtyShares will ask information regarding your earning and wealth
- A verification email will be sent to your email ID
- After verification of your email, you will be directed to your dashboard.
- To start investing you will be required to complete your investors profile where you need to provide information like your address and social security number.
- After that, you are ready to invest in Realty Shares.