Investing in commercial real estate can be a lucrative way to expand your portfolio and grow your money. On average, real estate has performed better than stocks over the past 30 years. Many people think they don’t have the money necessary to invest in real estate. But investing with Fundrise offers an excellent way for the “average” person (aka “non-accredited investors”) to get started with $10.
Fundrise makes it easy to invest in a low-cost, diversified portfolio of institutional-quality real estate starting at only $10 so that everybody has access to private real estate investing in residential and commercial properties with low fees and low minimums.
Fundrise promotion is currently offering a $50 sign-up bonus to new users when they make an initial deposit of a minimum of $10 within 30 days of account opening.
Plus, Users can earn up to a $100 Fundrise referral bonus to invite friends Fundrise platform.
What is Fundrise?
Fundrise is an online real estate company that lets investors pool their assets to buy private commercial and residential properties.
Fundrise is a leading sponsor of eREITs. These eREITs are based on proven investment strategies developed by experienced institutional investors over decades and are made possible through our easy-to-use technology platform. Fundrise simplifies the complexities of real estate investing, allowing you to invest in high-quality commercial real estate assets without having to do any of the heavy liftings yourself.
Fundrise allows investors to buy shares of Interval Fund, eREIT, or eFUND by choosing from four portfolios: Starter, Supplemental Income, Balanced Investing, or Long-term Growth. Each Fundrise plan comprises a mix of eREITs and eFunds, as well as underlying properties.
There is also a Premium and Advanced account level available from Fundrise, where investors may access a greater number of real estate projects and other features.
How does it work?
Fundrise uses your investment to acquire, build, and manage properties. These include apartment complexes, single-family homes, office buildings, industrial properties, hotels, and shopping centers.
Fundrise earns returns in many different ways.
- Purchasing real estate that is undervalued and renovating it to raise rents or property value
- Renting out stabilized properties
- Holding mortgages and collecting interest
- Purchasing properties with the potential to appreciate in value
Those profits are then distributed to shareholders.
This app is not for short-term investors. Fundrise is best for long-term investors looking for a simple way to invest in real estate.
Fundrise Promotion: $50 sign-up bonus.
Fundrise sign-up bonus is giving a $50 cash reward to new users. Join and via this $50 Fundrise referral link and deposit a minimum of $10 into your account to qualify.
To redeem your Fundrise sign-up bonus of $50:
- Create a free account with this Fundrise referral linkA $10 initial deposit is required for a Starter level account, but you can deposit as much as you want if you prefer a Basic account ($1,000 minimum) or higher.
- Once your $10 deposit settles in your Fundrise account, you will receive $50 in your portfolio’s bonus shares of real estate.
- The $50 bonus shares will be credited to you within approximately one week after all conditions are satisfied.
Fundrise $25-$100 Referral Bonus.
New! Fundrise promotion updated the invitation program to offer greater value to both you and the person who invited you to Fundrise. Now invited can earn bonus shares when they sign up for Fundrise from your referral link.
Fundrise referral program offers up to a $100 bonus when you invite your to join the platform. Follow the below steps to invite.
- Once you have completed the sign up process and fund your Fundrise account, you can participate in the Fundrise Referral Program to earn $25-$100 in bonus shares for each qualified referral.
- To qualify for the Fundrise referral bonuses, your friends must join Fundrise via your unique referral link and deposit at least $10 into their new account.
- You and your referrals will earn between $25 and $100 in bonus shares, depending on which Fundrise account level you have achieved.
- You can earn $900 bonus shares via referral in the calendar year on Fundrise.
Fundrise referral bonus depends on what type of account you open. For example, if you open a basic account, you will receive a $50 referral bonus for each successful invitation.
Referrer bonuses are based on the account level of the referrer, so if the referrer has a Premium account, the referrer and referee will both receive a $100 bonus, regardless of whether the referee only deposits $10 with a Starter account. Click here to read full terms and condition
Some of Fundrise’s main features include:
- Self-Directed IRA (New) – You can invest in Fundrise with pre-tax dollars and use it for retirement planning. (Currently, self-directed IRAs can only be used for eREIT offerings.)
- Goal-Based Investing (New) – Invest in real estate based on your goals, rather than your investment type or location, using the Fundrise 2.0 platform. Long-term growth, supplemental income, and balanced investments are among the goals.
- eREIT-This non-traded REIT invests in multiple commercial real estate properties. Compared to traditional REITs, it eliminates the middleman and reduces your commission costs.
- eFund –An investment fund that invests in multiple commercial properties that, unlike Fundrise’s EREITs, concentrates on growth rather than income.
- Standard & Plus Plans (New) –You can choose between Standard and Plus plans after investing $10,000 or more. Both plans let you choose different investing goals. Most standard plans invest primarily in eREITS and commercial real estate funds. In contrast, Plus plans can invest in more specialized strategies that Fundrise’s team identifies in the market.
- Direct Investments –You can invest in specific real estate projects when you invest in Fundrise eFunds. The Fundrise eFund, for example, focuses on debt and equity investments in homes and condos in Los Angeles.
- Fundrise IPO (New) – Fundrise is getting ready to offer shares of its own company via an IPO (Internet Public Offering). You must have a Fundrise account with at least $1,000 in it and have selected one of the advanced investment plans to be eligible for this investment. You may invest up to 25% of your total account balance in this offering.
Fundrise fees and pricing.
Fundrise charges an annual asset management fee of 0.85% and a 0.15% advisory fee. These add up to 1.0% annually. There are no sales commissions or transaction fees with Fundrise.
However, the company can charge other miscellaneous fees, such as development or liquidation fees, that can add up to 2%. But Fundrise only charges 1% annually for many long-term investors.
FUNDRISE PROS & CONS
- Low Minimum –Fundrise requires only a $10 investment to begin.
- Low Fees –The annual asset management fee at Fundrise is 0.85%.
- No Accreditation –Fundrise is open to any investor in the United States regardless of income or net worth, unlike competing firms.
- Diversification –The Fundrise eREITs have a pool of many properties and could produce a smoother return, unlike other private REITs.
- Commercial Real Estate Access –Fundrise allows you to invest with little money in commercial real estate, whereas commercial property is typically a high-dollar investment.
- Passive Investment –Fundrise investments are passive, unlike owning commercial real estate outright.
- Quarterly Redemptions and Distributions –To provide periodic liquidity, Fundrise eREIT has adopted a quarterly redemption plan; however, distributions are not guaranteed.
- Variety Of Investing Goals – Fundrise lets you choose different portfolio goals like supplemental income, balanced investing, and long-term growth.
- Investment Liquidity –A Fundrise eREIT is not publicly traded. Once you invest, you’re pretty much committed to the term. You can sell shares before a five-year holding period, but you’ll usually have to pay a 1% fee.
- Tax Consequences –Distributions are taxed as ordinary income, whereas qualified dividends are subject to a 15% tax rate.
Who is Fundrise best for?
Investors with a long-term outlook and those seeking diversification outside of stocks and bonds should consider Fundrise. Investors willing to conduct their due diligence will do best with Fundrise.
Is Fundrise legit?
Fundrise is a legitimate real estate investment platform and is registered as an Investment Advisor under the Investment Advisers Act of 1940 with the Securities and Exchange Commission. It also has a low investing requirement and a strong track record. However, Fundrise correctly discloses that past performance doesn’t guarantee future results or expected returns.
Is Fundrise Safe?
There are very few investments that can be considered “safe” – that is, with a guaranteed return. However, less-liquid real estate investments are often more protected from downturns in the broader market than securities such as stocks and mutual funds. In a nutshell, Fundrise is a safe investment based on the fact that they are regulated.
Fundrise also files with the SEC and is audited on an annual basis.
Real estate as an asset class is a long-term investment. This includes REITs, whether they’re publicly traded, non-traded, or eREITs. The opportunities for capital appreciation, portfolio diversification, and regular distributions are alluring; however, distributions are never guaranteed.
While not the same as investing in real estate directly, REITs are much more passive and allow you to invest in properties outside your geographic location. Fundrise can be a way to diversify into real estate without the massive amounts of capital or management headaches involved when doing it yourself. And the fact that Fundrise only takes $10 to get started makes it an excellent way for investors to dip their toes into real estate investing.