Crowd funding and real estate?

Question

William T. · Answer

@Erin A. I could only read part of the article because I don't read the Wall Street journal like I used to.  But it is still interesting to see the SEC to change the law, it could be a good and bad thing.  Bad news.... more people can possibly swindled unfortunately IMHO, the good news is more investor's will have the opportunity to take chances with money earning 2 interest.

Erin A. · Answer

@Trevor Lohman Nor am I accredited! So frustrating. The good news, however, is that the SEC is thinking about changing the rules so that average Joes and Janes can participate. Here's a link to get you started on the topic:

http://online.wsj.com/news/articles/SB10001424052702303722604579111852526014742

You can then do some Google searches to learn more. There are plenty of cool RE crowdfunding start-ups these days. Good luck!

Aaron Montague · Answer

I contacted Realty Mogul about funding a few deals for me. At my level, single MFH deals, they are simply a hard money lender.

I've had no luck getting into fundrise.com or any of the other sites. I'm not sure what magic formula is.

Trevor Lohman · Answer

Just realized that I am not an accredited investor... I guess that shouldn't have been such a surprise! lol. From what I have read and from what I've read on their website I really like realtymogul, unfortunately that is one of the sites that requires accredited investor status, but I hear that may change soon so we will see. I'll check out fundrise some more, I went on the website and there weren't many investments to choose from but I will keep checking them out. Thanks you guys! I appreciate all of the help. I will check out the forum! Thanks again.

Dawn Anastasi · Answer

Here's the link to the Crowdfunding forum Karen was talking about.

Brandon Turner · Answer

Hey @Trevor Lohman - I haven't used one, but they do seem to be all the rage. I know someone like @Jilliene H. might be able to offer more suggestions. She's the top dog at RealtyMogul.

Robert Leonard · Answer

Here's a good BP podcast that covers this topic:

http://www.biggerpockets.com/renewsblog/2013/08/01/bp-podcast-029-peer-to-peer-fix-hold-dawn/

Karen Margrave · Answer

@Trevor Lohman  I believe someone from Fundrise is actually a BP member. I don't know of anyone that has used them, nor any other crowdfunding site for real estate. I don't really know the regulations, etc. that govern those types of sites, nor how you go about checking out their viability, etc.

There's a thread on BP on crowdfunding though, here's the link, nor will it let me copy and paste, so click on the forums (top left) then ALL forums (scroll to bottom to Crowdfunding).