I'm attempting to buy second property via Indiegogo crowd funding!

7 Replies

I currently own one rental property. A one bedroom condo.

I want to buy a second property, but my debt to income ratio is terrible due to student loans that I am slowly paying off. While banks do love my great credit score, the ratio is a deal breaker.

I am attempting to raise funds via Indiegogo crowd funding.

Anyone try something like this before?

I have no idea how successful this will be. This is my first time trying anything like this.

My public listing asking for funding can be seen here: [REMOVED]

I'm going in with zero expectations, but hey it's worth a shot! Any feedback would be appreciated!

Good luck!  Keep us posted on the results.

Very curious to see how this works out for you. I've got the ability to do a few more loans, but will eventually be at the point of needing to get creative like this. Please keep us posted.

I'm also very curious! I don't expect much, but oh man, if this works out that would be amazing. Actually, quite shocking.

I'll keep this updated!

I thought about doing the same thing so real curious how this turns out. Keep us posted and send me that link..lol.

I did this with another platform (Don't ask me for the platform as I won't tell you).

I ended up raising a significant amount of capital, but there were several severe downsides. The primary one being that investors can some times be out for blood. I've seen other guys do similar ventures that fail and they end up having all of their life's details posted online to literally thousands of people. This kind of risk can be mitigated partially, but it's one of the foremost risks that I can see. The second one being the legality of it. In the end, we've had to retain a lawyer to go back and make sure that our crowdfunding documents were all correct. This ended up costing us tens of thousands of dollars. 

In the end, it was worth it, however the failure rate of the other crowdfunded projects approaches 90% or worse. I'm thankful I'm in the 10% doing quite well, however it's not nearly as fun and rosy as one would believe. 

@Brandon Schlichter  

You state

In the end, it was worth it, however the failure rate of the other crowdfunded projects approaches 90% or worse. I'm thankful I'm in the 10% doing quite well, however it's not nearly as fun and rosy as one would believe.

Where are those statistics taken from?

The 4 or so platforms I've worked with. Several different individuals, as well as myself, have compiled a list of all the crowdfunded companies over the past 2-3 years. I came up with a 95% fail rate, the best number was 90% fail rate, so I went with the lower one.

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