Compare Fundrise vs RealtyShares on fees, account minimums, geographic coverage, and investment focus to see which real estate crowdfunding site is best for you.
In this Fundrise vs RealtyShares comparison, we review fees, investment minimums, geographic diversity, and investment focus so you can make a more informed decision between two of the leading online real estate crowdfunding sites.
Perhaps the biggest difference right off the bat is you need to be an accredited investor to participate in the offerings by RealtyShares whereas Fundrise is accessible to non-accredited investors.
If wealth level is not a deciding factor then you will want to consider how long your money is tied up, which states are excluded from coverage, and whether you can invest using your retirement accounts.
| Real Estate Investing | ||
| Reviews | Fundrise Review | RealtyShares Review |
| Minimum Investment | $500 | $5,000 |
| Dividend Frequency | Quarterly | Monthly or Quarterly |
| Fees | 1% (annual fees) |
1% → 2% (annual fees) |
| Commercial | ✅ | ✅ |
| Residential | ✅ | ✅ |
| Single Family | ✅ | ✅ |
| Private REIT | ✅ | ❌ |
| Geographic Coverage | Nationwide | Nationwide (excluding AK, ND, NV, SD, VT) |
The major attraction to RealtyShares or Fundrise is the opportunity to invest in real estate versus the stock market.
For investors who are risk averse or want stable income, online real estate crowdfunding sites are a way to diversify away from the stock market to an asset class that is usually less volatile.
Whether commercial, residential, or single family homes whet your appetite, both Fundrise and RealtyShares cater to them all.
History has shown that investing in real estate has been lucrative. Over certain time frames, it’s even eclipsed the performance of the stock market.
Research shows that real estate returns between 2002-17 averaged 10.34% annually versus just 6.69% for the S&P 500 index.
Unless you’re a good stock picker or can scout out high quality dividend-paying stocks, companies like Fundrise and RealtyShares offer a way to earn passive income monthly or quarterly.
| Commercial Property Features | YES/NO |
| Tax benefits | ✅ |
| Tangible asset | ✅ |
| Inflation hedge | ✅ |
| Cash flow from day one | ✅ |
| Uncorrelated to stock market | ✅ |
| Investment portfolio diversification | ✅ |
| Passive income | ✅ |
| Buy with leverage | ✅ |
RealtyShares is a marketplace that connects investors with companies in need of financing for real estate projects.
Investors pool money together to buy a portion of each real estate project.
Fundrise is an online crowdfunding website that features two main products:
Both products pool investor monies with a view to gaining exposure to commercial property, residential real estate, or single family homes.
Here's something investment expert Nilus Mattive has never discussed publicly before...
He believes right now is the best time to consider putting some money into the cryptocurrency markets. Let him show you the seven big cryptos that could go to zero, as well as some of his favorite plays and strategies for 2023.
Watch this free video and see for yourself.
It’s no surprise that RealtyShares, which is designed for accredited investors with a minimum of $200,000 in income in two consecutive years or $1,000,000 in net worth, has a higher minimum of $5,000.
In some cases a minimum of just $1,000 is accepted.
The investment minimum at Fundrise is lower, ranging from $500 → $1,000.
The Fundrise eFund product which pools investor monies, buys land and properties for development, and sells on to residential homeowners has a $500 minimum.
The eREIT which is more like a private real estate investment trust has a $1,000 investment minimum.
➤ Free Guide: 5 Ways To Automate Your Retirement
Depending on which RealtyShares product you choose, the fees will range from 1 → 2%.
On equity investments, the RealtyShares fees are 1% while a 2% interest rate spread on debt is applied.
The cost to invest in Fundrise products is capped at 1% annually.
RealtyShares is a peer-to-peer platform connecting investors to real estate projects in need of financing.
Some of the highlights of RealtyShares include:
Fundrise offers investors exposure to residential real estate investments and commercial real estate investments in its eREIT.
In its eFund, investors who have an appetite for risk can choose to gain exposure to single family homes.
Rising interest rates...Skyrocketing inflation...Exploding debt...A looming recession...It's no wonder Americans are becoming more and more concerned about their savings and investments. That's why I wrote my newest report…This FREE REPORT shows YOU how you could protect your retirement savings before it's too late. Request your free report today and learn how you could protect everything you've worked for!
Request Your FREE Ben Stein Report Today!
The performance of Fundrise, net of fees, since inception has been:
| Year | Fundrise Performance |
| 2017 | 11.44% |
| 2016 | 8.76% |
| 2015 | 12.42% |
| 2014 | 12.25% |
RealtyShares features a wide variety of investment projects on its platform and returns vary by:
| RealtyShares Wins | Fundrise Wins |
| ✅ Variety of Projects: As a peer-to-peer marketplace, RealtyShares doesn’t buy properties or manage them but connects investors to a wide variety of projects led by experienced, vetted real estate professionals. | ✅ Low Fees: A management fee of 0.85% and an advisory fee of 0.15% is charged by Fundrise for a total annual fee of 1%. |
| ✅ Monthly Dividends: Some projects on the RealtyShares platform pay monthly dividends whereas quarterly dividends are paid out at Fundrise. | ✅ Geographic Exposure: Unlike RealtyShares, which is not available in all states, Fundrise has full nationwide coverage. |
| ✅ Passive Income: Investors seeking a regular income from investments can find projects that best suit their financial aims among the wide variety of projects. | ✅ Investment Minimum: The minimum to get started with Fundrise ranges from $500 to $1,000 depending on which product you choose compared with $5,000 at RealtyShares. |
| ✅ 1031 Exchange: You don’t need to own property to qualify to invest in a 1031 exchange that has Federal tax deferral benefits. | ✅ Non-Accredited Investors: You don’t have to have a swollen bank balance to get started with Fundrise, whereas you will need to be accredited to invest on the RealtyShares platform. |
| ✅ Returns: The historical returns produced by Fundrise have been impressive and the company is transparent about performance returns. |
Between RealtyShares and Fundrise, the only option is Fundrise for non-accredited investors.
When it comes to fees and investment minimums, Fundrise also gets the nod. The minimum investment amount at RealtyShares is 10x larger than Fundrise’s eFund product.
For investors seeking passive income monthly, RealtyShares has projects available to cater to your financial needs whereas Fundrise pays out dividends quarterly.
Historical returns at Fundrise are transparent and impressive. Plus, Fundrise is available nationwide whereas geographic restrictions are in place when investing with RealtyShares.
Overall, we award Fundrise the victory but accredited investors should certainly check out RealtyShares.
We have the world's leading artificial intelligence forecasting trends in the market. A strategy so precise it achieves a proven accuracy rate up to 87.4%. Check out the next 3 stocks this A.I. has on its radar for you in this free, live training.
Claim your seat now by clicking here.
SoFi Personal Loans Review: Borrowers with excellent credit histories can get fixed or variable rate…
Personal Capital pairs clients who enroll in its robo-advisory service with dedicated financial advisors. This…
A Historic Night at Super Bowl LIX On the grand stage of Super Bowl LIX,…
YieldStreet Review: YieldStreet was ranked among the most rapidly expanding financial services firm in the…
Brad Pitt has evolved from a handsome leading man of Hollywood blockbusters into a multifaceted…
2 Chainz Net Worth: 2 Chainz net worth is estimated at around $9 million.Read more…
This website uses cookies.