In with the crowd: How to invest in crowdfunded real estate

Crowdfunding is a practical option for individual investors seeking ways to diversify their investment portfolio. While it may sound a bit complicated at first glance since a person shares property ownership with other investors, initiating investment in crowdfunded real estate is easy, efficient, and accessible.

 

Image Source: under30ceo.com

To invest, a person needs to visit the crowdfunded real estate company’s official website and sign up as a member. The registration process is usually free, and the website includes security features to protect the privacy and identity of the investor. From here, the prospective investor can choose from different investment options provided by the company.

 

Image Source: investor.startek.com

The entire process can be done online, from sign-up and selection of properties to document signings and fund transfers. Tracking the investment performance and receiving dividends is done through electronic means as well.

Image Source: knowledge.wharton.upenn.edu

However, as with any investment, proper research and a sound investment strategy is required. One should determine his or her goals in getting into real estate investing and make sure that his or her decisions have these goals in mind. Since most of the process is online, it is also important for the investor to work only with reputable and trusted companies that provide optimum security and great customer service.  

Steven Bettinger is a partner and co-founder of Acquire Real Estate. Follow this Twitter account for more news and updates on the crowdfunded real estate industry.