Arrived Homes Vs. Fundrise: Investing Without Physically Investing In Real Estate In 2024
Real Estate crowdfunding has become a popular way for investors to add real estate to their investment portfolios without the hassle of being a landlord. Two popular platforms in this space are Arrived Homes and Fundrise. In this blog post, we will compare the features and benefits of both platforms to help you determine which one might be right for you.
Arrived Homes: Streamlining Real Estate Investment for All
Arrived Homes is a platform that aims to make real estate investing hassle-free. They allow investors to start with a minimum investment of $100. By pooling money with other investors, you can purchase shares of select properties and collect passive income through regular rent payments. Arrived Homes also offers the option to invest in long-term or short-term vacation rentals, giving investors flexibility in their investment strategy. One of the standout features of Arrived Homes is that they take care of all operational responsibilities, so investors don't have to deal with the day-to-day tasks of being a landlord. Additionally, Arrived Homes allows renters to invest in the property, incentivizing them to take better care of it.
Fundrise: Revolutionizing Investment with REITs
Fundrise, on the other hand, offers Real Estate Investment Trusts (REITs) as investment options. After creating an account, investors choose a portfolio strategy that aligns with their goals and timeline. Fundrise then selects eREITs or other eFunds that match the chosen strategy. Fundrise continually monitors the portfolio and looks for new investment options to add over time, creating a diverse real estate investment portfolio. One of the benefits of investing with Fundrise is that investors can have a limited amount of knowledge of real estate. Fundrise takes care of the investment options, allowing investors to focus on their goals and future. Fundrise also has a low minimum investment requirement, starting at just $10.
Comparing the Titans: Arrived Homes vs. Fundrise
Now, let's compare the two platforms based on different criteria:
- Passive Investing: Fundrise takes the lead in this category as they offer automatic investing options, allowing investors to set it and forget it. Arrived Homes requires a more hands-on approach as investors browse and select investment options.
- Learning about Real Estate: Arrived Homes wins in this category as they provide market analysis and research, saving investors the time and effort of doing it themselves. Fundrise focuses more on providing investment options that align with the investor's strategy.
- Low Investment Minimums: Fundrise is the winner here, with a minimum investment requirement of just $10. Arrived Homes has a minimum investment of $100.
- Fees: Both platforms charge a one percent fee annually, making it a tie in this category.
- Liquidity: Arrived Homes wins in this category as investors can liquidate their shares every quarter as long as they have held their investments for at least six months. Fundrise requires investors to hold their investments for five years to avoid redemption fees.
In conclusion, the best platform for you depends on your investment goals and preferences. If you prefer a more hands-off approach and want to focus on your goals, Fundrise might be the better option. If you want to learn more about real estate and have a better feel for properties and markets while still maintaining a hands-off approach, Arrived Homes could be the right choice. It's recommended to do thorough research on both platforms and choose the one that aligns with your needs and goals.
Here are some great articles that will give you more information about these two real estate crowdfunding platforms:
Arrived Homes vs. Fundrise 2024: Which one should you choose?
Arrived Homes vs. Fundrise: Which Real Estate Crowdfunding Option is Better