Investors who want to invest in real estate without owning physical property often choose real estate investment trusts (REITs). Streitwise is a REIT that offers investors the opportunity to invest in commercial real estate, but it may not be the best fit for everyone. In this article, Benzinga takes a look at five Streitwise alternatives and their pros and cons.
- Fundrise
- RealtyMogul
- Roofstock
- See All 6 Items
Fundrise
- Best For:Beginner Real Estate InvestorsVIEW PROS & CONS:securely through Fundrise's website
Fundrise is a real estate investment platform that allows investors to invest in private real estate deals. The platform offers a range of investment options, including eREITs and eFunds. Fundrise's eREITs are similar to traditional REITs, but they are only available to accredited investors.
Pros:
- Range of investments: Fundrise offers a range of investment options, including debt and equity investments.
- Low minimum investment: The platform has a low minimum investment requirement of $500.
- Diversification: Investors can choose to invest in specific projects or diversify their investments across multiple projects.
Cons:
- Fees: Fundrise charges a fee for its services, which can eat into investors' returns.
- Accredited investors: The platform is only available to accredited investors, which limits the pool of potential investors.
RealtyMogul
RealtyMogul is a real estate investment platform that allows investors to invest in private real estate deals. The platform offers debt and equity investments in commercial and residential real estate.
Pros:
- Range of investments: RealtyMogul offers a range of investment options, including debt and equity investments.
- Low minimum investment: The platform has a low minimum investment requirement of $1,000.
- Diverse investment opportunities: Investors can choose to invest in specific projects or diversify their investments across multiple projects.
Cons:
- Fees: RealtyMogul charges a fee for its services, which can eat into investors' returns.
- Accredited investors: The platform is only available to accredited investors.
Roofstock
Roofstock is a real estate investment platform that allows investors to buy and sell single-family rental properties. The platform offers properties that are already rented out, which can provide investors with immediate rental income.
Pros:
- Easy to use: Roofstock allows investors to invest in physical real estate without the hassle of being a landlord.
- Low minimum investment: The platform has a low minimum investment requirement of $5,000.
- Diverse investment opportunities: Investors can choose to buy individual properties or invest in a portfolio of properties.
Cons:
- Fees: Roofstock charges a fee for its services, which can eat into investors' returns.
- Higher risk: Investing in physical real estate can be riskier than investing in REITs.
EquityMultiple
EquityMultiple is a real estate investment platform that allows investors to invest in private real estate deals. The platform offers debt and equity investments in commercial and residential real estate.
Pros:
- Range of investments: EquityMultiple offers a range of investment options, including debt and equity investments.
- Low minimum investment: The platform has a low minimum investment requirement of $5,000.
- Diverse investment opportunities: Investors can choose to invest in specific projects or diversify their investments across multiple projects.
Cons:
- Fees: EquityMultiple charges a fee for its services, which can eat into investors' returns.
- Accredited investors: The platform is only available to accredited investors.
DiversyFund
- Best For:Low Cost Real Estate InvestingVIEW PROS & CONS:securely through Diversyfund's website
DiversyFund is a real estate investment platform that allows investors to invest in private real estate deals. The platform offers a single REIT that invests in multi-family real estate.
Pros:
- Easy to use: DiversyFund offers a simple, straightforward investment option.
- Low minimum investment: The platform has a low minimum investment requirement of $500.
Cons:
- Fees: DiversyFund charges a fee for its services, which can eat into investors' returns.
- Less diversification: The platform's single REIT option may not provide enough diversification for some investors.
Final Thoughts on Streitwise Alternatives
While Streitwise is a popular choice for investors looking to invest in commercial real estate, investors may want to consider other alternatives. Each of the five alternatives discussed here has its own set of pros and cons, so it's important for investors to do their own research and choose the option that best fits their investment goals and risk tolerance.
Investing in real estate can be a smart way to diversify your investment portfolio and generate passive income. Whether you choose to invest in a traditional REIT or a private real estate deal, be sure to do your due diligence and work with a reputable platform or advisor to ensure that you're making informed investment decisions.