New Offering For Fractional Ownership In Rental Property Available

A fractional real estate investment opportunity for a home in Charlotte, North Carolina, is available. 

As home values and interest rates price many prospective homebuyers and real estate investors out of the market, fractional real estate investment offers investors access to the asset class. 

With fractional real estate investment, investors can own equity shares of real estate and receive passive income without the hassle of property management, being a landlord or supplying capital to purchase a property outright. With returns coming from rents received and potential capital gains when the property sells, fractional real estate continues to become a more attractive asset class for investors looking to diversify their portfolios.

The Perdita

The Perdita, a four-bedroom, single-family new-build in Charlotte, North Carolina, is available on the ArrivedHomes real estate investment platform. The home features an open floor plan, modern finishes and a backyard patio. The investment property was acquired for $332,500 and will be rented for $1,995 per month, a figure expected to generate 3.6% cash flows annually. 

The Charlotte community has seen population and economic growth in recent years, which has driven demand for housing in the area. The Charlotte metropolitan statistical area (MSA) has a population of roughly 2.6 million people and is the headquarters of Bank of America and Truist Financial and other financial institutions, making Charlotte the second-biggest banking hub in the country outside of New York City. The combination of growth and demand will assist The Perdita in maintaining occupancy throughout the projected five- to seven-year holding period. 

• Minimum investment: $100
• Maximum investment: $300
• Target internal rate of return (IRR): 8.1% (based on historical returns)
• Hold period: five to seven years
• First dividend date: January 2024

The Perdita equity offering is open to investors and is being funded through the Arrived Homes platform.