Realbricks Aims To Overcome Property Value Barriers In Real Estate Investing For Passive Income

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The COVID pandemic has arguably changed the real estate landscape in many ways, and the effects of the post-pandemic boom still persist.

The vacation real estate market has experienced increased investment and growth in the post-COVID era. The pandemic led to a surge in interest and demand for vacation properties and more people now prioritize safe and private getaways. According to industry statistics, the vacation rental industry's market value increased by 22.76% from 2020 to 2021. 

With the low-interest rate environment during COVID-19, many Americans took advantage of the favorable conditions and invested in vacation properties. Sales of vacation homes surged, outpacing the growth in total existing home sales in 2020. The National Association of Realtors reported a 16.4% rise in vacation home sales in 2020, compared to a 5.6% growth in total existing home sales. At the beginning of 2021, about 60% of properties were sold above their advertised prices as a result of the "race for space" among homebuyers.

However, many claim that is not just the vacation real estate market that is experiencing growth. Despite some ups and downs in the market, more and more people are looking to rent which makes investing in the rental real estate market attractive. Approximately 41% of Americans are choosing to rent, and rental properties are experiencing an increase in demand based on migration patterns. The apartment rental market in the U.S. was worth $258.4 billion in 2022 and has displayed consistent growth over the past five years.

The U.S. alone makes up over 10% of the world’s residential value at an estimated market size of $2.53 trillion in 2023 and is also the world’s largest commercial property market. But even though the market is attractive in many ways, a large portion of investors have historically only had limited access to it due to barriers to entry such as the high amount of investment required – until now.

Realbricks is a proprietary technology company that has recognized the increased interest in real estate and aims to democratize real estate investing. The company created a platform that makes real estate investment accessible to U.S. users with plans to expand globally, empowering individual investors to participate in the real estate short-term rental market. The company seeks to enable people to express their interest in investing in vacation rentals like Airbnbs, long-term rentals, and multifamily properties without ever having to talk to a realtor. Its fractionalized approach to real estate means investors can express their interest to fractionally own rental homes, vacation rentals, and specialty furnished properties that they would otherwise not have access to.

Traditionally, real estate investment has been limited to those with significant financial resources and industry connections. Realbricks seeks to disrupt this paradigm by allowing investors to build their real estate portfolios "brick by brick," enabling fractional ownership of properties. 

Realbricks believes that democratizing real estate investment not only benefits individual investors but also has positive social and economic consequences. The company says that opening up real estate investment to a wider population can support the growth of local communities. As more people invest in properties, Realbricks believes neglected neighborhoods can undergo revitalization, leading to improved living conditions, increased employment opportunities, and enhanced urban development.

Expanding investment opportunities also empowers individuals to take control of their financial futures. Real estate has the potential to generate passive income streams and build wealth over time. By enabling more people to invest in real estate, we provide them with an additional avenue for financial security and independence, reducing their reliance on traditional employment and fostering economic empowerment.

At the heart of Realbricks' philosophy is its commitment to simplicity and security. The company aims to have its platform prioritize user experience, offering a straightforward login and setup process that caters to both seasoned investors and newcomers to the investment world. However, the company has taken steps to ensure this emphasis on simplicity does not compromise security. All user data is encrypted, and Realbricks aims to provide users with peace of mind as they explore the wide range of fractional investment opportunities available on the platform. 

To learn more about Realbricks, click here.

Featured photo by Frames For Your Heart on Unsplash.

This post contains sponsored content. This content is for informational purposes only and not intended to be investing advice.