RealCrowd returns: What should you expect?
You can expect to see six to 14 deals open to investment on RealCrowd's platform at any given time. All the information an investor requires is made available on the deal's offering page including financials, sponsor background, experience and track record, projections, risks, operation plans, offering documents, and any supplemental information pertinent to the deal. Sponsors often provide a live webinar for investors to ask questions.
When (and how) can you sell RealCrowd investments?
There is no secondary market for RealCrowd investments. When you invest, you are in it for the duration of the agreed-to term.
Going Mobile: Is there a RealCrowd app?
RealCrowd does not have a mobile app; however, the platform is certainly smartphone friendly with functionality matching the website. Investors can inspect investment offers and due diligence items, sign legal documents, and invest in any of the deals online.
RealCrowd risks: Is RealCrowd safe to invest with?
RealCrowd is a secure and simple-to-use online platform for accredited investors to access, review, and invest in commercial real estate opportunities across the U.S. RealCrowd employees are forbidden from investing in deals as a company policy. Sponsors and deals are pre-screened. Sponsors pay all fees upfront; however, no fees are collected until after the sponsor is screened.
On the flip side, because RealCrowd acts as a marketplace only and you're dealing directly with the sponsor of the deal, any financial issues with RealCrowd as a company would have minimal impact on you as an investor.
Most of RealCrowd's peers play some role in the management of investor assets and charge investors fees -- typically on each investment they make -- plus annual management fees. RealCrowd touts that it doesn't charge investors any fees directly.
However, this means investors need to understand the fees that sponsors will charge in each deal they invest in. Just because RealCrowd doesn't charge fees doesn't mean there aren't any, as it is important to understand that all real estate managers will charge fees directly to their investors whether they invest through an online platform or otherwise.
RealCrowd's deal page is also a standout part of what it offers, making it really easy to identify the fee structure of each deal.
Bottom line, investors should think about RealCrowd as the eBay (NASDAQ: EBAY) of the crowdfunding industry. It’s a marketplace-only platform that provides accredited investors with lots of variety. However, they need to do their own due diligence on each deal because RealCrowd focuses on quantity, though many high-quality sponsors list deals on its platform.