Looking for the best real estate syndication company can be a daunting task. With numerous investment opportunities available, from multifamily apartment buildings to offices and land, and from private equity to crowdfunded real estate, it can be challenging to decide which syndication is suitable for you. In this guide, we will help you narrow down your options and discover the best real estate syndication for your needs!
Choosing a real estate syndication platform can be overwhelming. To assist you, we will compare the top platforms and companies based on essential factors:
Access for Non-Accredited Investors
Having access to real estate investments should not be limited to accredited investors. We will consider platforms that provide opportunities for non-accredited investors.
Minimum Investment
The minimum investment required by each platform will be analyzed. This will help you determine which platforms align with your budget.
Types of Real Estate Investments
We will explore the range of real estate investment options offered by each platform. This will allow you to choose a platform that aligns with your preferred investment types.
Fee Structure
The fee structure is an essential aspect to consider. We will provide insights on the fee structure of each platform, enabling you to make an informed decision.
Average Annual Returns
The average annual returns offered by each platform will be examined. This will help you evaluate the potential returns on your investment.
Additionally, we will discuss real estate funds offered by these platforms. These funds provide an opportunity to diversify your investment portfolio.
If you want to learn more about how real estate syndication works, check out our resource on multifamily syndication.
Best Real Estate Syndication Companies And Platforms
1. Fundrise
Founded in 2012, Fundrise aims to make high-quality, low-cost real estate investing available to everyone through technology. With minimum investments starting at $10 and asset management fees capped at 0.85%, they have made great progress in achieving their goals.
Fundrise offers access to funds that invest in different real estate syndications and properties. This provides investors with a broad range of property types and varying levels of risk and reward.
Can I invest directly in syndications through Fundrise? Yes, but you must be an accredited investor with a minimum investment of $100,000.
Highlights:
- Minimum Investment: $10 for access to real estate funds, $100,000 for direct access to syndication deals.
- Average Annual Returns: Around 12%.
- Allows Non-Accredited Investors: Yes, for real estate fund investments. Access to syndication deals is available for accredited investors only.
- Fees: 0.15% annual investment advisory fee plus up to 0.85% annual asset management fees.
- Investment Strategy: Offers a range from low-risk fixed income to high-risk value-add and opportunistic investments.
- Number Of Active Investors: More than 330,000.
- Transaction Volume: $7 billion.
2. EquityMultiple
EquityMultiple focuses on finding the best real estate investments on the market. With an exclusive deal flow and a strong due-diligence process, they are highly selective in their offerings.
EquityMultiple offers various methods of investing in commercial real estate, from debt to equity in individual properties to fund investments. They also provide a choice between preferred or common equity, allowing investors to focus on either reliable cash flow or long-term appreciation.
Highlights:
- Minimum Investment: $5,000 for short-term debt investments, $10,000 for equity investments, and $20,000 for fund investments.
- Average Annual Returns: 18.7% IRR per the company’s website.
- Allows Non-Accredited Investors: No.
- Fees: 0.5% to 1.5% for all types of investments.
- Investment Strategy: Focused on strong cash flow combined with long-term appreciation potential.
- Transaction Volume: $4.33 billion.
3. CrowdStreet
CrowdStreet offers a wide array of commercial real estate projects, including student housing, self-storage, and medical offices. They provide many options across the risk/reward spectrum, catering to investors looking for stable income-producing assets or higher-risk investments.
CrowdStreet stands out for its industry experience and marketplace technology. Its team examines various segments in commercial real estate to find the best investment opportunities, which are then made available to investors through their marketplace.
Highlights:
- Minimum Investment: Generally $25,000, but varies per offering.
- Average Annual Returns: 18.7% per the company’s website.
- Allows Non-Accredited Investors: No.
- Fees: Varies per offering, generally 0.5% to 2.5% management fees.
- Investment Strategy: Covers the full spectrum of commercial real estate offerings to provide unique risk/reward profiles.
- Transaction Volume: $3.7 billion.
4. RealtyMogul
RealtyMogul aims to bring institutional quality commercial real estate investments to the general public. They focus on cash-flowing assets to provide stable income for their investors. RealtyMogul offers access to exclusive individual offerings and REITs, allowing for both diversified portfolios and focused investments.
REITs have the advantage of being available to non-accredited investors and having a lower minimum investment. This makes it an ideal opportunity for beginners in real estate investing.
Highlights:
- Minimum Investment: $5,000 for REITs or $25,000 for individual deals.
- Average Annual Returns: Varies per offering.
- Allows Non-Accredited Investors: Yes, through REITs.
- Fees: Varies per offering, generally 1% to 1.25% management fees.
- Investment Strategy: Provide access to institutional quality cash-flowing investments.
- Number Of Active Investors: Over 212,000.
- Transaction Volume: $5.7 billion.
5. YieldStreet
YieldStreet aims to bring alternative investments, including real estate, to the average investor. They offer a wide range of investment options, including real estate, art, transportation, venture capital, and cryptocurrency.
YieldStreet's largest selection of offerings is in the real estate space. They have also created the Prism Fund, which includes portions of all their investment alternatives for those interested in exposure to various alternative investments.
Highlights:
- Minimum Investment: $5,000.
- Average Annual Returns: 9.61%.
- Allows Non-Accredited Investors: Yes, but only for REITs and the YieldStreet Prism Fund.
- Fees: Up to 2.5%.
- Investment Strategy: Bring access to alternative investments to the public.
- Number Of Active Investors: Over 400,000.
- Transaction Volume: $4 billion.
6. Cadre
Backed by major names in the financial industry, Cadre offers access to some of the best commercial real estate syndication deals. By prioritizing their clients and seeking out top real estate investment opportunities, Cadre has gained the trust of institutional investors.
Cadre offers a range of products, from individual real estate syndication deals to funds. All their offerings focus on long-term appreciation and cash flow, providing stable investments for real estate investors.
Highlights:
- Minimum Investment: $25,000.
- Average Annual Returns: 27.5%.
- Allows Non-Accredited Investors: No.
- Fees: 1.5% annual asset management fee plus 0.5% initial administration fee.
- Investment Strategy: Bring institutional-class real estate investments focusing on asset appreciation and cash flow generation to the everyday investor.
- Transaction Volume: $5.02 billion.
7. Cardone Capital
Cardone Capital, founded by Grant Cardone, offers direct access to individual real estate deals for non-accredited investors. Grant Cardone believes that investing in institutional quality real estate should be accessible to everyone, not just the wealthy.
Cardone Capital keeps its operations simple, focusing on finding, purchasing, operating, and selling real estate deals. They prioritize long-term real estate ownership, holding properties for 10 years or longer to maximize returns.
Highlights:
- Minimum Investment: Generally $5,000 for non-accredited investors and up to $100,000 for accredited investors.
- Average Annual Returns: Around 15%.
- Allows Non-Accredited Investors: Yes.
- Fees: 1% annual asset management fee plus 1% transaction fee for the purchase and sale of the property.
- Investment Strategy: Long-term real estate ownership in stabilized properties that produce both appreciation and cash flow.
- Number Of Active Investors: Over 11,800.
- Transaction Volume: $4 billion.
Summary
When it comes to finding the best real estate syndication company for you, there are many things to consider. Each company has its own investment strategy and fee structure, so it's crucial to do your research before investing.
Real estate syndications offer numerous benefits, including cash flow, diversification, and protection against inflation. If you're looking for a stable long-term investment with strong returns, a real estate syndication may be the right choice for you.
Moreover, investing in institutional quality real estate deals is no longer limited to the wealthy. Some of these platforms allow access to non-accredited investors with as little as a $10 investment.
What platforms do you use for investing in real estate? Let us know!