RealtyShares - Legit Real Estate Investing? [Review]

Welcome to my review of RealtyShares.

If you’re interested in learning more about RealtyShares you’re in the right place as I’ve put together a comprehensive review of the business and I’m sharing my honest opinion down below.

Before I start…

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RealtyShares Review

Real estate is an excellent investment venture that you can make a substantial investment income if you have an entrepreneurial mind. The reasons why real estate has become a glamorous wealth-creating investment is because of cash flow you enjoy.

Once your buildings have repaid investment cost, all you get is always a continuous inflow. Better still, you enjoy tax benefits, the property value appreciation, and protection against inflation.

Lately I have been doing a number of reviews on investment and real estate companies including Roofstock and Realty Mogul so it’s only right that I continue the trend and share my thoughts on RealtyShares.

Here is what the RealtyShares website looks like:

realtyshares website

You may be dreaming to venture into the real estate industry, but you lack the starting capital. Maybe, you are overwhelmed by the feeling that real estate is a risky business and you opt for another kind of investments. Worry less because Realtyshares is what you need to realize your dream.

What is RealtyShares?

Realtyshares is a web-based online platform that deals with only real estate investments. It unites real investment parties like investors, sponsors, and borrowers and then lets them transact online. Investors have funds which they’re willing to lend while borrowers are eager to borrow those funds. The pooling of the funds provided by the investors assists borrowers to access funds while investors are helped in diversifying their investments.

For investors, they are free to invest their entire money in one property, or they can diversify their money. By diversifying, it means buying small parts of individual properties. However, not everybody qualifies to be an investor in Realtyshares until you’re accredited.

To be an accredited investor you must tick the following three boxes:

Your net worth is above one million dollars (you are allowed to combine your net worth with your spouse)
For the last two years, you should have earned an annual inflow of $200000 (No combining with your spouse)
And if it’s a joint investor, you must have an inflow of more than $300000 in the previous two years.

How Realtyshares Works?

First, let’s see how Realtyshares decide investment options granted to investors. There is an extensive underwriting process that private or builders or businesses must undergo for them to be eligible for this investment.

The process involves:

Completing an application
Submitting both documents showing their financial history and experience in real estate investment.
The underwriters in Realtyshares evaluate the property, the company’s investment strategy and then the financial capabilities, credit data, title reports, and comparable sales.
Lastly, the approved projects are listed in the Realtyshares.

Now that the projects are available on the platform, how do you invest on the platform?

The process is simple and straightforward.

Open an account with Realtyshares by signing up on the platform. This takes approximately two minutes.
Complete your investor profile and then talk to a representative. Otherwise, you must wait for 30 days for you to view significant listings of offers.
After the 30-day period, view and summarise your investment because the full details of the deals can be accessed.
Wait to be funded for the investment (usually 100% funding).
The last step is to manage your investment online.

Benefits of Realtyshares Investment

Lower risk factors: The platform scrutinizes the principal executive borrowers, investors, and the sponsors. They also do extensive research on financial capacities, credit data, title reports, comparable sales and any other crucial information. They combine the full report and sent it via your email; hence you are safe.

Passive real estate investor: In most cases, real estate requires your physical work and also financial capital. Interestingly, in Realtyshares, they do all the work themselves.

Pricing: You are not required to pay a registration fee, and once you’ve registered, you can comfortably access all listings in their site. However, for equity debt, you must pay an annual rate of 1 % for the management of your investment.

Variety of real estate properties: In Realtyshares , you can decide to invest from single-family homes scaling up to commercial properties.

Security: Your information is not stored in the servers so no one can access it. Even better, they have encrypted their system with banks, so they have a third eye to cross-check the transactions.

Tracking your transactions: Realtyshares has a dashboard where you can monitor any activity that you’ve undertaken.

Periodic updates: another great thing about Realtyshares is that it keeps you updated on the available potential investment opportunities.

Investment with less amount: At Realtyshares, you can invest with as low as $1000 while you are starting up. Their average investment is approximately $5000.

Tax reporting: the platform will provide you with any essential tax documents that are related to the investment.

Holding period: Realtyshares can allow a holding period of less than six months up to more than five years.

The Negatives of RealtyShares

The investment is only made for US residents only so if you reside anywhere else it will not be available for you.

Accredited investors only: If you have not all the requirements for accrediting, then you can’t invest on the platform. This is a huge negative because if you are accredited you probably have more experience and potential to actually build your own investments without using a platform like RealtyShares.

Illiquid investment: You can’t wake up and sell your investment to get back your money. You have to wait for the holding period. This could also be seen as a positive since you aren’t able to touch and ruin your potential gains.

Capital calls: You may be subjected to capital calls in case investors need more money to cater for projects that require more money.

RealtyShares Conclusion

Realtyshares has plenty of pros and some few cons.

Only wealthy investors can afford to invest in this platform because of the requirements for accrediting.

That being said, if you can meet the requirements, this is an excellent passive investment that is not tied to the stock market.

Before I start…

If you’re tired of scams and want a real solution for making money online check out my recommendation below.

It’s helped me earn over $300k in the last 12 months alone:

Go here to see my no.1 recommendation for making money online

(This is a 100% free training)

Mark Charles

Mark Charles is the founder of NoBSIMReviews and has been making a 6-figure income online for over 10 years.

After reviewing 1000’s of programs, he knows what works and what doesn’t:

Go here to see the best business to start in 2024!