The New Norm: Real Estate Crowdfunding Platforms Turn to Wall Street

The New Norm: Real Estate Crowdfunding Platforms Turn to Wall Street We want to share what we’ve learned from attending recent real estate crowdfunding conferences. We are beginning to see a clear cut view of how crowdfunding in the real estate space is beginning to shy away from its original purpose. Funding through the “crowd” is a new reality. The trend is that Real Estate Crowdfunding (RECF) Platforms Turn to Wall Street. Crowdfunding, by definition, “is the practice of funding a project or venture by raising monetary contributions from a larger number of people, typically via the internet” – emphasis on “people”. Companies such as KickStarter and GoFundMe are perfect examples of how companies have successfully accomplished this business objective by getting projects funded through the crowd for the purpose of people wanting to work towards a similar goal. This has been the same objective the real estate sector is trying […]


What are the different types of CrowdFunding?

What are the different types of CrowdFunding? In order to start investing through Crowdfunding platforms, let us go over the four different types of CrowdFunding: Donation CrowdFunding Giving, for nothing in return. This is exactly what it sounds like. A donor’s contributions go towards some type of charitable cause that they would like to support. There are no monetary returns in this type of CrowdFunding. Hence, a donor’s reward is the feeling you get from doing something good and maybe a tax write-off. Donation CrowdFunding is popular for social causes, charities, individuals, non-profits, and political campaigns. Rewards CrowdFunding A donation gets you something promised in advance. Contributions to a Rewards-based CrowdFunding campaign get something tangible in return. Reward CrowdFunding is similar to Donation CrowdFunding, however, people receive a reward in return for their contribution. The rewards investors receive are non-monetary and usually include an opportunity to pre-order the product that’s being […]