Arrived Homes Alternatives

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Contributor, Benzinga
February 22, 2023

As real estate investing becomes more popular, a growing number of platforms offer opportunities for individuals to invest in real estate projects. One platform is Arrived Homes, which allows investors to invest in single-family rental properties. While Arrived Homes could be a good option for some investors, it may not be the right choice for everyone. Here are five alternatives to consider, each with its own pros and cons.

Groundfloor

Groundfloor is a real estate investment platform that allows investors to invest in short-term, high-yield real estate loans. The platform offers a range of loans, including fix-and-flip, new construction and rental property loans.

Pros:

  • Range of investments: Groundfloor offers a range of investment options with different interest rates and terms, allowing investors to diversify their portfolios.
  • Detailed information: The platform provides detailed information on each loan, including the borrower's creditworthiness, the property's value and the loan's terms.
  • Strong level of security: Groundfloor's investments are secured by the underlying property, providing investors with a level of security.

Cons:

  • Accredited investors: The platform is currently only available to accredited investors, which can limit its accessibility.
  • Short-term timeframe: Groundfloor's investments are short-term, typically between six and 12 months, which may not be suitable for all investors.

Roofstock

Roofstock is an online marketplace that allows individuals to buy and sell single-family rental properties. Here are some pros and cons to consider.

Pros:

  • Large inventory: Roofstock has a large inventory of rental properties available for purchase, making it easy to find a property that fits your investment goals.
  • Low fees: Roofstock charges low fees compared to traditional real estate transactions, which can help investors save money.
  • Streamlined process: Roofstock has a streamlined buying and selling process that makes it easy for investors to purchase properties.

Cons:

  • Limited locations: Roofstock's inventory is limited to a few locations, so it may not be the best choice for investors looking for properties in a specific area.
  • Limited financing options: Roofstock only offers financing through a few lenders, which may be a concern for some investors.
  • Limited information: Roofstock provides limited information on the properties it lists, which can make it difficult for investors to fully evaluate a property before making a purchase.

Fundrise

  • Fundrise
    Best For:
    Beginner Real Estate Investors
    securely through Fundrise's website

    This is a testimonial in partnership with Fundrise. We earn a commission from partner links on Benzinga.com. All opinions are our own.

Fundrise is a real estate investment platform that allows individuals to invest in commercial real estate projects. Here are some pros and cons to consider:

Pros:

  • Diversification: Fundrise allows investors to diversify their portfolios by investing in a variety of real estate projects.
  • Low minimum investment: Fundrise has a low minimum investment requirement, making it accessible to a wide range of investors.
  • Professional management: Fundrise has a team of experienced real estate professionals who manage the investments, which can be a benefit for investors who are new to real estate investing.

Cons:

  • Limited liquidity: Fundrise investments are illiquid, meaning that investors may not be able to sell their investments easily.
  • Limited control: Fundrise investors have limited control over the investments as the platform's management team makes all investment decisions.
  • Fees: Fundrise charges management fees, which can eat into returns.

CrowdStreet

CrowdStreet is a real estate investment platform that allows investors to invest in commercial real estate projects. Here are some pros and cons to consider.

Pros:

  • Diversification: CrowdStreet allows investors to diversify their portfolios by investing in a variety of real estate projects.
  • Low minimum investment: CrowdStreet has a low minimum investment requirement, making it accessible to a wide range of investors.
  • Professional management: CrowdStreet has a team of experienced real estate professionals who manage the investments, which can be a benefit for investors who are new to real estate investing.

Cons:

  • Limited liquidity: CrowdStreet investments are illiquid, meaning that investors may not be able to sell their investments easily.
  • Limited control: CrowdStreet investors have limited control over the investments, as the platform's management team makes all investment decisions.
  • Fees: CrowdStreet charges management fees, which can eat into investors' returns.

PeerStreet

PeerStreet is a real estate investment platform that allows investors to invest in high-quality, short-term real estate loans. The platform connects investors with real estate loan originators and provides a range of investment options.

Pros:

  • Range of investments: PeerStreet offers a range of investment options with different interest rates and terms, allowing investors to diversify their portfolios.
  • Detailed information: The platform provides detailed information on each loan, including the borrower's creditworthiness, the property's value, and the loan's terms.
  • Strong level of security: PeerStreet's investments are secured by the underlying property, providing investors with a level of security.

Cons:

  • Minimum investment: The minimum investment on PeerStreet is $1,000, which may be a barrier for some investors.
  • Accredited investors: The platform is only available to accredited investors, which can limit its accessibility.
  • Short-term timeframe: PeerStreet's investments are short-term, typically between six months and two years, which may not be suitable for all investors.

Final Thoughts on Arrived Homes Alternatives

While Arrived Homes offers a unique approach to real estate investing, it may not be the right fit for every investor. You can choose from a range of alternative real estate investing platforms available that offer different investment options and features. By researching and comparing these options, investors can find the platform that best fits their investment goals and preferences.