Involving in commercial real estate is one the most profitable decision an investor would make today. A more buzzing phenomena in that of crowdfunding. These two are combined together to coin the term crowdfunding commercial real estate. Crowdfunding commercial real estate, although new in the market of crowdfunding still it has managed to gain a lot of pace.
With increase in this pace, there has also been a rise in the number on online crowdfunding platforms. These platforms boast off adding extra flavours of crowdfunding commercial real estate. Wisdom lies in the fact of knowing the features of crowd funding commercial real estate.
Crowdfunding commercial real estate: how stuff works
- Typical crowdfunding companies like MyEfunder and Crowdstreet which specialize in crowdfunding commercial real estate not only facilitate to build a crowdfunding campaign over their platform but they can also invest in them if they find the particular crowdfunding commercial real estate opportunity attractive. This investment could range from 1 million USD to 5 million USD.
- These crowdfunding commercial real estate deals over the crowdfunding platforms are a result of both ways efforts. The online crowdfunding platforms have agents who are in continuous search of prospective campaigners. On the contrary,prospective campaigners can also search for a crowdfunding platform that matches their crowdfunding commercial real estate
- The time for which a crowdfunding commercial real estate campaign is live on a crowdfunding platform is different for different site but mostly it is an average of 30 days. The display time also depends upon how attractive the investors finds the crowd funding commercial real estate to be? Time is increased for more lucrative deals.
- Each project before coming live of the platform for crowdfunding commercial real estate, the deal is checked for all aspect of its authenticity. It is also checked for growth options and investment return. All checks are made so that the investors come back to the platform again and again for investment options.
- Although the crowdfunding platforms checks all aspects of a crowd funding commercial real estate deals, investors must be cautious and do a cross check on the property more than once. Doing so it will only benefit the future prospects of the investors more than anything else.
- Keeping the investors regularly updated about the course of their investment and the real estate property in which they have invested is one of the most important things done by the crowdfunding platforms. This keeps the investors happy and we know that a happy customer is a returning customer.
- The crowdfunding platforms also offer debt services to investors who are interested in investing in crowdfunding commercial real estate but find it difficult to gather money for it. The sum is borrowed for a certain period of time at a pre decided rate of interest.
Crowdfunding commercial real estate, link any other form of crowdfunding has found its growth opportunities on online crowdfunding platforms. It has made commercial real estate projects popular to distant places thus increasing the chances of funding. The online picture is also a plus point for investors.
