If you want to diversify your money a little bit, get out of the stock market and get into Real Estate. But you don't want to deal with tenants, rental property issues, contractors, plumbing issues etc etc. This is where Fundrise comes into place.
Fundrise is a platform for real estate crowd funding. Fundrise takes your money and invest it into, not just one property but pools of properties. They call it eREIT. All we need to do is, give them money and wait for the returns to hit your bank account. This is how simple it is.
There is no affiliation with Fundrise so this is not a marketing/sponsored blog. I just want to show my friends how they can easily make money.
Kevin created an account with Fundrise back in February 2018 and I want to show his profile progress for the past 2 years. He initially invested $10,000 in Fundrise.
Net returns to date is $1,971.30.
Note: There is a yearly advisory fee that depends on the amount you are investing. If your investment is $1000, the advisory fee might be less than a dollar/year
You can choose a different type of Investment plan. In this case, Kevin opted for a Long-Term Growth plan. He initially had a Supplemental Income plan. Your investment plan determines the blend of investments your money is allocated to. Here are the plans that Fundrise offers:
Supplemental Income — Create an attractive, consistent passive income stream.
Balanced Investing — Build wealth confidently with the maximum level of diversification.
Long-Term Growth — Pursue maximum overall returns over the long term.
Below is the transactions page. He was getting dividends from Fundrise every 3 months. The amounts were deposited directly to his bank account. You can see a dip in the dividend amount in 2020. The dip in amount is due to the pandemic happening now.
Since he switched from Supplemental Income plan to Long-Term Investment plan this year, you can see that there is an additional $402.30 added to his initial portfolio amount which was $10,000. This means, instead of money getting transferred to his bank, he is re- investing in Fundrise.
This scattered graph below the portfolio is every single project that Kevin's money is invested in. Currently there are 57 active projects. If you click on any project, it displays a pop-up of the apartment and buildings. It also shows the projected annual return.
This portfolio consists of 56% debt and 44% equity which means 56% of the investment is lend out to contractors and developers where it is treated like a loan where it gets paid back with interest. 44% of the investment is tied up in the ownership of the property. money is made when the property is improved, sold or if the property collects rent.
Under the performance tab, you will be able to see the Annual returns.
Again, I am not advising you to put ALL your money in Fundrise. I am merely showing you a platform for generating passive income.
If you are interested in joining Fundrise, you can sign up using the below link to waive off the advisory fee for 90 days.
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