Product Overview of RealtyMogul
RealtyMogul is a comprehensive online real estate crowdfunding platform designed to make commercial real estate investing accessible and manageable for both accredited and non-accredited investors.
What RealtyMogul Does
RealtyMogul enables users to evaluate, invest in, and manage a diverse range of commercial real estate opportunities, including commercial, residential, industrial, and other property types. The platform streamlines the entire investment process, from finding and selecting properties to signing legal documents and monitoring investments, all through a user-friendly online dashboard.
Key Features
Investment Options
- REITs (Real Estate Investment Trusts): Non-accredited investors can choose from two public, non-traded REITs: the Income REIT and the Apartment Growth REIT. The Income REIT offers a consistent monthly distribution with an annualized distribution of 7.79% since its inception, while the Apartment Growth REIT focuses on both income and capital appreciation, with a return of 6.4% since its inception.
- Individual Properties: Accredited investors have the option to invest in individual properties across various sectors, including apartment buildings, offices, retail, industrial, mixed-use, ground-up development, self-storage, cold storage, and mobile home parks.
Due Diligence and Transparency
- RealtyMogul conducts rigorous due diligence on each investment opportunity, evaluating the sponsor, business plan, and property before listing it on the platform. Only about 1.1% of the applications received from real estate projects are accepted.
- The platform provides extensive information on each investment, including financial projections, property details, market analysis, and associated fees, allowing investors to make informed decisions.
Ease of Use and Technology
- The platform is designed to be user-friendly, allowing investors to browse, select, and invest in properties, as well as track their investments and access important documents securely online. However, it is currently accessible only via desktop, with no mobile app available.
Investment Minimums and Fees
- The minimum investment requirement is $5,000, making it more accessible for individual investors compared to traditional real estate investments.
- Fees vary by investment and are clearly displayed on the property listings.
Passive Investment Model
- RealtyMogul offers a passive investment model, where experienced professionals handle the property management, allowing investors to generate passive income without the need for active management.
Educational Resources and Support
- The platform provides extensive educational resources and an expert investor relations team to empower members to make fully informed investment decisions. However, RealtyMogul and its affiliates do not provide investment advice, and investors are advised to seek advice from an investment professional.
Diversification and Portfolio Management
- Investors can diversify their portfolios by investing in multiple properties, locations, and asset types. While the REITs are not customizable, accredited investors can choose individual properties to customize their diversification.
Reinvestment Opportunities
- Investors can opt for regular distributions or participate in an automatic dividend reinvestment program to further grow their investments.
In summary, RealtyMogul is a robust platform that democratizes access to commercial real estate investing, offering a range of investment options, rigorous due diligence, transparency, and ease of use, making it an attractive choice for both new and seasoned real estate investors.