Author Topic: VNQ vs Fundrise vs Crowdstreet  (Read 1073 times)

ASquared

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VNQ vs Fundrise vs Crowdstreet
« on: April 17, 2021, 01:40:25 PM »
Looking for thoughts/feedback. Interested in doing some investing in either VNQ, Fundrise or Crowdstreet (or similar platforms) and curious if anyone has experience or feedback to offer.

This is primarily for "extra" $, wanting to diversify a bit. Currently we have >1M in the market in various Vanguard funds, and just feeling the need to consider a bit of diversifying for ongoing future/continued investments.

Thank you

NorCal

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Re: VNQ vs Fundrise vs Crowdstreet
« Reply #1 on: April 17, 2021, 02:15:40 PM »
I like real estate. I used to invest in SCHH (similar to VNQ), but recently changed my strategy.

The big index REIT’s are heavily weighted towards the mega-cap properties that have low risk and corresponding lower returns.  They almost behave more like bonds.

I prefer owning some of the smaller cap REIT names. They are higher risk, but with a potential for much higher returns. I personally own CIO and MPW, and there are other good ones out there.

I am a fan of private placement real estate deals, but I wouldn’t go through crowdsourcing. Maybe this isn’t fair, but I view those as something out of the self-promoting BiggerPockets world.

Go ahead and find a developer you trust and invest a little money with them. I just think those who really know what they’re doing stay away from crowdfunding.

I did have success investing $25k in a private placement multi-family development. It’s been much more successful than anything I would find in the public markets.

ASquared

  • Bristles
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Re: VNQ vs Fundrise vs Crowdstreet
« Reply #2 on: April 17, 2021, 04:14:42 PM »
Thanks, appreciate the info. I would definitely be interested in the private route. I just thought that my small money 25-50K was under the threshold of what most will take. Will look into it!

NorCal

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Re: VNQ vs Fundrise vs Crowdstreet
« Reply #3 on: April 17, 2021, 06:37:56 PM »
The property we invested in had a $50k minimum, but they waived it because we fell in the “friends and family” category.  This is pretty common, but these deals are based on personal relationships.