Home | Newsletter | Advertise
loading...

Real Estate Crowdfunding Now a $1 Billion Industry

  • March 5th 2015

by Lark Turner

✉️ Want to forward this article? Click here.

Real Estate Crowdfunding Now a $1 Billion Industry: Figure 1
906 H Street NE, one of Fundrise’s first offerings.

Real estate crowdfunding is likely to balloon into a $2.5 billion industry this year, a new report from research firm Massolution suggests.

The projected jump to $2.5 billion represents quick growth for the industry, which eclipsed just over $1 billion in 2014. Between 2013 and 2014, Massolution says, real estate crowdfunding grew 156 percent. Investments in North America are projected to reach $1.4 billion this year.

The idea of using a number of small and mid-size investors to fund real estate projects saw much of its early development in DC, where crowdfunding platform Fundrise was launched in 2012. Fundrise’s founders, brothers Ben and Dan Miller, worked out the tricky logistics of the investments with the Securities and Exchange Commission after the JOBS Act made the platform possible in that same year.

The Millers put up their first public real estate offering, Maketto, in 2013, which the company calls “the first online equity offering for a real estate property.” Minimum buy-in to a Fundrise project: $100.

That project is set to open by the end of this month, Fundrise’s Brandon Jenkins recently told UrbanTurf.

See other articles related to: crowdfunding, fundrisec, real estate investing

This article originally published at https://dc.urbanturf.com/articles/blog/real_estate_crowdfunding_now_a_1_billion_industry/9606.

DC Real Estate Guides

Short guides to navigating the DC-area real estate market

We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Start browsing below!

First-Timer Primers

Intro guides for first-time home buyers

Red Flags Revealed During a Home Inspection Top 5 Tax Breaks For Homeowners Tax Relief for DC Homeowners
Condo Fee Tutorial What is a Rent Back? 10 Ways To Tell If a Home Renovation is Well Done
Obtaining a Basic Business License For Your Rental What is an Adjustable Rate Mortgage? The Splitting the Rent Formula
How Much Cash Do You Need to Buy a House? Is This Condo Building Financially Healthy? Interest Rates and Mortgage Points
The Scoop on Mortgage Insurance

Unique Spaces

Awesome and unusual real estate from across the DC Metro

The Most Intriguing Loft in DC The R Street Firehouse DC’s One-Room House
Dupont Circle’s Old Frat House To Become Alley Home Best Transition From a Garage To a Home The Roundhouse
Tilden Gardens Restaurant-Turned-Home Hits Market Next Week Logan Circle’s Most Intriguing Garage Frank Lloyd Wright Goes Green in Kensington
Sears Bungalow Gets a Modern Makeover Old Town General Store Becomes Three-Level Home Making the Most of a Skinny House
A Studio 27 Renovation on Capitol Hill Once a Carriage House, Now a Home The Bank that Became a Home
From Pie to Hooch to Heroin to Home The Live-Aboards of Gangplank Marina A Treehouse with Rock Creek Park As A Backyard
Modern Tranquility in Sperryville Saddle Up For Stable Living Throwing a Curve at 550 Square Feet
A Modern Hilltop Retreat Tilden Street Restaurant Becomes Spacious Home Focus on Design: A Vastu Unit at 22 West
The DC Area’s First Net Zero Home A Yankee Goes Green DC’s First Carbon Neutral Home
Eco-Friendly Alley House Off H Street The Gym, The Stables and The Firehouse