5 Best Real Estate Crowdfunding Platforms in Europe
Want to invest in real estate? Here are the best European real estate crowdfunding platforms to invest with:
Return | 14.30% |
Investors | 2,900 |
Minimum | €50 |
Launched | 2023 |
Return | 12.00% |
Investors | 3,900 |
Minimum | €1 |
Launched | 2022 |
Return | 12.14% |
Investors | 39,000 |
Minimum | €100 |
Launched | 2018 |
Return | 11.23% |
Investors | 7,000 |
Minimum | €100 |
Launched | 2023 |
Return | 10.27% |
Investors | 161,000 |
Minimum | €50 |
Launched | 2014 |
What is a real estate crowdfunding platform?
A real estate crowdfunding platform is an online service that allows investors to directly invest in a range of real estate properties. These platforms work by pooling together funds from multiple investors to purchase properties, which can range from residential to commercial real estate. This allows individual investors to own a share of a property and earn returns from its income or sale, without the need to buy the entire property outright. Real estate crowdfunding platforms are a popular way for investors to diversify their portfolios and gain exposure to the real estate market with a relatively small initial investment.
What are the best real estate crowdfunding platforms in Europe?
To find the best real estate crowdfunding platform, investors should consider factors like the minimum investment required, types of properties available for investment, the platform’s track record, transparency, user experience, customer service, fees, and regulation. The best real estate crowdfunding platforms in Europe often offer a diverse range of properties, detailed information about each investment, and a proven history of returns.
Overview of the 5 best real estate crowdfunding platforms in Europe:
Platform | TrustScore | Yield |
---|---|---|
Maclear | 4.5/5 | 14.30% |
Fintown | 4.5/5 | 12.00% |
PROFITUS | 4.0/5 | 12.14% |
Crowdpear | 3.9/5 | 11.23% |
EstateGuru | 1.5/5 | 10.27% |
Pros and cons of real estate crowdfunding platforms
Here are the pros and cons of using real estate crowdfunding platforms:
Pros:
- Historical high returns
- No management of properties
- Requires little capital to get started
- Easy to diversify
Cons:
- Platform risk
- Highly correlated with real estate markets
- Uncertainty about how the investments will perform in a real estate crash
Is real estate crowdfunding a good investment?
Real estate crowdfunding first really started to gain traction in the early 2010s. Before this investors could only invest in properties directly, through REITs or other exchange-listed products.
In the first 10 years of real estate crowdfunding, most investors have gained massive returns and it has not been unusual to see returns of over 10% annually. However, as the type of crowdfunding is highly dependent on property values, it also involves some risks that are worth considering.
How much money can you make with real estate crowdfunding?
Over the past few years, it has not been unusual for investors to be able to achieve annual returns of +10% by investing in some of the highest returning and best European real estate crowdfunding platforms.
If you invest €10,000, the amount of money you would be able to make with a 10% annual return would be €1,000.
Is real estate crowdfunding safe?
No investment is without any risk, and even if you only invest your money on the best real estate crowdfunding platforms, your capital is still at risk.