Real estate Investment Comparison

Crowdstreet vs. Arrived Homes

Wondering whether CrowdStreet or Arrived Homes is a better investment? We put them both to the test to help you compare and decide where to invest your money.

vs.

Comparison Table
CrowdStreet
Arrived Homes
Minimum Investment
$25,000
$100
Investment Holding Period
At least 2 years
5 years
Early Withdrawal Penalties
Unavailable
Yes - Undisclosed
Rent Payouts
Depends on Project
Quarterly
Avg. Yearly Returns
10.73% before fees
6.66%
Accessibility
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
Earning Potential
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
Investment Liquidity
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
CrowdStreet
Investment Quality Score
3.0
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
Arrived Homes
Investment Quality Score
2.5
Star Rating - 0.5
Star Rating - 1Star Rating - 1.5Star Rating - 2Star Rating - 2.5Star Rating - 3Star Rating - 3.5Star Rating - 4Star Rating - 4.5Star Rating - 5
CrowdStreet

The Bottom Line

Good option for experienced high net-worth investors, but variable fee structure and high minimums don't work for everyday investors.

CrowdStreet Pros:

Quality Real Estate 🏠

Makes it easy to invest in real estate with a well designed platform and low entry costs

Comprehensive Documentation πŸ“š

Detailed business model and financial support documents, along with profiles on the project principals

Strong Track Record πŸ“œ

They've been around since 2014 and has acquired billions worth of real estate

‍

CrowdStreet Cons:

Very High Minimums πŸ—Όβ€

Most offerings require a $25k commitment, preventing diversification for all but the wealthiest investors

Investment Tip: Make sure investments allow for the diversification your strategy requires

Long Lockup Period πŸ”

Expected investment time window is at least 5 years

Investment Tip: Have an exit plan before you make an investment

Unclear Past Performance πŸ’Έ

CrowdStreet reports their past performance before taking fees into account, making it hard to compare to other options on the market

Investment Tip: Make sure you've modelled out your expected investment returns prior to making an investment

Complicated Deal Structures πŸ“‰

Each offering has a different structure and fee schedule, making them hard to compare for all but the most experienced investors.

Investment Tip: Don't invest if you don't fully understand the deal's terms

Arrived Homes

The Bottom Line

Arrived Homes is an easy option for unsophisticated investors to access quality fractional real estate, but their lack of transparency around recouping investments is deeply concerning.

Arrived Homes Pros:

Easy to Use ✨

Makes it easy to invest in real estate with a well designed platform and low entry costs

Great property options 🏠

Gives investors access to Class A properties.

Strong track record πŸ“œ

Has an experienced team and has funded over 150 properties

Low Minimum Investment πŸ”‘

Investors can invest as much as they like as long as it's over $100

‍

Arrived Homes Cons:‍‍

Long Lockup Period πŸ”

Expected investment period is 5 to 7 years

Investment Tip: Have an exit plan before you make an investment

‍‍Hidden penalty details and exit options πŸ’Έ

Selling early requires an application and, if approved, incurs unspecified β€œpenalties”

Investment Tip: Beware of investments with undisclosed fees and exit options

Low rent returns πŸ“‰

Typical rent yield of 3-5% per year is low compared with returns from other real estate investment options (typically 5-15% rent yield per year) and the stock market (average 10% per year).

Investment Tip: Compare the return of an investment with alternative options

Slow rent payout 🐌

Only pays rent to investors a few times a year – much less often than other real estate investment options

Investment Tip: Factor in how quickly returns are delivered to your compounding calculations

Read our comprehensive
CrowdStreet
Review
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Read our comprehensive
Arrived Homes
Review
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