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Diversyfund is designed to serve the needs of the “everyday investor.” In other words, it’s meant for those who don’t have large amounts of money to invest but want to build wealth through investing and acquiring property. With zero management fees, a $500 minimum investment, and a combination of novel technology and expertise, Diversyfund offers access to private market investment funds for the everyday investor.
A long-term view should be taken while investing. All distributions are reinvested into properties until they are eventually sold, and this takes a minimum of two to three years or more.
Diversyfund is atypical in that the company owns properties directly. Unlike some other companies, they don’t act as brokers or middlemen who bring pairs of investors together with specific projects to work on.
The Diversyfund company does not charge management fees on their investments. Diversyfund Investors buy shares, which are DF Growth Real Estate Investment Trust (REIT). DF Growth REIT is a public non-listed real estate investment trust. These are the types of Real Estate Investment Trusts (REITs) required to register and submit an annual audit with the Securities and Exchange Commission. This also gives an added level of transparency investors don’t typically find with a privately-owned REITs or other Real Investment Platforms.
Shares are highly illiquid because investors cannot convert them to cash quickly. The value of your shares can be difficult to assess before the properties are disposed of or sold because the REIT isn’t sold on a public exchange.
Diversyfund is best for:
Why Diversyfund?
Diversyfund Features
| Low Minimum Investment | The SEC (Security and Exchange Commission) approved Diversyfund's bid to reduce or drop its minimum investment from $2,500 to $500, a move that dollar real estate investors will appreciate. The SEC is an independent federal government regulatory agency responsible for protecting investors and ensuring fair and orderly market exchanges. |
| No Management Fees | Diversyfund owns and operates all its real estate projects and charges no percentages or annual fees. |
| Available to non-accredited investors | Diversyfund is open to all U.S. resident investors. Some online real estate platforms are only available to accredited investors. This means investors must have a net worth of more than $1 million, excluding the value of a primary residence. Another way investors can become accredited is if they have had an annual steady income for the last two years of at least $200,000 for individuals or $300,000 for couples. |
| Owns and Runs Investment Properties | Diversyfund is unique because it runs and owns all of its own Investment Properties. Apartment Complexes, Student Housing, and Luxury homes in Southern California and Texas tend to be on the Diversyfund REIT (Real Estate Investment Trust). The company acquires these properties with the goal of improving the properties and their resale value. Also, Diversyfund managers are professionally skilled and also have real skin in the game. This exactly what Investors appreciate. However, users aren't allowed to pick and choose among projects, unlike other commercial real estate investing platforms. There are also company series in Diversyfund. Investors are given privileges to invest in Diversyfund itself, but it carries a $25,000 minimum, so it is only open to accredited investors. |
| How it works | After properties are sold, either at purchase price or for a profit, investors are expected to get their principal back with a 7 percent preferred return., This happens before the company receives any profits, according to Diversyfund. If profits are liquidated at a profit of more than 7 percent, the subsequent profits are shared; 65 percent goes to investors, while 35 percent goes to the company until investors make a return that averages 12 percent per year. If there are any other profits, they're split 50/50 between investors and the company itself. Once the properties are sold, the company pays out immediately. This typically happens after about one to two years. Management can decide to extend the set date by adding an extra two years at their will. |
Diversyfund Pros & Cons
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Is DiversyFund right for you?
Diversyfund is unique and sets itself apart from other real estate investment sites in some ways that are especially important.
For instance:
- It accepts nonaccredited investors.
- The company has a low initial investment requirement, and also the company doesn’t require management fees.
- The company directly manages and controls properties under the Diversyfund Growth Real Estate Investment Trust.
- Investors who need cashback in the next three to five years should not invest with Diversyfund because of the illiquidity of investments and lack of dividend income until properties are sold. Some investors may be turned off by the lack of ability to pick and choose among real estate deals.
If you want other options other than Diversyfund, here’s our list of the top 5 real estate platforms. Read ahead and discover the platform that best fits you.
Who’s Diversyfund for?
It used to be the case that only wealthy people could invest in alternative investments. Now, it’s possible to invest in the Real Estate Investment Trust even you aren’t wealthy.
If you’re not accredited, Diversyfund is for you, because the Diversyfund Growth REIT gives investors the opportunity to invest in value-added real estate projects., These projects offer an alternative to investing capital in multifamily properties. If you’re a mainstream investor who wants to diversify your investments beyond stocks and bonds, Diversyfund could be a great option for you.
With over 20 years of experience in stock trading, real estate law, and real estate development, Diversyfund experts handle investments properly.
Diversyfund Alternatives
If you’re seeking a less risky way to increase your portfolio with real estate investing, publicly traded REITS are always an option. These REITs are liquid investments that can you can value, buy, and sell more easily than traded REITs.
You can also consider one of the following alternatives listed below:
CROWDSTREET
Crowdstreet offers individual commercial real estate investment opportunities. Crowdstreet was launched in 2014, and since it launched, the company has published over 409 offerings. Also, investors have contributed $1.13 Billion through the marketplace, with $130 million returned to investors.
Individual deals, diversified funds, and advisory services are the 3 investment options the Crowdstreet Marketplace offers. The Crowdstreet Investors Relation team is readily available to provide answers to your questions and to guide you through the investment process. $25,000 is the investment minimum for most of the offerings, but some minimums may be higher.
If you need more information about CrowdStreet, read our CrowdStreet Review.
ROOFSTOCK
Roofstock is a licensed real estate brokerage. It offers an online marketplace where you can invest exclusively in single-family rental homes. Roofstock is a marketplace that provides two distinct listings for its investors.
Roofstock Exclusive properties are homes with strong investment potentials. Also, Roofstock Resource Offerings are available, providing unlimited access to the Roofstock learning center. there Academy and Rooftalk webinar series allows investors to stay updated about the latest information. If you’re not satisfied with a purchase, the Roofstock Guarantee also allows you to receive a refund. You can learn more from our Roofstock review.
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