Real estate crowdfunding to top $2.5bn

Real estate crowdfunding has climbed from $1.01bn in 2014 and is expected to raise a further $2.57bn in 2015, according to a report by Massolution. Low interest rates have made bond investments less attractive and led yield-seeking investors to crowdfunding as a way to FINANCE their homes, or profit from commercial real estate ventures.

[T]echnology opens the investment opportunity to more participants

Crowdfunding involves raising large amounts of MONEY through small contributions and can help first-time buyers as an alternative method to a mortgage. There are currently 82 real estate crowdfunding platforms in operation and the emerging industry is growing at an exponential rate with speed and diversity pitting it above REITs. According to the report, technology opens the INVESTMENT opportunity to more participants, while allowing activities to be conducted in an efficient way.

Read full story: Real estate crowdfunding to top $2.5bn