Topic: Has anyone tried crowdfunding real estate? (Read 2301 times)
There are a few ICOs that are geared towards this form of investing. I honestly believe that this will become a financial model going forward.
I dont know about the crowdfunding. But why buy the crypto asset back? Why sell it?? Most RE investors do it for the rental income, which is usually a clear cut percentage of the investment itself, or acquisition cost. In other words, as a buyer, why not just hold on to my coin and receive the rental income? Unless one assumes the value of the underlying collateral (the house, office, retail, hotel, etc.) invariably increases in value over time, so that selling it is a good idea.
Actually Me and one of my friends were thinking about an idea where People would be able to buy real estate with BTC, We were thinking about way of people paying a certain Shares/percentage of the real estate and when it would get flipped they would get back the investment+the profit.
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
There are some quiet similar post regarding on crowdfunding for real estate business but I think they do all failed or didn't tend to continue their plans because of lacking interest on the public or possible investors.Yes, trust would really be the main issue and as you mentioned there would really be chaos on where those properties would be named.There are lots of factors need to be arranged on this kind of stuff.The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
But as we see OP is currently using an newbie account and we can't truly determine by that if he is legit or not and our money will be on hazard if we trust it immediately without knowing on what is in the back of his head. But actually this idea is good but the problem here is people see some various type of scamming modus here and surely he would struggle to find those decent investor that can help here project.
Well if anyone would like to build some project like this then they should find some offline partnership and not to ask funds online since its so shaddy to see some people for asking some funds just for the sake of whatsocalled business. But seems OP doesn't have any reply onhere so maybe i conclude that this asking project is scam and nothing good intention to see on this post.
It would truly be senseless since there's no proper validation on where would be the project origanted and what is the future plans ahead to make this things successfull. People right now are seeking for validities and legalities since their are so many bad attemps of scamming that keep spreading on by those bad heads scattering around.
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
There are some quiet similar post regarding on crowdfunding for real estate business but I think they do all failed or didn't tend to continue their plans because of lacking interest on the public or possible investors.Yes, trust would really be the main issue and as you mentioned there would really be chaos on where those properties would be named.There are lots of factors need to be arranged on this kind of stuff.The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
But as we see OP is currently using an newbie account and we can't truly determine by that if he is legit or not and our money will be on hazard if we trust it immediately without knowing on what is in the back of his head. But actually this idea is good but the problem here is people see some various type of scamming modus here and surely he would struggle to find those decent investor that can help here project.
Well if anyone would like to build some project like this then they should find some offline partnership and not to ask funds online since its so shaddy to see some people for asking some funds just for the sake of whatsocalled business. But seems OP doesn't have any reply onhere so maybe i conclude that this asking project is scam and nothing good intention to see on this post.
Its an interesting concept for sure.
In the UK we have propertypartner.co where people can buy "shares" of a property development where there is a secondary market to "trade" these shares. As far as I am aware these operate under a SPV (Special Purpose Vehicle) and act as almost derivatives for the "share" of the property.
You are effectively buying shares in the SPV and the SPV owns the property.
100% this could work.
On a personal note I couldnt see why anyone would invest in property through crowd-funding. Property investment is attractive because of the structured leverage. But that is a discussion for another day haha
In the UK we have propertypartner.co where people can buy "shares" of a property development where there is a secondary market to "trade" these shares. As far as I am aware these operate under a SPV (Special Purpose Vehicle) and act as almost derivatives for the "share" of the property.
You are effectively buying shares in the SPV and the SPV owns the property.
100% this could work.
On a personal note I couldnt see why anyone would invest in property through crowd-funding. Property investment is attractive because of the structured leverage. But that is a discussion for another day haha
I see this Altcoin Ico who's rising funds to used for their real estate business development https://bitcointalksearch.org/topic/ann-rex-a-peer-to-peer-real-estate-platform-1923612 But Im totally suspicious about this project since how could we used this one since theirs so many easy way to do some transaction for this matter, But who knows maybe This one will be great since they are the first I think offering this kind of altcoin project service here maybe they can implement it if they will became successfull.
If you come to look at it, all big projects including Real Estate is crowd funded. Most of the big projects are managed by companies who sell their share in the market.
So, it is actually the crowd who owns these shares are funding the projects. But no one has tried to crowd fund bitcoins for a very large project I think.
So, it is actually the crowd who owns these shares are funding the projects. But no one has tried to crowd fund bitcoins for a very large project I think.
There's a crowdfund for mining facilities, which are real estate https://cryptonomos.com/?r=1H2MkmZnQak9mIc0NKCaddDsQ
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
in the U.S. the investors in a real estate scheme would have to be accredited investors, which means they need at least 1 million in net worth. that's why there aren't too many of these around
What country or municipality sees 'smart contracts' or coins as enforceable in court?
What municipalities will seize assets of a individual/entity based on non-performance or outright fraud from a 'smart contract'.
Out of these areas/countries/municipalities, what ones have profitable real estate investments, and established investors that you can trust?
What municipalities will seize assets of a individual/entity based on non-performance or outright fraud from a 'smart contract'.
Out of these areas/countries/municipalities, what ones have profitable real estate investments, and established investors that you can trust?
Well the person who did that is among us.
Read the other RentalStarter post I haven't checked in for a while but hang in there.
I spent $15k out of pocket on legal fees & lawyers to get somewhat comfortable with the legal framework.
I'm absurdly thankful for how its all panned out for me and our company, but I challenge everyone to go back, look at all the companies that were on bitfunder/btctc/ltcglobal/havelock and see how many are still around and making money every day.
What country or municipality sees 'smart contracts' or coins as enforceable in court?
What municipalities will seize assets of a individual/entity based on non-performance or outright fraud from a 'smart contract'.
Out of these areas/countries/municipalities, what ones have profitable real estate investments, and established investors that you can trust?
What municipalities will seize assets of a individual/entity based on non-performance or outright fraud from a 'smart contract'.
Out of these areas/countries/municipalities, what ones have profitable real estate investments, and established investors that you can trust?
Well the person who did that is among us.
Read the other RentalStarter post I haven't checked in for a while but hang in there.
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
There are some quiet similar post regarding on crowdfunding for real estate business but I think they do all failed or didn't tend to continue their plans because of lacking interest on the public or possible investors.Yes, trust would really be the main issue and as you mentioned there would really be chaos on where those properties would be named.There are lots of factors need to be arranged on this kind of stuff.The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
But as we see OP is currently using an newbie account and we can't truly determine by that if he is legit or not and our money will be on hazard if we trust it immediately without knowing on what is in the back of his head. But actually this idea is good but the problem here is people see some various type of scamming modus here and surely he would struggle to find those decent investor that can help here project.
Well if anyone would like to build some project like this then they should find some offline partnership and not to ask funds online since its so shaddy to see some people for asking some funds just for the sake of whatsocalled business. But seems OP doesn't have any reply onhere so maybe i conclude that this asking project is scam and nothing good intention to see on this post.
What country or municipality sees 'smart contracts' or coins as enforceable in court?
What municipalities will seize assets of a individual/entity based on non-performance or outright fraud from a 'smart contract'.
Out of these areas/countries/municipalities, what ones have profitable real estate investments, and established investors that you can trust?
What municipalities will seize assets of a individual/entity based on non-performance or outright fraud from a 'smart contract'.
Out of these areas/countries/municipalities, what ones have profitable real estate investments, and established investors that you can trust?
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
There are some quiet similar post regarding on crowdfunding for real estate business but I think they do all failed or didn't tend to continue their plans because of lacking interest on the public or possible investors.Yes, trust would really be the main issue and as you mentioned there would really be chaos on where those properties would be named.There are lots of factors need to be arranged on this kind of stuff.The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
But as we see OP is currently using an newbie account and we can't truly determine by that if he is legit or not and our money will be on hazard if we trust it immediately without knowing on what is in the back of his head. But actually this idea is good but the problem here is people see some various type of scamming modus here and surely he would struggle to find those decent investor that can help here project.
It's becoming more real each new day, very possible to do this using Crypto Currency, but investments like this involves lots of money and you need to deal only with trusted people, what is hard here as everyone is anonymous...
We are not talking about an investment you start with 0.001 BTC, we are talking about an investment which involves billions of satoshis.
It's possible to start by looking for a good land, a cheap place to buy and build some houses (I like the idea about a place where people go on holidays, vacations and weekends). But it's not easy, without interesting activities and offers nobody will rent houses if there isn't activities to do and nice places to visit.
Another option is to just buy the land, build the house and sell it... But you must choose a good location where people will want to live, not a criminal neighborhod or something like that.
We are not talking about an investment you start with 0.001 BTC, we are talking about an investment which involves billions of satoshis.
It's possible to start by looking for a good land, a cheap place to buy and build some houses (I like the idea about a place where people go on holidays, vacations and weekends). But it's not easy, without interesting activities and offers nobody will rent houses if there isn't activities to do and nice places to visit.
Another option is to just buy the land, build the house and sell it... But you must choose a good location where people will want to live, not a criminal neighborhod or something like that.
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
There are some quiet similar post regarding on crowdfunding for real estate business but I think they do all failed or didn't tend to continue their plans because of lacking interest on the public or possible investors.Yes, trust would really be the main issue and as you mentioned there would really be chaos on where those properties would be named.There are lots of factors need to be arranged on this kind of stuff.The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
But as we see OP is currently using an newbie account and we can't truly determine by that if he is legit or not and our money will be on hazard if we trust it immediately without knowing on what is in the back of his head. But actually this idea is good but the problem here is people see some various type of scamming modus here and surely he would struggle to find those decent investor that can help here project.
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
There are some quiet similar post regarding on crowdfunding for real estate business but I think they do all failed or didn't tend to continue their plans because of lacking interest on the public or possible investors.Yes, trust would really be the main issue and as you mentioned there would really be chaos on where those properties would be named.There are lots of factors need to be arranged on this kind of stuff. The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
With some type of smart contract this should become possible in the near future without needing to rely on the trust of some unknown person. I believe the aragon platform will enable this type of thing. I don't think its actually been done before though.
The idea is obvious: raise funds in an ICO and use them in a property buy-to-rent scheme, sharing the profit from rent using the rent money to buy back the crypto asset. Then ultimately reselling the property on the market if majority of investors votes so, and buying back the remaining coins.
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
The obvious problem is the trust issue: legally the property belongs to the coin issuer, (s)he could just run away with the money. But that would be the risk associated with any kind of crowdfunding, wouldn't it ?
Has anyone tried doing it? How did it go? What are the potential or real issues?
That would be a good idea if you do it solely for yourself but if your asking some money to do it then it maybe suspicious act to do since people would provably wait for long time before the real estate properties price will rise and we didn't know on where to reach you up since we didn't know you personally aswell as we didn't know if you really buy some of it. So for this inquiry might better if you think for yourself and don't ask for funds since its not a good idea mate.
The idea of crowdfunding property investments sounds like a good idea, and could potentially be a profitable venture. This is true: "the property belongs to the coin issuer" (don't know if it's "legally" his though) and could very likely happen because of how easy it is to steal and transfer cryptos anonymously. However, if the creator can establish some kind of credibility (having a legitimate company that demonstrates transparency and that it has safeguards/legal procedures in place to assure the public that there is some accountability with regards to the funds), then I think the trust problem can be mitigated.
Jump to: