Patch of Land for Real Estate Investing
An Alternative to REITs
A mortgage, which was originally designed as a loan to help borrowers purchase a home, also allows investors to take complete control of a property by paying a fraction of the value of the property (sometimes as low as 5%) while making property improvements (rehabbing) - or waiting (buy and hold) to sell it at a higher value. On the other hand, real estate has also found its way into the stock market.
Real Estate Investment Trusts (REIT) allow investors to own shares of stock in a company whose primary business is purchasing and managing real estate. However, we don't recommend either of these options to investors seeking passive income from real estate, as flipping houses takes a lot of research, experience in specific locations, while REITs leave investors with little control over what they're actually investing in while charging high fees for low potential returns.
At Patch of Land, we offer an alternative that provides a passive real estate investment option: short term real estate loans to professional property developers. We pool our resources to do extensive research on cash-flowing real estate investments by experienced, local experts (developers) with properties that need financing. Then we prefund their loans so the developer can get started on their project right away. Furthermore, prefunding allows our accredited investors to begin earning interest on their investments almost immediately, instead of having to wait for the crowd to fully fund the offering first.
Become Part of a Winning Crowd
We offer crowdfunding for real estate investments and we've streamlined the process of investing in short-term loans for real estate development projects. You no longer need to have years of experience in the industry to gain insider info and to recognize industry trends.
Our team of real estate professionals has over 50 years of experience investing in real estate, and every project we prefund demonstrates our confidence in the success of that project. Below, you will find our portfolio of projects along with the amount of funding needed, annual yield, and expected duration among other important details so you can find the best one for you.