Looking for a creative way to buy a property and have poor credit? Wondering if you should get others involved?
J. Lucky Henry breaks down crowdfunding as new way to purchase a property in today’s Real Estate Explained video.
What is crowdfunding? And what are the ways to do it?
1. As the investor — You will own a stake in the property, but you don’t have complete control. You are a passive investor. This means you put some money in but someone else does the legwork of finding a property and you have a return on the investment.
2. Raise capital — You go and find a property, but perhaps your credit isn’t stellar and asset-based lending (hard money loans) are too expensive for you. In this scenario you may seek out crowdfunding company — they may have better rates.
Just because your own capital and credit aren’t sky high doesn’t mean buying or investing in a property can’t be a reality.
Think you’ve found a property that could be great for crowdfunding?
When it comes to real estate, you want to get Lucky.