Author Topic: Fundrise  (Read 1217 times)

brother7

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Fundrise
« on: January 17, 2017, 01:13:58 PM »
Took the plunge into real estate crowdfunding this morning with a $3,000 investment into Fundrise's eREITs.


rockinray

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Re: Fundrise
« Reply #1 on: January 28, 2017, 11:37:17 AM »
I've got $5500 in FR - Income eREIT. It has done well for me so far.

Returns are just under 11%.

dr.everett

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Re: Fundrise
« Reply #2 on: January 28, 2017, 12:36:50 PM »
I've joined too- planning to put my tax refund in Fundrise.

lascott

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Re: Fundrise
« Reply #3 on: January 28, 2017, 01:40:58 PM »
Since were are in tax season...

This seems better than LC in that it is a 1099-DIV vs 1099-OID (ordinary income tax rate).

https://fundrise.com/education/faq#item406
Investors in each eREIT™ will receive a 1099-DIV at the end of each year.

https://www.irs.gov/publications/p17/ch08.html
Qualified Dividends
Qualified dividends are the ordinary dividends subject to the same 0%, 15%, or 20% maximum tax rate that applies to net capital gain. They should be shown in box 1b of the Form 1099-DIV you receive.
The maximum rate of tax on qualified dividends is the following.
0% on any amount that otherwise would be taxed at a 10% or 15% rate.
15% on any amount that otherwise would be taxed at rates greater than 15% but less than 39.6%.
20% on any amount that otherwise would be taxed at a 39.6% rate.

[update]
Looks like these are treated at ordinary income so no better in that regard.

https://fundrise.com/education/faq#item512
Will my dividends be qualified?
A qualified dividend is a type of dividend which may be subject to preferential tax rates, which are usually lower than regular income tax rates. Non-qualified, ordinary dividends are taxed at the normal rate based on the individual’s ordinary income. Based on the historical operations of the eREITs™ and how we expect them to operate in the future, we do not expect most dividends that are issued by the eREITs™will be qualified. However, to the extent that the eREITs™ do pay qualified dividends, they will report them as such in Box 1B.

https://www.irs.gov/publications/p17/ch08.html
Ordinary Dividends
Ordinary (taxable) dividends are the most common type of distribution from a corporation or a mutual fund. They are paid out of earnings and profits and are ordinary income to you.

[/update]
« Last Edit: January 28, 2017, 01:49:19 PM by lascott »
Tools I use: (main) BlueVestment: https://www.bluevestment.com/app/pricing + https://www.interestradar.com/ , (others) Lending Robot referral link: https://www.lendingrobot.com/ref/scott473/  & Peercube referral code: DFVA9Y

rawraw

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Re: Fundrise
« Reply #4 on: January 28, 2017, 03:58:13 PM »
What is the benefit to a eREIT instead of a REIT?

Joe6Luck

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Re: Fundrise
« Reply #5 on: February 01, 2017, 02:42:33 PM »
Fundrise is doing mini iPO under Reg A+ and the offering is only available to its current customers. I am looking for some comment on this but didn't find much info from Google. Anyone know more about it?

Here is one of the very few link on the Internet: https://www.google.com/amp/s/www.crowdfundinsider.com/2017/01/95381-fundrise-ipo-update-minimum-raise-1-million-5-per-share/amp/?client=safari

EmilyFoxSeaton

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Re: Fundrise
« Reply #6 on: August 05, 2017, 11:38:15 AM »
So I invested $500 into Fundrise today. I know nothing about it. Looking forward to see what happens.

Now I am invested in
- Lending Club
- Upstart
- Groundfloor
- Fundrise

I cannot invest in Prosper due to my State not allowing it.

dr.everett

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Re: Fundrise
« Reply #7 on: August 05, 2017, 06:35:11 PM »
Compared to LC, Fundrise is boring.  8)

Boring in that you make 8.5-10% depending on what you choose to invest in. There's nothing that needs to be done with it (like purchasing notes, sorting, analysis, etc.)

You just invest and let it do its thing. I like it very much so far. Up to $11k in it and planning to put more in as soon as it sells off from LC.

EmilyFoxSeaton

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Re: Fundrise
« Reply #8 on: August 06, 2017, 06:58:57 AM »
You just invest and let it do its thing. I like it very much so far. Up to $11k in it and planning to put more in as soon as it sells off from LC.

Well that is what I am looking for. I find the same with Upstart because you can't manage the notes or sell them. I put in the same amount of money I did with Upstart. We will see.  In general I like real estate investments better than notes.   But I suppose both have their place.