Is Fundrise a Ponzi Scheme? (Things You Need To Know) -

Fundrise promises to make investing in real estate effortless – and incredibly affordable. On the surface that’s a good thing, to be sure, but a lot of folks want to know whether Fundrise is the “real deal” or some sort of Ponzi scheme.

Well, we can tell you – beyond a shadow of a doubt – that Fundrise is a 100% legitimate investment vehicle and opportunity and about as far from a Ponzi scheme as you can get. That being said, this is still a major investment that you’ll want to carefully consider, research, and do all kinds of due diligence for.

In the rest of this detailed breakdown, we go over (almost) everything you need to know about Fundrise. We cover what it is, how it works, whether or not it is legitimate, and if you can use Fundrise to transform your financial future from here on out.

Let’s jump right in!

Is Fundrise a Ponzi Scheme?

As we highlighted a moment ago, Fundrise is absolutely NOT a Ponzi scheme.

Not even a little bit.

Yes, it’s easy understand why some folks would be a little bit “gun shy” when they read that Fundrise is designed to help average folks (not just extremely wealthy people) invest in both commercial and residential properties, all without having to have a mountain of money behind them.

That’s a promise that can feel a little bit too good to be true, all things considered.

Especially in today’s modern era of investing where there are so many less than ethical snake oil salesman peddling all kinds of promises without ever intending on delivering.

That’s never going to be a problem with Fundrise.

This is a platform that lets you jump into real estate investment trusts (sometimes called REITs) without having to bring a ton of capital into the mix.

It is a legitimate investment opportunity, a legitimate company making this investment opportunity easy to access, and not at all a flash in the pan or fly-by-night sort of thing.

Everything You Need to Know About Fundrise

Fundrise basically opens up a world of commercial and residential real estate investment opportunities to the general public that used to only be available to incredibly wealthy and connected individuals or organizations.

Designed to pool the assets of all Fundrise members together to purchase commercial and residential properties (private properties), Fundrise is built on top of the back of the REIT structure that we mentioned a moment ago.

Properties are bought, developed, and then sold – with profits distributed throughout the Fundrise platform – without individual investors having to handle any of the heavy lifting of real estate investing all on their own.

The beautiful thing about this opportunity is that investors have a lot more control over how their investment is leveraged by Fundrise, too.

Investors can choose from a variety of different investment portfolios under the Fundrise umbrella, including (but not limited to):

Starter investments (perfect for investors that are not fully accredited)
Supplemental Income investments, designed to provide dividend like payouts
Balanced Investing opportunities, investments that are engineered to return big in the short and long-term
Long Term Growth investments, investments that may not pay off so much in the short term but have huge profit potential later down the line

… And that’s just the tip of the iceberg!

Is Fundrise Legit?

Yes, Fundrise is a 100% legitimate operation.

This is a US-based organization, an organization that has to abide by all US investment laws, rules, and regulations – particularly those handed down by the Financial Industry Regulatory Authority.

This is not some mom and pop set up. It’s not a fly-by-night cash grab kind of operation, either.

This is a legitimate investment business, committed to total transparency with their investors, and an organization that you can trust with your money.

You’re not going to wake up one morning and find Fundrise has dissolved and disappeared with all of your hard-earned cash. Fundrise is NOT a Ponzi scheme!

Is Fundrise a Smart Investment Vehicle?

Only you are going to be able to determine whether or not Fundrise is a smart investment vehicle to grow your personal wealth and build your financial future.

Real estate has always been (and always will be) the most valuable investment money can buy. It’s a top-tier asset class, the asset class that all successful people – and that all wealthy people the world over (throughout history) have pursued.

At the same time, with skyrocketing real estate prices cranking up higher and higher every day fewer people find themselves with an opportunity to jump headfirst into the world of real estate.

A lot of folks feel like the ladder to success and financial security – especially through real estate – has been pulled up in front of them, giving them little to no opportunity to cash in the way that so many others have before.

REITs open up a new world of opportunity, though, especially to folks that are not fully accredited (individuals with a net worth of more than $1 million, not including their own homes value).

Fundrise simplifies the REITs investment process significantly, too. That’s where a lot of their value lies.

Some folks will find this to be a real sort of “set it and forget it” kind of opportunity, whereas others might want to take a little more hands-on approach and exert more control.

The beautiful thing about Fundrise is that you have the freedom to do both of those things.

You are always in the driver seat!

Closing Thoughts

At the end of the day, hopefully we have shown you that Fundrise is a fully legitimate investment. It’s about as divorced from a Ponzi scheme as you can get.

Sure, the promises that Fundrise make may appear to be a little bit too good to be true on the surface.

After all, who wouldn’t want to be able to start snapping up private commercial and residential pieces of real estate for as little as $10?

That’s crazy!

Digging deeper under the hood of how Fundrise (and how REITs in specific) work, though, you realize that this platform really does offer a unique investment opportunity few others do.

Fundrise is worth a closer look. If you found this blog post helpful, please share it on social media. Also take a look at our other most recent blog posts below:

Is Fundrise a Ponzi Scheme? (Things You Need To Know)