Passive income investing: Are crowd-funded online real estate sites worth the investment?

Hello everyone, a brief intro on the discussion before I dig into the facts and performance summary of my Fundrise Online Real Estate Investments! In May of 2019, I invested $500 into a crowd funded real estate online investment site. Crowd funded means the platform takes the investments of multiple (basically hundreds and thousands) of investors and throws them into an investment pool to fund the creation of a project. The start-up cost for a basic/beginner package is $500, which was the maximum I was willing to spend on something that I just heard about and without anyone’s referral that I knew of. With that being said, yes I paid the 5 x $100, or 10 x $50, or well.. basically 50 x ten dollar bills to a website I just heard of! Just kidding πŸ™‚ I did some online research and with extra cash that I would’ve spent on fitness supplements or something, I decided to invest it into potentially a source of passive income for myself for the future.

I provided a screenshot of my dashboard to show that I indeed invested in May of 2019, and began with the starter level pack.

Okay! The Fun Part! Analyzing the worth of your investment…

So, $500 can be looked at as $500 spent or $500 invested. An investment is a purchase in which you intend to receive the initial investment plus a profit, correct? I mean, why even invest if you aren’t going to profit? The dashboard of Fundrise will show display your portfolio performance, dividends, appreciation, etc. Basically, it will show how much you are making off of your investment like such:

As you can see, my account value is always increasing over time. It seems to be progressing at a constant pace, but does demonstrate a jump in value around January. That is become, since I have my dividends and payout set to re-invest, I had re-invested in new projects that were completed around that time.

The best part about the site, is that you have professionals who already do the calculating, analyzing, and investing for you. I didn’t have to select anything other than which investment package, and what investing approach and style I would like for my profile.

Here, I will show you how the dashboard displays your portfolio, presenting your portfolio worth, active projects, and investment format (equity or debt).

Taking this breakdown and considering if the investment is worth it, let’s look at the day to day investing.

It took about 3-5 months after my initial investment to start making 3-6 cents per day ($0.03-0.06). Now, I am making about 13-15 cents per day ($0.13-0.15). At this rate, accumulating approximately $3.90-$4.50/month or $46.80-$54.00/year. That would be accurate if I was not re-investing into the system. This means I will increase my daily value from week to week, so by the end of 2020, I might be collecting 20-30 cents per day. With that logic, maybe by 2030 I could be collecting $5-15 per day… and the pattern continues on and on….

Even if my daily re-investments were transitioned to direct deposit and my investment value stayed at a set number, I would still make my initial investment back in about 3-4 years of just letting it sit… which makes no sense to just make back the cash you invested, so why not let it re-invest and make you initial investment back and then some.

The concept is, possibly by the time I am 40 or 50 years of age, I could be receiving a monthly deposit for passive income from the Fundrise crowd funded source for $100-500. It will not be a anything close to full-time income or anything that you can solely live off of, but anything helps when it comes to acquiring multiple sources of passive income.

Feel free to post any comment, questions, or concerns! I am always looking at new perspectives, new ideas on investments, and interested in meeting like-minded individuals.

Fundrise: The Online Real Estate Investment Opportunity

Fundrise – The Online Real Estate Investment Opportunity

My Review & Current Investment Experience


RESIDUAL INCOME – The King of Income Sources!

With residual sources of income finally finding its way into the spotlight, entrepreneurs now more than ever are trying to find ways to make money without having to clock β€œtime worked.” Don’t get me wrong, residual income has been around since.. probably forever… but for some reason it has hit the media headlines like crazy over the past few years.

Re-Investment Versus Deposits

The very first question you need to ask yourself is, β€œAm I trying to acquire current income from my investments, withdraw as income once my monthly pay-out has reached a solid value, or is this money to be set aside strictly for retirement?” Based on how you answer that question will decide whether you should start reinvesting your money or allow the system to start making deposits.

Weighing out your options can be a hard decision. Personally for me, since I had a very small buy-in of $500.00, I decided to automate my reinvestment and have it build up as another source for retirement. I’m not too worried about another small stream of income, so this is something I wanted to start and basically forget about for a bit and just see how the market works. I might learn a bit more about this industry in order to value my investments, but at this point in time, I’m just playing the field.

Dividends and Taxes

Regardless of how you decide to receive pay via Fundrise (in a sense of re-invest or deposit), Fundrise pays your kickback in re-occurring dividends. The thing to keep in mind about these, is that dividends are seen as a source of income. Sources of income have to be reported to the IRS when it comes to tax documents and tax season. Also keep in mind, not only do you have to report anything earned, but everything is also taxed due to it’s label as a source of revenue.

My Initial Investment


As an entrepreneur and potential investor, I set out to open my first Fundrise Account and make my first very own online real estate investment. At the beginning of May, I opened my account with an investment of $500.00 (the platform minimum investment). Immediately following that investment, I was hit with an APPRECIATION FEE of 50 cents. Now, 50 cents is not a lot… But aren’t we trying to go forwards, not backwards?






After the Appreciation Fee hit, I was 50 cents down from $500 and kind of upset. But… from that day on, I had started accumulating 3 to 7 cents per day on kick-back from properties that my investment had been invested into. This started to build and I made up the 50 cents and continued to grow.


Screenshot_2019-06-01 Your Account

Now, at the end of June, my investment portfolio is sitting at $500.22 , with continued growth. No, this is not even close to anything worth investing in as a means of direct income. I do feel like this might have potential to grow as side income as the initial investment continues to grow and develop [One of my properties had a 12% annual rate of return last year].

Is it Worth The Investment?

Being completely honest, I literally just started this investment so I can’t completely say whether this investment is worth the risk. I also can’t give “financial advice”, but would love to share my experiences in potential residual income resources.

Are You Ready To Become An Investor?

If you are interested in joining Fundrise, and would love an opportunity to waiver certain advisory and management fees for the first 90 days of utilizing an account (no investment necessary) then CLICK HERE to learn more!