What is an accredited investor and why does RealCrowd  only allow accredited investors to participate in the commercial real estate opportunities? 

In its simplest form, an accredited investor is a person with income exceeding $200,000 in each of the two most recent years, or joint income with a spouse exceeding $300,000, or has an individual or joint net worth exceeding $1 million excluding their primary residence.

The Securities Exchange Commission (SEC) requires that an investor has the financial wherewithal to participate in certain investments that are not registered with the SEC.   Investments that are registered with the SEC, like publicly traded stocks, can be made available to a broader range of investors.  However many investments are not registered with the SEC, like many real estate investment opportunities.   Whether or not an investment is registered with the SEC, does not indicate a higher or lower level of risk or returns.  In fact, many real estate investments that aren’t registered with the SEC can provide a lower risk profile and higher return threshold than its registered counterparts. To learn more about the strategies for minimizing potential risk and  maximizing returns while investing in commercial real estate, please click here.  For more information on RealCrowd’s accredited investor verification proccess and how we ensure the best quality deal flow for our investors, please check out this article.

 

sec-logo-securities-and-exchange-commission

 

What is RealCrowd?

RealCrowd is an online platform where investors can purchase shares of commercial real estate assets. Partner with real estate experts and share in the returns.  To invest in commercial real estate, please click here.

*If you like this post, be sure to enroll in our free six week course on the fundamentals of commercial real estate investing — Enroll Now.*