Comments on: Fundrise Review: Pros, Cons, And Alternatives

By: Raye

Raye — Wed, 30 Oct 2024 12:50:35 +0000

In reply to Anthony S. WOW! I am so sorry to hear this. Did you ever get your money back? I have an acct with them.

By: Neal

Neal — Thu, 19 Jan 2023 03:43:02 +0000

Stay clear of Fundrise. The investment valuations that they use to value the NAV, which determines how many shares you receive and your resulting share of any dividends or final sale price, are not kept up to date.

My investment closed on December 19, 2022. The number of shares I received in the fund was based on the NAV stated by Fundrise on that date. The prospectus of the fund as well as the marketing and advertising materials communicated by Fundrise indicate that its NAV is updated daily. On December 31, the NAV of the fund was updated with a decline of 7% since the date that my investment closed on the 19th (an amount that works out to an annualized amount of over 200%). When I inquired as to the reason why there was such a large decline in such a short period of time, I was told that interest rate changes and macroeconomic factors required a year-end update. I indicated that I believed my investment should have been updated to the year-end NAV then since early the NAV at which my investment was valued on the 19th was not correct; there was not a large change in interest rates or macroeconomic factors from the 19th of December to the end of the year. In addition, looking at a history of NAV’s provided by Fundrise, I believe there is ample evidence to indicate that the NAV is not in fact updated daily as advertising and marketing materials indicate and as the prospectus of the fund promises.

Had I known that the NAV of the fund was not in fact updated daily, and that the macroeconomic conditions and interest rate changes of 2022 were not included in the NAV, clearly I would not have invested before those factors were fully considered. The harm to me is that my investment was overvalued and I therefore received fewer shares than I otherwise should have. I also believe there is broader harm to all shareholders as the NAV is clearly not updated daily as Fundrise claims and yet it allows investments to be made at those daily NAV’s.

Stay away.

By: iman

iman — Thu, 21 May 2020 18:57:12 +0000

In reply to Anthony S. Did you get your money back ? What other investments you think is better ?

By: Anthony S

Anthony S — Thu, 02 Apr 2020 16:59:38 +0000

STAY AWAY FROM FUNDRISE! After three years of investing with Fundrise, my returns have lagged other real estate investment options that are easier to access and manage. On Jan 13, 2020 I officially requested to liquidate my funds from my Fundrise account so I can put it towards better investments. Almost 3 months later now (Apr 2, 2020) they have sent me a message saying that they aren’t allowing any liquidations until further notice. So basically they’re holding my money against my wishes, and have provided no direction to me at all as to when I can be “allowed” to get my money out. When I do eventually get my money out (if I ever do) I will definitely never invest here again. There are far better investment options available that don’t steal your money and lock it away from you indefinitely.

By: Robert Farrington

Robert Farrington — Tue, 10 Mar 2020 16:57:53 +0000

In reply to Richard Sumter. It's a REIT (actually multiple REITs), and your investments will vary based on the REIT. They mostly do multi-family residential, but they also do new construction, loans, some mixed-use, some commercial. If you check out their site, you can see a history of what they've been investing in.