About Recrowd
Real Estate Crowdfunding: it
is a formula that allows widespread investors to participate in the financing of a real estate project in exchange for remuneration.
The project typically relates to the purchase of a property, so that it is earmarked, rather than the renovation of a real estate property (which will also be earmarked or sold by accruing a capital gain).
Traditionally, real estate investments have always been accessible only to a limited part of the population, this is because they require the immobilization of huge resources in terms of capital and, subsequently, active management of the property. Furthermore, a real estate investment is characterized by low liquidity and a limited possibility of diversification.
Crowdfunding in the Real Estate sector allows to solve some of the problems related to this type of investment:
- Possibility to participate in a project with low amounts of money;
- Diversification opportunities, as by lowering the capital necessary for the individual investment, each individual can invest in a higher number of projects with the possibility of diversifying their investments both by geographical area and by size and type of property;
- Delegation of property management to the project promoter.
Real Estate Lending Crowdfunding, also referred to as Real Estate Crowdlending,
restricts the field of Crowdfunding to financing operations for proposed projects. This means that the private individual who invests on our site finances the project as a loan. It will therefore become a creditor of the company that proposed the transaction, not participating in the latter's business risk. In other words, Recrowd, with Real Estate Crowdlending, provides a place of intermediation in which subjects who have available capital meet companies that require a loan to finance a real estate project.