Crowdfunding

Forbes: Real Estate Crowdfunding Trends to Watch

As crowdfunding continues to mature, it will continue to play a bigger role in the industry.

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Crowdfunding is a trend that’s here to stay. According to a Massolution report, money raised by both individuals and brands exceeded $34.4 billion in 2015, and analysts are predicting that number will climb this year. That means that crowdfunding is impacting a wide variety of industries, and real estate is no exception.

One crowdfunding trend that industry professionals should watch out for is the new regulation that brings the trend to maturity. Since the JOBS Act was signed into law by President Obama in 2012 to encourage the funding of small businesses by easing securities regulations, investors have been less skeptical and more intrigued when it comes to crowdfunding. Another trend to consider is that foreign investment in real estate is booming, and there’s an uptick in international investments that are being made within the industry’s crowdfunding space.

In her article for Forbes, Jilliene Helman writes, “Economists believe that this growth trend is due in great part to global economic instability and the need for foreign investors to export their investments into a more stable economy like the U.S.”

Click here to read the full article.