Most times, trends come and go, but a trend that will never go out of style? Real Estate. And if you have been watching the real estate market lately, you’ll know this is a trend everyone wants in on.
Today on the blog, we’re talking about a new service that was added to the GCR site, addy is described as a “chance for everyone to get into real estate. That’s homeownership without the life-altering sacrifices of homeownership”. That’s pretty trendy if you ask us.
addy works as a three-step process 1. addy identifies a real estate investment opportunity 2. addy divides the investment into equal parts 3. addy sells units for $1. Now that you know the three-steps, let’s break down each stage for a better understanding.
Step 1. Investment decisions are made collectively by addy’s real estate acquisitions team, their investment committee and their Board of Directors which has a track record of investing in and managing real estate. All opportunities go through their rigorous due diligence process.
Step 2. The real estate investment opportunity is broken out into increments valued at $1. For example, a $500,000 opportunity would be divided up into 500,000 units
Step 3. Units in the investment are listed for sale on addy’s platform. You decide how much you want to invest ranging from $1 to $1,500 per property. Why a maximum of $1,500? addy says “Investment opportunities for people with large amounts of money already exist and we’re not in the business of helping the rich get richer. If one of our members wants to invest more than $1,500, they can invest in multiple properties.” We love that outlook!
Now, how can you make money from real estate crowdfunding? You’ll make money from either the sale of the Property, any appreciation is paid back to investors in addition to their investment principal or rental Income, when tenants pay rent, additional cash flow can be passed back to investors in the form of a distribution.
To learn more about addy and how it works, go to Great Canadian Rebates. As an added bonus, you’ll receive $5 cashback from GCR when you sign up for the addy service. Take the cashback and invest into more real estate! A win-win. Happy house hunting.