The Best Alternative Real Estate Investments (And How to Choose the Right One)
Many real estate investors own traditional rental properties, but other investments can help you get started without a ton of capital, diversify...
5 min read
Fundrise is an online crowdfunding platform that allows everyday people to passively invest in private real estate, venture capital opportunities, and other assets. With a minimum investment of just $10, you can invest in a portfolio of new construction homes, multifamily apartments, and industrial properties. Keep reading to learn more about the company, its biggest competitors, and the best Fundrise alternatives for investors!
Summary:
- Best Fundrise alternative: Turnkey Rentals
- Best overall turnkey provider: Rent to Retirement
- Best Fundrise competitor: RealtyMogul
| RealtyMogul | Ark7 | Turnkey Rentals (Rent to Retirement) | REITs | Syndications | |
| Accredited Required? | No (for REITs) | No | No | No | Yes (Often) |
| Minimum Investment | $5,000 | $20 | 5% Down | $5+ | $50,000 (Often) |
| Avg Annual Return | 1.5% | Varies | 10% target (cash-on-cash) | 7.2% (10-Year Average) | 6%-9% (cash-on-cash) |
| Passivity | Passive | Passive | Semi-Passive | Passive | Passive |
| Direct Ownership | No | No | Yes | No | No |
Why People Invest in Fundrise
Fundrise appeals to investors who want real estate exposure without the traditional barriers to entry. A few reasons why investors choose this style of investing:
- Low minimum: At just $10, it's accessible to almost anyone, no matter where they are in their investing journey.
- No accreditation requirement: Unlike syndications, which often lock out non-accredited investors entirely, Fundrise is open to the general public.
- Hands-off passivity: No maintenance calls and no property management to coordinate. You invest and walk away.
- Diversification: Your money spreads across a portfolio of properties rather than riding on a single deal.
That said, it's worth asking what an investor actually gives up in exchange for that convenience. Passivity through a platform like Fundrise means no equity buildup in a property you can point to, no direct tax deductions from ownership, and returns that flow through a fund structure rather than a deed in your name. For investors willing to trade a little more involvement for full ownership and control, the comparison to turnkey rentals—where a property manager and tenants are already in place—becomes worth a closer look.
The 5 Best Fundrise Alternatives
While Fundrise is one of the biggest players in the real estate crowdfunding space, there are dozens of other options to consider. Here are a few of the top Fundrise alternatives and competitors:
1. RealtyMogul
RealtyMogul is a real estate crowdfunding platform that has provided over $8 billion in investment opportunities since 2012. As of 2026, the platform has over 300,000 members who have invested a collective $1.2 billion. RealtyMogul provides both private placements (investments) and REITs.
What to Know
RealtyMogul’s private placements are only offered to accredited investors, but their REITs are available to the general public. While REITs are typically illiquid, the company’s Share Repurchase Program provides some extra flexibility, allowing investors to part with their investments for a reduced price.
- Must Be Accredited? No (for REITs)
- Minimum Investment: $5,000*
- Average Annual Returns: 1.5% *
- Passivity Level: Passive
- Unique Benefits: Monthly distributions on REIT offerings, access to both private placements and REITs, Share Repurchase Program for added liquidity
*As of September 2026
2. Ark7
Ark7 is a real estate crowdfunding platform that enables investors to purchase fractional shares in rental properties, including single-family homes, multifamily units, and short-term rentals. The platform has attracted over 300,000 active investors and funded more than $30 million in property value, paying over $4 million in cash dividends as of mid-2026.
What to Know
Ark7 offers a secondary marketplace where investors can buy and sell shares after a one-year holding period, which adds more liquidity than many other crowdfunding platforms. Returns vary by individual property rather than a platform-wide average, so it's worth reviewing the specific financials on each listing before investing.
- Must Be Accredited? No
- Minimum Investment: $20*
- Average Annual Returns: Varies widely by property
- Passivity Level: Passive
- Unique Benefits: Low entry point, monthly dividends, secondary market for partial liquidity, choice of individual properties
*As of September 2026
3. Rent to Retirement: Turnkey Rentals
Turnkey rentals are recently renovated properties or new build investments that are often managed for you and require less upkeep than regular rentals. Rent to Retirement, the nation’s leading turnkey provider, has offerings in some of the best states to buy rental property. Browse turnkey properties, make an offer, and close with a vetted property manager and tenants already lined up!
What to Know
If you like the idea of crowdfunding because it’s relatively hands-off, you’ll love turnkey, too. With property management handling things like finding tenants, collecting rents, and taking care of maintenance and repairs, you can own property, earn consistent monthly cash flow, and enjoy all the tax benefits of real estate investing without sinking a ton of time and energy into your investment.
- Must Be Accredited? No
- Minimum Investment: 5% Down
- Average Annual Returns: 10%+ Target (Cash-on-Cash Return)
- Passivity Level: Semi-Passive
- Unique Benefits: Tax deductions, cash flow, appreciation, and full property ownership, but more passive than regular rentals
The Rent to Retirement Difference
Rent to Retirement is the highest-reviewed turnkey rental provider on BiggerPockets, holding a perfect five-star rating across hundreds of online reviews. We have rental properties in high-cash-flow, high-appreciation markets and a lean team of industry experts who can guide you toward your first or next investment!
4. Real Estate Investment Trusts (REITs)
REITs are companies that own and manage investment properties. As the investor, you buy shares of these companies and receive dividends, like stock investing. REITs are legally obligated to distribute at least 90% of their taxable income to investors.
What to Know
REITs are a great option for investors who don’t have a ton of starting capital. While these investments are completely passive, keep in mind that you don’t have any control over how properties are managed or when they are sold.
- Must Be Accredited? No
- Minimum Investment: $5+
- Average Annual Returns: 7.2% (Past 10 Years)*
- Passivity Level: Passive
- Unique Benefits: Fully passive, easy diversification
*As of September 2026
5. Real Estate Syndications
Real estate syndications are investor groups that pool their money together to purchase larger (or multiple) properties. Syndications usually have higher investment requirements than REITs and may involve capital calls—requests for additional funds to cover expenses and unforeseen costs.
What to Know
A syndication is usually managed by a syndicator or operator. Since you’ll be entrusting your investment to this person, it’s crucial that you do your due diligence and properly vet the operator up front!
- Must Be Accredited? Yes (Often)
- Minimum Investment: $50,000
- Average Annual Returns: 6%-9% (Cash-on-Cash Return)
- Passivity Level: Passive
- Unique Benefits: Fully passive, tax benefits, multiple types of returns (preferred return + profit on sale)
Get the benefits of rental properties without the headaches!
The Best Alternative to Fundrise? Turnkey Rentals!
There’s one glaring drawback that crowdfunding, REITs, syndications, and other passive real estate investing strategies all have in common: you don’t actually own the properties you’re investing in.
If you want full ownership and control of a rental property that cash flows and appreciates, Rent to Retirement’s turnkey rentals are for you. These properties target higher cash-on-cash returns, better tax deductions, and consistent semi-passive income, thanks to turnkey property management!
Fundrise Alternatives FAQs
What’s the Best Alternative to Fundrise?
Turnkey real estate is a solid Fundrise alternative. Like crowdfunding, turnkey rentals allow you to earn passive (or semi-passive) income, since these properties often come with property management and tenants in place. You also get the full benefit of property ownership, control over your investment, and often much better returns!
Who are Fundrise’s Competitors?
RealtyMogul and Ark7 are a couple of the top Fundrise competitors. If you’re looking for an alternative to Fundrise that targets higher returns, better tax benefits, and property ownership, Rent to Retirement’s turnkey rentals are hard to beat!
What Is the Downside of Fundrise?
Fundrise has a few drawbacks. For one, your investment is relatively illiquid, and you don’t own any of the properties you’re investing in. What’s more, Fundrise charges several fees for using their platform, and unless you’re investing a large amount of money, returns may not be worthwhile.
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