Arrived Homes Review: Is it Worth it?

Investing in property often seems like a never-ending gift, doesn’t it? 

It’s known for consistently increasing in value, generating income on its own, and standing as one of the ways to build wealth in the U.S. 

However, the traditional way of owning and managing rental properties might be cumbersome. What if you could tap into these benefits without the tediousness of playing landlord?

That’s what Arrived Homes seeks to offer you.

About Arrived Homes

With just $100, you can become part of the property investment game. Arrived Homes enable you to invest in fractional shares of rental homes, significantly lowering the entry barrier. It’s a refreshing alternative to the often complex rental home purchasing process, allowing you to access pre-vetted, low-cost homes.

Worried about legalities? Arrived Homes hold your investments in an LLC and tax them as real estate investment trusts (REITs), meaning your liability is removed. 

Their use of advanced market tools, collaborations with local market experts, data-driven technology, and more work together to maximize returns.

Through this platform, you can earn passive income from single-family residences and vacation rentals via quarterly dividends or property value appreciation. Note that while single-family residences qualify as REITs, vacation rentals do not.

How Do Arrived Homes Work?

Let’s break down the straightforward process Arrived Homes employs:

Property Selection: The team uses proprietary technology and data analysis to pinpoint properties across growing U.S. markets. They ensure thorough due diligence, including assessing property condition, location, and potential ROI.

Crowdfunding: Once a property is chosen, it’s up for crowdfunding on the platform. You can purchase your share for as little as $100 without buying the entire home.

Property Purchase: Upon reaching the crowdfunding goal, Arrived Homes takes the step to purchase the property, placing it into a separate LLC. You become a part-owner of that LLC, thus being shielded from personal liability.

Rental Income: The team manages the property, taking care of tenants, rent collection, and maintenance. The rental income is then proportionally distributed to you and other investors as quarterly dividends.

Property Appreciation: You also benefit from the appreciation as the property value rises over time. When it’s eventually sold, you share in the profits.

Exit Strategy: Typically, Arrived Homes plans to hold properties for 5-7 years for single-family residences and 5-15 years for vacation rentals. Once sold, you receive your share of the profits.

Features of Arrived Homes

  • Renter Vetting

They employ a comprehensive screening process to ensure quality renters.

  • High-Quality Technology

Leveraging data-driven tools helps you make more informed decisions.

  • Regular Passive Revenue

Earnings are distributed quarterly, and Arrived Homes handles all the maintenance.

Who Would Benefit Most from Arrived Homes?

You might be wondering whether Arrived Homes firm is your right investment opportunity. The answer depends on your unique investment goals and preferences, but let’s explore who might find this platform particularly appealing.

Are You a Novice in Real Estate Investing? If you’re just starting in real estate and don’t have a significant amount to invest, Arrived Homes could be your ideal platform. 

It offers an easy entry point with a low minimum investment requirement of just $100. You can take your first step into real estate without needing much money.

Are You Seeking Passive Income? Perhaps you’re interested in making money without the daily grind of work. In that case, Arrived Homes might be just the ticket. 

You can earn from both rental income and potential property value appreciation, and you don’t have to worry about the usual landlord responsibilities like property management and tenant sourcing. It’s a way to earn money more effortlessly.

Are You a Non-Accredited Investor? Sometimes, real estate investment opportunities are only open to those with a high net worth or significant annual income. 

If that’s not you, don’t worry; Arrived Homes makes real estate investment accessible to non-accredited investors as well. You can buy shares of rentals and get involved in the market even if you don’t fit the traditional investor mold.

Looking to Diversify Your Investments? If your current portfolio consists mainly of traditional stocks and bonds and you’re looking to branch out, Arrived Homes provides an opportunity to invest in the real estate sector. This can be a valuable addition to your investment strategy and a good hedge against inflation.

Are You a Long-Term Investor? Remember that Arrived Homes typically holds properties for 5-7 years. If you have a long-term investment perspective and don’t need immediate liquidity, this platform might align well with your goals.

Arrived Homes Fees and Considerations

The initial investment with Arrived Homes is a mere $100, contrasted with traditional rental properties that often charge thousands.

Fees are transparent and include a sourcing fee, quarterly assets under management (AUM) fee for long-term rentals, and a sourcing fee plus a gross rents fee for vacation rentals.

Pros:

  • Truly effortless and dependable rental income
  • Access to attractive markets with just $100
  • No operational obligations
  • A reasonable 1% annual management fee

Cons:

  • Limited investment properties due to high demand
  • The 5-7 years holding time might not suit short-term investors

Arrived Homes Review: Final Thoughts

In this Arrived Homes review, it’s evident that they strive to protect shareholders and minimize risks. With low fees and transparent practices, real estate investing becomes accessible.

Comparing Arrived Home vs Fundrise, Fundrise vs Crowdstreet, or Groundfloor vs Fundrise, you might find that Arrived user-friendly platform and low start-up costs make it an appealing choice for newcomers to the investment scene.

Interested in exploring this opportunity? Click here to get started today. It could be your step into the rewarding world of real estate investing, with Arrived Homes guiding you along the way.