Strength in Numbers : Victor Cuevas Gives Us Advice About Crowdfunding as a Tool for Investments
By Victoria Kennedy
An important caveat to real estate investment , quite simply , it ’ s expensive . It requires more capital upfront to get going , and for a lot of potential investors , it just isn ’ t feasible . But Victor Cuevas , founder of Griffin Crowd and Capital , just might have the answer , and it ’ s a surprising , but innovative one . He suggests using crowdfunding !
When we typically think of investments , the stock market comes to mind . However , real estate is emerging as a competitive
alternative to stocks , one that is safer and can often yield higher returns . But like so much else in business , real estate investments lead to portfolio diversity .
Whatever side of the fence you are currently on , as either a borrower or investor , see below for a few tips from Cuevas to get you started .
Learn about Splitting the Bill
As it turns out , investing in real estate may not be as costly as it seems . With the rising popularity of crowdfunding — online platforms for sourcing capital for a given project — a creative new approach has emerged for breaking into the prohibitively expensive , but wildly lucrative field of real estate investment . With a little help from crowdfunding , you could soon be on your way to making big bucks , while at the same time , shaking things up along the way .
' Borrowers using a crowdfunding portal have an advantage because they can get funds from a wider pool of investors ,' said Cuevas . ' While they typically have to accept a higher interest rate in order to get additional funds , the access to those additional investors is typically worth it .'
Cuevas recommends crowdfunding as a way to expand your possibilities and adapt to the rising cost of homes . In the past year alone ,
Griffin Crowd and Capital has crowdfunded over 100 residential apartment complexes totaling tens of millions in profit as a result .
Find Strength in Numbers
David and Goliath was a close one , but ultimately , the “ little guy ” triumphed by sheer ingenuity . Now imagine if it had been 10 Davids , all equally resourceful , taking on that single Goliath — it would almost be unfair . And that ’ s the idea here .
Cuevas recommends using crowdfunding as a way of teaming up and pooling resources to collectively achieve what is too often reserved for the already wealthy . It is a great way to challenge the longstanding dynamic of the “ fat cat ” being the one at the top .
Victor Cuevas
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