Best Real Estate Crowdfunding Platforms in UAE 2023

Page Summary

This guide helps users to find the best real estate crowdfunding platforms in UAE. Real estate crowdfunding is a popular way for retail investors from UAE to get exposure to real estates without directly buying or managing properties. It is a great investment for portfolio diverzification, strong returns and passive income generation. With the growing number of services that offer access to real estate crowdfunding, it can difficult to choose a platform that aligns with investors trading goals and needs.

Avoiding individual research and comparison of crowdfunding providers, increases the risk of selecting an unreliable platforms with high fees, low transparency, high minimum investment requirements and limited due diligence.

This guide assesses 24 real estate crowdfunding platforms accepting UAE clients. To help users make an informed decision and find the ideal options for their financial goals, the best real estate crowdfunding platforms in UAE are ranked, reviewed and compared based on equity investments, fees, minimum investments, average annual returns, number of users, reinvestment options and accreditation requirements.

The Top 5 Real Estate Crowdfunding Platforms in UAE

  1. EureecaBest For Equity Investments
  2. Smart CrowdTop For Low Minimum Deposit Requirements
  3. Equity MultipleIdeal For Diversification
  4. Arrived HomesBest For Minimum Investments
  5. RealtyMogulTop For Accredited Investors

The 5 Best Real Estate Crowdfunding Platforms in UAE Reviewed

The best real estate crowdfunding platforms in UAE are reviewed below including key features.

1. Eureeca – Best For Equity Investments

eureeca-logo

Eureeca is an equity crowdfunding platform operating in the Middle East, United States and Europe. It was founded in 2013 by Sam Quawasmi and Chris Thomas. The platform provides accredited investors access to a wide range of pre-IPO companies and start-ups from all sectors.

Eureeca guarantees high reputability of real estate listed on their website through an extensive vetting process. Third-party providers employed by the platform check various criteria, including the incorporation of companies, their operating history and financial background. 

Eureeca has a great reputation among investors across the UAE and the broader Gulf region. It is featured on many different news outlets, including Gulfnews, Zawya, and Creative Zone. 

Eureeca requires users to sign up and fund their accounts to start investing. There is no minimum investment required to get started. SMEs featured on the site should request at least a funding target of $250,000 (+-1 million AED). 

Eureeca charges a management fee of 7,25% on generated profits.

Eureeca Key Features:

  • No investment minimums
  • Broad range of investing opportunities in all kinds of SMEs
  • Extensive due diligence checks on all properties listed on the site
  • Low, competitive fees of 7,25% on any profits generated (no service fees)
  • Great reputation among UAE and broader Gulf region investors (featured on sites like Golfnews, Zawya, and Creative Zone) 

2. Smart Crowd – Best For Low Minimum Deposit Requirements

smart-crowd-logo

Smart Crowd is a real estate crowdfunding platform, regulated by the DFSA. The platform was founded in 2018 by Siddiq Farid and Musfique Ahmed. It is the world’s first fully regulated digital platform for real estate investments in the MENA region.

Smart Crowd sources investment properties in Dubai using a 100-point proprietary screening tool. Properties that get through the vetting process gets listed on their website. Smart Crowd pays investors rental income generated through the platform directly to their digital wallets. Rental income earnings can be automatically reinvested or withdrawn at any time.

When a property gets sold, Smart Crowd investors have the option to sell their shares to other investors or receive part of the exit value proportional to their investment. 

Smart Crowd charges a transaction fee 4% at the completion of the property acquisition. The minimum investment required is $140 (AED 500)

Smart Crowd has a great reputation among users. They have a rating of 4,5/0 on TrustPilot and are highly recommended by investors on multiple investor forums and websites.

Smart Crowd Key Features:

  • Low minimum investment requirements of $140 (AED 500)
  • Wide selection of real estate investment opportunities, including residential and commercial objects
  • Extensive 100-point proprietary vetting process
  • Competitive fees of 4% at the completion of the property acquisition
  • Great reputation among investors with a 4,5/5 rating on TrustPilot

3. Equity Multiple – Best For Diversification

equity-multiple-logo

Equity Multiple is a real estate crowdfunding platform based in the US. It was founded in 2015 by Charles Clinton and Marious Sjulsen. Equity Multiple offers historical average returns of 17% /year. Their total asset value is $4,4 billion and they have over $298 million in profits distributed to investors. The platform tracks the performance of all investments together with its sponsors to maximize the best risk-adjusted returns for its investors.

Equity Multiple only accepts institutional and accredited investors. The platform performs extensive background checks on listed companies through third party providers. 

Equity Multiple charges 10% fees on all profits and 0,5% service commissions on invested amounts. The minimum investment on the platform is $5,000

The platform has a great reputation among users. It received great reviews by several rating platforms including NerdWallet, InvestorJunkie, and BusinessInsider.

Equity Multiple Key Features: 

  • $5,000 minimum investment 
  • Broad range of companies and real estate objects to invest in (SMEs, residential, and commercial real estate)
  • Extensive due diligence on all investments 
  • Great reputation among investors (NerdWallet, InvestorJunkie, and BusinessInsider)
  • Competitive fees of 10% on all profits and a 0,5% service commission on every invested amount.

4. Arrived Homes – Best For Minimum Investments

arrived-homes-logo

Arrived Homes is a real estate investing platform regulated by the SEC. The platform was founded in 2019 by Ryan Frazier and Spencer Rascoff and is backed by billionaire Jeff Bezos. 
Arrived Homes accepts non-accredited (everyday) investors from the UAE. The minimum required investment is $100 (360 AED). The platform has a strong track record with over $64 million worth of properties across 176 projects.

Arrived Homes provides users with a wide variety of information about listed projects, including location, photos, tenant status, dividend rates & dates, and full Zillow home price trends & market information.

The Arrived Homes platform allows users to invest in real estate projects in the form of shares. Dividends on these shares range between 3,2% and 7,2% annually. If the properties get sold, users take part in the increased appreciation value as well. The 

Arrived Homes charges users a one-time sourcing fee of 1% annually and management fees for maintaining the properties under management. Property owners that list their property on the platform pay agent rebates

Arrived Homes has a good reputation among real estate investors. They have received great ratings and reviews from several rating platforms including FinaceBuzz, MoneyCrashers, and AssetScholar. One of the main reasons why the platform is so beloved across investors is because it is founded by industry veterans and backed by Jeff Bezos. 

Arrived Homes Key Features:

  • Minimum investments from $100 (360 AED)
  • Access to traditional residential real estate and dividends based on the appreciation of shares in these projects
  • Extensive due diligence including full Zillow home price trends and market information
  • Competitive one-time sourcing fee of 1%
  • Great reputation among real estate investors, backed by famous billionaires like Jeff Bezos

5. Realty Mogul – Best For Non Accredited Investors

realtymogul-logo

Realty Mogul is a crowdfunding and investing platform based in the US. The platform was found in 2013 by Jilliene Helman. Realty Mogul has generated over $70 million in investments in real estate projects. They accept (non-accredited) investors. The minimum investment required is $5,000. 

The Realty Mogul income REIT provides an average annual return of 5,78%, while growth REITs provide a net return of 4,5% annually

Realty Mogul provides extensive due diligence on all deals listed on the platform. They have a fully dedicated asset management team that conducts in-depth research and checks that all the listed properties meet the set criteria.

Realty Mogul charges a fee of 1% to 1,25% per year based on the total real estate investment portfolio of the user. The platform allows to reinvest or directly withdraw the generated income at any given moment.

The platform has a good reputation among investors and has received many positive reviews on sites like Go Banking Rates, Millennial Money, Nerd Wallet, and Business Insider.

Realty Mogul Key Features:

  • Minimum investments from $5,000
  • Wide selection of residential and commercial real estate investment projects
  • In-depth due diligence on every project listed on the platform
  • Yearly management fees ranging from 1% to 1,25%, based on the total real estate investment portfolio of the user
  • Great reputation among real estate investors across the globe including investing-related sites like NerdWallet and Business Insider

How To Find The Ideal Real Estate Crowdfunding Platform in UAE

Choosing the right real estate crowdfunding platform increases chances for profitable investing. Criteria for finding the best suited real estate crowdfunding platform are listed below. 

  • Investment Minimums – Crowdfunding platforms have different minimum investment requirements. Platforms with minimums investments that match the investors budget should be preferred.
  • Investment Opportunities – Platforms offer different investments to its users. Platforms with a wider range of investments, better investment terms, expected returns, and reinvestment and payout arrangement should be preferred.
  • Due Diligence Process – Platforms perform different types of due-diligence on the listed real estates. Better and more in-depth vetting process increases chances of profit. Platforms with better research and due diligence should be preferred. 
  • Platform Fees – Real estate crowdfunding platforms charge management fees, transaction fees and one-time sourcing fees. Platforms with lower overall fees should be preferred. High platform fees lower profitability.  
  • Transparency – Platforms should provide detailed information about the investment opportunities, fees structure and their terms and conditions. Platforms with better overall transparency should be preferred as they help avoid scams.
  • Reputation – Choosing a reputable platform helps avoiding unreliable providers. The following criteria build a platform’s reputation: number of users, number of positive user feedback, number of regulators. 

Top 5 Real Estate Crowdfunding Platforms Compared

Key features of the highest rated real estate crowdfunding platforms in UAE are compared in the table below.

PlatformBest ForOpen to Non-Accredited InvestorsMinimum InvestmentFeesHistorical Average Returns
EureecaEquity InvestmentsNoNone7,25% on profitsDepends on the property project invested in
Smart CrowdLow Minimum Deposit RequirementYes$1404% on property acquisitionDepends on the property project invested in
Equity MultipleReal Estate Portfolio DiversificationNo$5,00010% on all profits, 0,5% annually 17% annually projected returns
Arrived HomesLow Minimum InvestmentsYes$1001% annuallyBetween 3,2% and 7,2% annually
Realty MogulNon-Accredited InvestorsYes$5,0001% to 1,25% annually5,78% income REITs and 4,5% growth REITs

What Are Real Estate Crowdfunding Platforms

Real estate crowdfunding platforms are online platforms that connect multiple users aimed to invest in the same real estate. These platforms allow retail (individual) investors to invest in the real estate market without having to buy, finance and manage entire properties. 

Real estate crowdfunding platforms connect developers and sponsors of real estate projects with a pool of potential investors. Types of real estate investments on those platforms include equity, income, and debt investments.

What Is The Difference Between Real Estate Crowdfunding Platforms and REITs?

Both real estate crowdfunding platforms and REITs allow users to invest in the real estate market, but have different ways of investment and offer different benefits and risks. 

Real estate crowdfunding platforms offer individual investors the opportunity to invest in specific real estate projects. It is a form of fractional investing in real estate that allows the investor to have a say in how the project is managed and provides decent returns from rental income and/or appreciation of the property.

REIT’s (Real Estate Investment Trust) are companies that own, operate, or finance commercial or residential income-generating real estate objects. Investors invest in REITs by buying their shares listed on stock exchanges. Investment returns are generated through dividends paid by the REIT and through the appreciation of the value of the shares.

Real estate crowdfunding platforms and REITs have a different level of diversification. While real estate crowdfunding investments focus on a single property or projects, REITs typically hold a diversified portfolio of properties across different geographic regions and asset classes.

Are UAE Investors Allowed to Invest in International Real Estate Projects Through Real Estate Crowdfunding Platforms?

Yes, UAE investors are allowed to invest in international real estate projects through real estate crowdfunding platforms. Those offer users access to a variety of real estate projects located in different countries. 

Conclusion

The wide range of real estate crowdfunding platforms in UAE, offering different services and conditions, makes it hard to find the ideal option for individual needs. Researching and comparing offers can be stressful and require time and knowledge.

This guide does the hard work for you by comparing and evaluating the top choices for different types of traders and trading goals. The results of our analysis of the best real estate crowdlending platforms in UAE are wrapped up in the table below.

RANKBROKERGENERALPLATFORM SCOREBEST FORWEBSITE
#1EureecaGreat choice of different trading instruments4,9/5Equity InvestmentsOfficial website
#2Smart CrowdLow trading fees4,9/5Low Minimum DepositOfficial website
#3Equity MultipleGreat trading platforms (Desktop & Mobile)4,9/5DiversificationOfficial website
#4Arrived HomesGood research and educational tools4,5/5Minimum InvestmentsOfficial website
#5RealtyMogulGreat Social trading service4,9/5Accredited InvestorsOfficial website

FAQ

What is the average return on investments on real estate crowdfunding ?

The average annual returns on real estate crowdfunding projects range from 2% to 20%, depending on the risk exposure (entry point) of the project.

Is real estate crowdfunding risky?

Real estate crowdfunding is considered a risky investment because of the volatility of the real estate market, low liquidity, control limitations and project specific risks.

Is real estate crowdfunding recommended for beginners?

Real estate crowdfunding requires certain knowledge and experience level of the investors and is not recommended for beginners.

Is real estate crowdfunding legal in the UAE?

The UAE Cabinet labeled real estate crowdfunding activities for the private and business sector as legal. The SCA is the main regulatory authority of real estate crowdfunding platforms in UAE.

What types of properties can users invest through real estate crowdfunding platforms in UAE?

Real estate crowdfunding platforms allow users to invest in a variety of properties including: residential, commercial, multi-family and mixed-use properties, development projects, students housing and hospitality properties.

What are the most common risk real estate crowdfunding investors face in UAE?

Real estate crowdfunding comes with certain risks including Market Risk (changes in the property market can affect the value of the investment), liquidity risk (real estate investments typically have lower liquidity), platform risk (the platform can fail), and project risk (projects can fail at any stage).

How are the returns on real estate crowdfunding taxed in UAE?

The UAE does not apply any personal or corporate income tax on capital gains made with real estate crowdfunding.

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