Real estate crowdfunding has exploded in popularity, and in 2026 two platforms dominate the conversation: Fundrise (founded 2012) and Arrived Homes (founded 2020). Both allow everyday investors to buy shares in real estate with low minimums, but they take fundamentally different approaches. Fundrise offers diversified eREIT portfolios; Arrived lets you pick individual rental properties. This comprehensive guide compares every aspect—minimum investment, fees, historical returns, liquidity, dividends, and platform experience—so you can decide which fits your passive income goals.
Whether you're a first-time investor or adding real estate to your portfolio, understanding these differences is crucial. We've analyzed each platform's 2025 performance data, user reviews, and fee structures to bring you the most current comparison available.
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đź“‹ Table of Contents
- 1. What Are Fundrise and Arrived Homes?
- 2. Minimum Investment Comparison
- 3. Fee Structures
- 4. Historical Returns (2025 Data)
- 5. Property Types & Diversification
- 6. Liquidity: How Long Is Your Money Locked?
- 7. Dividends & Payouts
- 8. Platform Experience & Transparency
- 9. Risks: Real Estate & Platform Specific
- 10. Which Is Better for Beginners?
- Frequently Asked Questions
What Are Fundrise and Arrived Homes?
Fundrise is the original real estate crowdfunding platform for non-accredited investors. It pools money from thousands of investors into a series of private real estate investment trusts (eREITs) and funds (eFunds) that own portfolios of residential and commercial properties. You buy shares in these funds, and the platform manages everything—property acquisition, leasing, and eventual sale.
Arrived Homes takes a different approach: it allows you to invest in individual rental properties, often single‑family homes. Each property is structured as a separate LLC, and you buy shares in that LLC. You receive monthly dividends from rental income and a share of the profits when the property is sold (usually after 5–7 years).
đź’ˇ Key Difference at a Glance:
- Fundrise: Diversified portfolio of many properties (like a mutual fund)
- Arrived Homes: Pick individual rental properties (like buying a single stock)
Minimum Investment Comparison
The most striking difference for new investors is the entry barrier.
| Platform | Minimum Investment | Account Minimum | Best For |
|---|---|---|---|
| Fundrise | $10 | $10 (Standard plan) | Absolute beginners, those wanting instant diversification |
| Arrived Homes | $100 | $100 (per property investment) | Investors who want to hand‑pick specific homes |
Fundrise’s $10 minimum is industry‑leading. You can start with as little as ten dollars and own a piece of dozens of properties across the U.S. Arrived requires $100 per property, which is still very low for direct real estate ownership, but you’ll need to commit at least that much for each home you select.
🎯 Takeaway for Beginners:
If you have limited capital and want broad exposure, Fundrise wins. If you have a bit more to invest and enjoy researching individual markets, Arrived gives you control.
Fee Structures
Both platforms charge asset‑management fees, but the structures differ.
| Platform | Annual Advisory Fee | Property Management | Other Fees |
|---|---|---|---|
| Fundrise | 1.0% of invested assets | 0.15% asset management (already included in the 1%) | None for standard accounts; performance fees only on some funds |
| Arrived Homes | 1.0% annual asset management fee (on property value) | 8–10% of rental income (property management) | One‑time acquisition fee (~1–2%) |
Fundrise’s fee is simple: 1% per year on your account balance. That covers all property management, acquisitions, and administration. Arrived charges a 1% annual fee on the property’s value, plus a property management fee (typically 8‑10% of monthly rent) that goes to a third‑party manager. There’s also a one‑time acquisition fee when you invest. Over a 5‑year hold, Arrived’s total fees can be higher, but you get direct ownership.
Historical Returns (2025 Data)
Past performance doesn’t guarantee future results, but 2025 data provides a useful benchmark.
Fundrise Returns
Diversified- 2025 Annual Return: 8.7% (across all eREITs)
- 5‑Year Average (2021‑2025): 9.2%
- Dividend Yield (2025): 3.5‑4.5% (paid quarterly)
Fundrise’s flagship Growth eREIT returned 10.2% in 2025, driven by strong appreciation in Sunbelt multifamily properties.
Arrived Homes Returns
Direct Property- Average Cash‑on‑Cash Return (2025): 5.8% (from rent)
- Projected Annualized Return (including appreciation): 9‑12%
- Dividend Yield: 4‑6% (paid monthly)
Example: A $200,000 rental home in Charlotte returned $1,200 in rent ($0.60/share) over 12 months, plus 8% appreciation when sold after 5 years.
Note: Arrived’s returns are still relatively new; most properties haven’t reached full exit. The projected returns are based on underwriting assumptions. Fundrise has a longer track record (since 2012).
Property Types & Diversification
Fundrise: Invests in a mix of multifamily (apartments), single‑family rentals, self‑storage, commercial office, and even development projects. By investing in eREITs, you automatically get exposure to dozens of properties across many states.
Arrived Homes: Focuses exclusively on single‑family residential rentals. You can choose from a curated list of homes in markets like Atlanta, Charlotte, Tampa, and Phoenix. Each property is a separate investment, so you can build a custom portfolio. However, you’ll need to invest in multiple properties to achieve meaningful diversification.
đź“Š Diversification Snapshot (as of Feb 2026)
- Fundrise portfolio: 200+ properties, 15+ states, $1.5B+ assets
- Arrived portfolio: 350+ properties, 20+ markets, $150M+ assets
Liquidity: How Long Is Your Money Locked?
Real estate is inherently illiquid, and both platforms reflect that.
- Fundrise: Offers quarterly redemption windows. You can request to sell shares at the end of each quarter, but the amount available is capped (usually 1‑2% of assets per quarter). In practice, during normal markets, most redemption requests are fulfilled within one or two quarters. In a downturn, redemptions may be suspended.
- Arrived Homes: Each property has a target hold period of 5‑7 years. You can sell your shares earlier only if a secondary market exists (Arrived launched a trading platform in 2024, but liquidity is limited). The primary exit is when the property is sold, and proceeds are distributed.
Winner for liquidity: Fundrise, due to quarterly redemptions, though it’s not as liquid as stocks.
Dividends & Payouts
Fundrise: Dividends are paid quarterly. Most eREITs distribute 90‑100% of net rental income. You can choose to reinvest dividends automatically or receive cash.
Arrived Homes: Dividends are paid monthly (a big plus for cash‑flow seekers). The amount varies by property based on rent collected, vacancy, and expenses. Historically, monthly dividends range from $0.05 to $0.15 per share (with share prices typically $10‑$20).
Monthly Dividend Comparison (Hypothetical $1,000 Investment)
Actual amounts vary by property and portfolio composition.
Platform Experience & Transparency
Both platforms offer polished mobile apps and web dashboards. Here’s how they compare:
- Fundrise: Dashboard shows your total value, performance breakdown by fund, dividends earned, and projected returns. It provides detailed quarterly reports on the overall portfolio.
- Arrived Homes: Each property has its own page with photos, rent roll, financials, and occupancy status. You can see exactly which homes you own and track their performance. The app sends monthly dividend notifications.
Arrived wins on granular transparency; Fundrise wins on simplicity.
Risks: Real Estate & Platform Specific
⚠️ Common Risks
- Market risk: Property values can decline, affecting your principal.
- Liquidity risk: You may not be able to sell when you want.
- Platform risk: If the platform fails, your investments could be tied up in bankruptcy proceedings (though assets are held in separate LLCs).
Fundrise‑Specific Risks
- Concentration in eREIT structure: You don’t own individual properties directly.
- Development projects carry higher risk but potentially higher returns.
Arrived‑Specific Risks
- Single‑property concentration if you invest in only one home.
- Tenant vacancies and property management quality affect returns.
- Projected appreciation may not materialize.
Which Is Better for Beginners?
The answer depends on your goals and temperament.
Choose Fundrise If:
- You want to start with as little as $10
- You prefer a hands‑off, diversified portfolio
- You want quarterly liquidity (even if limited)
- You like seeing a single number grow over time
Choose Arrived Homes If:
- You have at least $100‑$500 to allocate per property
- You enjoy researching individual markets and homes
- You want monthly dividend income
- You’re comfortable with a 5‑7 year hold
Many investors use both: Fundrise for core diversified exposure and Arrived for picking favorite markets.
Final Verdict: Two Great Options, Different Flavors
Both Fundrise and Arrived Homes are legitimate, well‑funded platforms that have opened real estate investing to the masses. Fundrise is the better choice for passive, diversified, low‑minimum investors. Arrived Homes appeals to those who want control and monthly cash flow. In 2026, with interest rates stabilizing and rental demand strong, both can play a role in a balanced portfolio.
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Frequently Asked Questions
Fundrise is a registered investment adviser and has been operating since 2012. Your investments are held in separate LLCs, so they are not commingled with Fundrise’s operating funds. However, real estate investing always carries market risk. Fundrise has weathered multiple market cycles and has never lost investor principal (though past performance doesn't guarantee future results).
Yes, like any real estate investment, property values can decline, and rental income may be lower than projected. Arrived’s properties are underwritten conservatively, but there is no guarantee of appreciation or dividend payments. If a property sells for less than the purchase price, you could lose part of your investment.
You can request a redemption through your account dashboard. Redemptions are processed quarterly, and the amount available each quarter is capped (usually 1‑2% of total assets). Most requests are fulfilled within one or two quarters. Note that in times of market stress, redemptions may be suspended entirely.
Arrived typically holds each property for 5‑7 years, then sells it. Proceeds from the sale are distributed to shareholders proportionally. You can also sell your shares earlier on the secondary market if another investor wants to buy them, but liquidity is not guaranteed.
Based on 2025 data, Fundrise’s diversified eREITs returned around 8‑10%, while Arrived’s rental yields averaged 5‑6% with additional appreciation potential. Over a full 5‑year cycle, projected total returns are similar (9‑12%). The difference lies in how you get there: steady appreciation (Fundrise) vs. rent + sale profit (Arrived).
Yes, both Fundrise and Arrived Homes are open to non‑accredited investors. They use Regulation A+ and Regulation Crowdfunding exemptions to allow anyone to invest, regardless of income or net worth.