Streitwise Review

Streitwise Review 2022 [Pros, Cons, & Pricing]

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Streitwise Review

When you’re starting out with investments, it can be overwhelming with the multiple options and companies available today. But if you want to expand your investment portfolio with real estate, where do you start?

Streitwise is an up-and-coming company that focuses on real estate investments online making the real estate investment process simple and transparent. But is Streitwise right for you, or everyone? Continue reading, and find out, with this 2022 Streitwise review!

What is Streitwise?

Streitwise is a financial investment platform that is managed by Tryperion Partners. Tryperion Partners primarily works with real estate, as they have managed over $750 million in properties according to the Streitwise website. They have also transacted over $5.4 billion in business in the 40 years that Tryperion Partners has been in operation.

Streitwise was founded in 2017, so they do not have extensive dividend history compared to other companies, and they are a company designed for long-term investors. However, they are a “skin-in-the-game” company with over 500,000 shares invested in their properties and assets.

How Does Streitwise Work?

The process is easy with Streitwise. In order to get started, you need to go to their website and click the “Start Investing” or “Invest Today” button. This will take you to a form that you are required to fill out, and then create an account, which only takes five to 10 minutes.

This form will ask for basic information, including your name, but will also ask for financial information, including your net worth and annual income. This information is required of all investors before they start investing, accredited or not.

This information is required because Streitwise has a limit on the amount you can invest. The limitation is that you cannot invest more 10% of your annual income and 10% of your net worth.

Next, you will need to complete an ACH authorization. Finally, you’ll receive information about when your account will become accessible.

RELATED: How To Start Investing.

Features

  • Earn Passive income: All investors earn money through two ways, including their quarterly dividends and with capital appreciation on the investments.
  • High Dividend Percentages: On average, Streitwise pays over eight percent in dividends to its investors per quarter.
  • Focuses on Commercial Space: Streitwise strictly invests in commercial real estate spaces, including office and business-oriented space.
  • Private REIT: Unlike other companies, Streitwise doesn’t offer public REITs, which is an advantage in several ways, including less fluctuation in share prices and removing third-party involvement.
  • iOS App: If you currently have an Apple device, then you will be able to download the app which helps you to manage your investments from your mobile device or iPhone.

Streitwise Pros and Cons

Pros:

  • Great for Diversifying your Portfolio: With Streitwise, you are investing in private REITs, and the company isn’t involved in traditional stock market exchanges. So, purchasing shares directly through Streitwise will not fluctuate in price as heavily as public REITs.  
  • Long-Term Investment: Investing with Streitwise is strictly a long-term investment opportunity because the company invests in commercial properties for rental income generation.
  • No Third-Party Involvement: All shares are purchased and sold directly through Streitwise.
  • Phone and Live Chat Customer Service: If you have any concerns or questions about your account or investments, Streitwise offers two ways to contact customer service including a phone number and a live chat.
  • Share Price Stability: Streitwise stock price benefits from low liquidity since the investments are real estate crowdfunding, which is not impacted by as high volatility as stock market trades are. Streitwise stock fluctuated mildly in price between $9 and $10 within the five years they have been in operation.
  • All Investors Allowed: As stated earlier, whether you are accredited or not does not matter with Streitwise. International investors are also welcome to invest with Streitwise.

Cons:

  • Penalties: This is more of a reality of long-term investments than a con to the company, but Streitwise does have a tier system of penalties for selling back shares. In the first year, no buybacks are allowed, but after five years, you will not face penalty fees.
  • Lacking History: In terms of investment reputation, Streitwise dividend history is low, with only five years as of 2022 of experience.
  • Poor Liquidity: You cannot sell back your shares in the first year of your investment period, and for four years after that, if you sell back, the prices will be discounted.
  • High Minimum Investment Price: While you do not have to be accredited to invest, the minimum investment price has risen drastically. Streitwise used to allow a minimum of $1,000 investments, but now you must invest a minimum of $5,000.

RELATED: Vanguard Investing Platform Review.

Streitwise Alternatives and Competitors

If you find that Streitwise isn’t exactly what you’re looking for, then there are multiple real estate investment platforms out there, including these alternatives.

Fundrise vs. Streitwise

Streitwise vs. Fundrise is a common comparison because of the top factors in deciding what investment platform to use. In a total of five years, when you invest with Streitwise, you would pay 13% in fees. With Fundrise, however, you only pay 5% in fees. Both companies have great transparency when it comes to fees and other areas of operations.

You don’t immediately receive your withdrawals with Fundrise, as you have to wait for the quarter to close first, but Fundrise is a better option for general investors. However, they beat Streitwise by a landslide with their account minimum starting at $10, which makes investing with Fundrise even more accessible than Streitwise. Fundrise also offers IRA accounts!

Fundrise has multiple investment minimums and plans available as well, so you can invest according to what you can afford and how you want to invest.

RealtyMogul vs. Streitwise

The key difference between RealtyMogul and Streitwise is that RealtyMogul investors earn returns through public REITs. The account minimum of $5,000 is the same between companies. With Realty Mogul, investors pay a fee range of 1% to 1.25%, but they also have the benefit of 1031 exchange tax benefits.

However, investors benefit more by being accredited with a minimum net worth of $1 million or must make an annual income of $200,000 for singles and $300,000 for couples. RealtyMogul offers automatic features and a self-directed IRA as well.
They also have a short track record, similar to Streitwise, and their fee structure is more complex, but RealtyMogul is a better option for investors who want to invest in public REITs.

DiversyFund vs. Streitwise

If you want to invest, but do not want to worry about any part of the process, DiversyFund might be a better option for you. They have no management fees, and the account minimum for investors is $500. This minimum is far lower than Streitwise, and DiversyFund also specializes in real estate property investments. To top off the advantages, DiversyFund is automated and will handle your investments for you.

They are also a private investment company, so DiversyFund is another nonaccredited investor option. Same as Streitwise, however, investors must hold their investments for five years and DiversyFund has limited investment options as well. You also cannot withdraw investment earnings until the property is sold.

EquityMultiple vs. Streitwise

EquityMultiple is a real-estate platform that focuses on crowdfunding, similar to Streitwise, with an account minimum also of $5,000. However, investors must be accredited. They have lower fees than Streitwise, ranging from 0.5% to 1.5%.

They have the widest variety of investment selections, but their redemptions are not guaranteed the ability to sell their shares. However, their returns are quite high and vary mildly between the different types of investments. But overall, EquityMultiple’s returns range between 6% and 13%.

Frequently Asked Questions (Faq)

Is Streitwise a good investment?

Based on other Streitwise reviews in addition to ours, this company is a good investment for those looking to seriously diversify their portfolios and who want to invest in real estate. They offer a high dividend return and invest their own funds as well, so the company also has an increasing reputation.

Is Streitwise right for me?

Streitwise is best for investors who want to get into real estate, specifically commercial real estate. This company is also better suited for investors with more expendable income. If you are also looking for stability and private investments, Streitwise is an option to consider.

How often are dividends paid out?

Streitwise pays out investors’ dividends at the end of every quarter, which takes about 10 days.

Are there risks?

With any type of investing, there is always an inherent risk, even with the stability that Streitwise private investment has.

Streitwise Review Conclusion

So, to wrap up, Streitwise is a real estate investment company that is best for investors with more expendable income but is also open to nonaccredited investors as well. This company has a higher account minimum than other companies, but they focus on private REITs, which removes the high fluctuation risk of traditional stock exchanges. Streitwise is an option worthy of consideration if their niche is exactly what you are looking for, but they do have some criteria that make them just out of reach for some investors.

Get Started With Streitwise

Head to the Streitwise website to start your journey in real estate investing online.

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