How can Rich Uncles benefit your future?
Updated: Oct 22, 2020
UPDATE: Unfortunately, Rich Uncles crashed, due to COVID lockdowns, so this is not a platform you can or should invest in anymore.
Have you tried micro-investing in real estate?
My experience with Rich Uncles has been positive. I think it is a nice side investment to put a few hundred dollars in to receive a nice 6% return.
I am not trained in finance. These are my opinions based on my experience, my understanding of numbers, and the limited research I have done.
What is Rich Uncles?
Rich Uncles is a rent-based, crowd-funded real estate investment platform. They buy commercial and student buildings that they rent out for a 6% annual return. There are two separate funds, namely the BRIX REIT (which I use) and the NNN REIT (which I can’t use since I live in North Carolina). The NNN seems slightly better, as it has higher returns, but it has a higher minimum investment of $500. Since I only invest in the BRIX REIT, that is what I will talk about.
Pros of the BRIX REIT
They offer joint accounts
Personal customer service - The same man would call me whenever I had a question and he was really nice.
Lower risk than most investments
Dividend reinvestment option or distribution straight into your bank
Shares are only $5
One time and scheduled transfers
Cons of Rich Uncles
Not as high of returns as some investments
It doesn’t connect to Personal Capital
Less liquid - They do make it more liquid than most real estate, but in general, it’s not advised to liquidate the investment.
Lack of control over investments - You don’t generally know where your money is going; they manage it all for you. Personally, I’m fine with this.
They seem to occasionally have to pause investing while they look for new buildings to rent out. I’ve had my regular investment put on hold and my dividends sent directly to my bank account even though I prefer reinvestment of dividends. Things went back to normal after a short while. The man called me to explain what was happening the first time.
Risk - All investment is subject to risk, so don’t invest money you can’t afford to lose.
All in all, I enjoy Rich Uncles a lot and would definitely recommend it.
Look over their website, talk to a rep, if you’d like, and see what you think!