Fundrise vs Diversyfund 2025: Which platform is better?

Fundrise offers a more affordable lower investing minimum than DiversyFund and is a good place to start if you’re new real estate investment.

Fundrise vs. DiversyFund: Determining Factors?

If you are considering investing and deciding between DiversyFund and Fundrise, remember that Fundrise has a proven track record of performance and more organized systems in place.

DiversyFund requires only a $500 first commitment, whereas Fundrise requires only $10. Fundrise, on the other hand, is the only one that gives investors access to better strategies and investments as their balances increase. Fundrise outperforms DiversyFund at the entry-level since investors can select between income, growth, or a balanced plan. These options are not available through DiversyFund. Regardless of balance or skill, all investors invest in the same assets.

Now that you’ve learned a little bit about what each company represents and what they offer, let’s see how these two real estate investment firms stack up.

Factor 1: Minimum Investment Criteria

If you’re a new investor, this factor can help you make better choices, especially if you don’t want to break the bank.

Fundrise Minimum Investment Criteria

Fundrise requires only $10 to begin investing, making it our preferred option for investing in real estate with a small amount of money. You also don’t have to be accredited.

However, it demands a minimum investment of $5,000 to be eligible for its Core plan. Fundrise is somewhat less flexible for smaller accounts, but core clients and above can design personalized portfolio plans and select the funds they want to invest in.

DiversyFund Minimum Investment Criteria

DiversyFund requires a $500 minimum investment and is available to accredit and non-accredited investors.

Factor 2: Account Types

This is another thing to consider to make a choice that meets your needs.

Fundrise Account Types

Fundrise supports:

• Joint accounts
• Personal investment accounts
• Certain entity accounts
• Trusts

You can also invest with your own IRA. If you wish to take advantage of potential tax savings while you invest for retirement, this is a substantial advantage over DiversyFund.

DiversyFund Account Types

DiversyFund presently supports these four types of accounts but does not include IRA.

Factor 3: Investment Type

One of the primary differences between DiversyFund and Fundrise is the types of investments each firm makes.

Fundrise Investment Type

Fundrise uses a combination of debt, equity, and preferred equity to invest in commercial and residential real estate. This contains opportunistic, value-add investing methods like DiversyFund, but also strategies aimed at decreased volatility and predictable cash flow.

Learn More About Fundrise

DiversyFund Investment Type

DiversyFund has two publicly non-traded real estate investment trusts (REITs) that focus on multifamily real estate projects with at least 100 units. It takes about five years to implement a value-add approach. For each property, the internal rate of return should be between 10% and 20%.

DiversyFund’s Growth REIT I is presently closed for investment, leaving only one REIT. These are still valuable commercial real estate options, but there isn’t much selection.

Fundrise vs. DiversyFund: The Bottom Line

Fundrise, in our perspective, has a lot more to offer. It offers a longer track record, more investment alternatives, and is extremely user-friendly for beginners. If you’re new to real estate investing, here is the place to start.

DiversyFund is a good firm with impressive returns. However, only time will tell if it can extend its REIT offerings while still producing returns.