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Patch of Land competitors

Diversify across residential loans, REITs and beyond with these 5 investment platforms

Patch of Land’s peer-to-peer lending marketplace offers access to both residential and commercial properties — but it’s only open to accredited investors. If you’re not sure Patch of Land is the best fit for your investment portfolio, consider the following five Patch of Land alternatives.

Patch of Land competitors

What’s an accredited investor?

To be an accredited investor, you must meet one of the following criteria set by the US Securities and Exchange Commission (SEC):

  • You earned over $200,000 in each of the last two years and expect the same for this year.
  • You and your spouse earned over $300,000 in each of the last two years and expect the same for this year.
  • You have a net worth of at least $1 million, alone or together with your spouse, excluding the value of your primary residence.

Streitwise

Streitwise

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on Streitwise's secure site
You only need $1,000 to invest in Streitwise's real estate investment trust (REIT), but management fees are on the high end of the spectrum. For hands-off investors interested in backing commercial real estate, Streitwise's REIT could be a viable option. The fund has consistently posted a 10% annualized dividend, but investors need to be prepared for an initial one-year lockout period. Following this, investors can access up to 90% of their funds up until year five, when they can access 100% of their funds.
Account typesBrokerage, Retirement
Annual fee2%
Option trade fee$0
Asset typesReal estate
Average return8% to 9.5%

PeerStreet

PeerStreet

Carefully vetted real estate loans are available through this peer-to-peer lending platform but you'll need to be an accredited investor to qualify. PeerStreet allows its investors to choose their interest rate, loan-to-value percentage, terms and investment per loan. Minimums start at $1,000 and terms begin at six months. Once your money is committed, you'll need to wait for the term to expire before you can access your funds.
Account typesRetirement
Annual fee0.25%
1%
Option trade fee$0
Asset typesReal estate
Average return7% to 12%

Cardone Capital

Cardone Capital

It offers access to multifamily residential investment opportunities, but investors must be ready to lock in funds for 10 years at a time. While Patch of Land limits its offerings to accredited investors, Cardone Capital is happy to welcome any investor who is able to meet its $5,000 investment minimum. That said, its 10-year investment terms may be too long a commitment for active investors.
Account typesRetirement
Annual fee1%
Option trade fee$0
Asset typesReal estate

Groundfloor

Groundfloor

Go to site
on Groundfloor's secure site
You can get started on Groundfloor with only $10, but there's no guarantee borrowers won't default on their loans. Groundfloor welcomes accredited and nonaccredited investors alike to invest in its short-term, high-yield residential loans. Investors help fund house flipping projects and loan terms typically range from six to 12 months. Some loans pay interest on a monthly basis — others pay out accrued interest upon maturity.
Account typesRetirement
Annual fee0%
Option trade feeN/A
Asset typesReal estate
Average return10%

Yieldstreet

Yieldstreet

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on Yieldstreet's secure site
This investment platform offers the most unique lineup of investment options on this list but offerings are largely limited to accredited investors. Yieldstreet may be a practical fit for investors ready to branch out into alternative asset classes, including consumer, commercial, real estate, art, marine and legal assets. Outside its individual investments, it also offers short-term notes and a four-year Prism Fund that holds multiple asset classes and terminates in March 2024.
Account typesRetirement
Annual fee1%
Option trade feeN/A
Asset typesReal estate, Other
Average return7% to 15%

Pros and cons of Patch of Land

Patch of Land has much to offer but comes with its drawbacks.

Pros

  • $5,000 minimum. Patch of Land’s investment minimum is more approachable than the $25,000 required by some of its peers, like ArborCrowd and CrowdStreet.
  • Short-term investments. Most of Patch of Land’s deals span 12 to 18 months, which means you don’t need to worry about locking up funds for years at a time.
  • Diverse properties. While its competitors tend to offer one or the other, Patch of Land offers access to both residential and commercial properties.
  • Open to non-US investors. Investors outside the US are welcome to invest through Patch of Land.

Cons

  • Accredited investors only. You’ll need to be an accredited investor to invest through Patch of Land.
  • High fees. Patch of Land’s 3% fee is less competitive than the typical range of 0.25% to 1% charged by competing platforms.

How to transfer your brokerage account

If you’re a Patch of Land investor and want to transfer your portfolio elsewhere, you’ll need to close your Patch of Land account entirely. To do so, you’ll need to reach out to a Patch of Land representative — but only so long as there are no active investments or loans in your portfolio.

Compare real estate investing accounts

If you’re interested in this area of investing, here are some options.

Name Product Eligible investors Available asset types Annual fee Average return
The IRA Club
All
Real estate
$175 per year
10% to 16%
Open a self-directed IRA and begin investing with true flexibility.
Mainvest
Mainvest
All
Real estate
10% to 25%
DiversyFund
All
Real estate
0%
11% to 18%
Diversify your portfolio with multifamily real estate.
RealtyMogul
All
Real estate
1%
Invest directly in commercial real estate through this crowdfunding platform. But you’ll pay variable fees depending on the investment type.
Yieldstreet
Real estate, Other
1%
7% to 15%
Arrived
All
Real estate
1%
5.21% to 6.42%
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Compare up to 4 providers

Disclaimer: The value of any investment can go up or down depending on news, trends and market conditions. We are not investment advisers, so do your own due diligence to understand the risks before you invest.

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