Realty Mogul

Realty Mogul operates as an online crowdfunding platform focused on real estate, connecting investors with a variety of property-based investment opportunities. The company was founded in 2012 by Jilliene Helman and Justin Hughes and is headquartered in Los Angeles, California. Helman, the CEO, conceived the idea while working in wealth management at Union Bank, where she observed that the wealthiest clients consistently invested in real estate to generate passive income. This insight, combined with the passing of the JOBS Act in 2012, prompted her to partner with Hughes to launch the platform in 2013, aiming to make real estate investing more accessible. Helman's background includes underwriting over $5 billion in real estate and holding several financial licenses, while Hughes has a background in real estate, FinTech, and entrepreneurship.

The platform serves both accredited and non-accredited investors, offering a pathway to invest in commercial, residential, and industrial real estate. The business model hinges on providing a marketplace for pre-vetted real estate investments. For non-accredited investors, Realty Mogul provides two non-traded Real Estate Investment Trusts (REITs): the Income REIT and the Apartment Growth REIT, with a minimum investment of $5,000. Accredited investors have additional access to individual private placements, which typically require minimums between $25,000 and $50,000. The company generates revenue through various fees, including asset management fees for its REITs (1-1.25%), organizational costs, and servicing fees.

Realty Mogul's product offerings encompass a spectrum of investment types, including equity, preferred equity, and debt investments. These are spread across diverse property types such as multifamily apartment buildings, office spaces, retail centers, and industrial facilities. A key feature is the platform's due diligence process, where less than 1% of reviewed deals are listed. This process includes background checks on sponsors, analysis of market demographics and economic trends, and in-person property visits by the Realty Mogul team. For investors, the platform provides detailed information, including financial projections and market analysis, to support their investment decisions. The company also facilitates 1031 exchange investments, allowing for tax-deferred exchanges into a selection of vetted properties.

Keywords: real estate crowdfunding, property investment, accredited investors, non-accredited investors, REITs, private placements, commercial real estate, passive income, financial technology, 1031 exchange, real estate marketplace, asset management, investment platform, equity investing, debt investing, multifamily properties, office investments, retail properties, due diligence, Jilliene Helman