Arrived (formerly Arrived Homes) is an income-generating real estate investing platform for accredited and non-accredited investors to diversify their portfolios with fractional residential and vacation rental property shares.
Business Insider's personal finance team compared Arrived to the best real estate investing apps and found it an industry leader in transparent offerings and flexible liquidity.
Pros and Cons
Arrived Pros
- Only $100 minimum to start investing
- Available to accredited and non-accredited investors
- No personal liability for investors
- Flexible liquidity and redemptions are available after six months
- Property managers handle the legwork of your rental home
Arrived Cons
- Individual investments have a holding period of 5 to 7 years (5 to 15 for vacation rental properties)
- Limited selection of rental homes
- High fees
Open an Account
$100
3.5% to 5% sourcing fee; 0.15% AUM, 5% gross rents fee
- Only $100 to start investing
- Open to accredited and non-accredited investors
- No personal liability for investors
- Property managers handle the legwork of your rental home
- Individual properties have holding periods of 5-7 years isn't ideal for short-term investors
- Limited selection of rental homes
- High fees
Compare Arrived
$10
0.85% for real estate (additional 1% and $125 for IRAs)
- Available to non-accredited investors
- Low minimum account size requirements
- Varying risk and volatility options
- Passive income
- Investments are illiquid
- Illiquid investment options
- Not ideal for short-term investing
Fundrise is one of the best real estate investing apps for non-accredited investors looking for affordable crowdfunding investment options. The platform accepts clients regardless of annual income or net worth.
Fundrise- Consider it if: You're looking for an easy and inexpensive way to start investing in real estate.
- Awards: Listed in Forbes Fintech 50 list twice
$10,000
1% to 4%; 1.5% for Alternative Income Fund
- Access to alternative investments, including art, real estate, and legal settlements, that allow investors with plenty of assets to further diversify their portfolios
- Investors receive regular interest payouts over the life of the loan
- Higher-risk investments — best for those with a large amount of money to invest; limited investments available
- Fees may be higher than other types of investment accounts
- Investments are highly illiquid
Yieldstreet is best for experienced, high-income/high-net-worth investors, but folks who don't have six figures to invest in should look elsewhere. Yieldstreet is one of the best real estate investing apps for folks interested in real estate and alternative investments.
Yieldstreet- Consider it if: You're a high-net-worth investor interested in diversifying your investments across real estate and other alternative assets.
- Awards: Listed on CB Insights' Fintech 250 ranking as a Top Fintech Startup
$5,000 (minimums can also range between $10,000 and $30,000)
Varies; typically 0.5% (EquityMultiple also charges annual administrative expense fee of $30-$70)
- Low fees
- Option to invest in institutional commercial real estate, equity, preferred equity, and senior debt
- Multiple property types
- Self-directed IRAs available
- Only accepts accredited investors
- Doesn't offer publicly traded REITs
EquityMultiple is one of the best real estate investing apps for accredited investors. It offers commercial real estate assets, senior debt, equity, and preferred equity.
EquityMultiple- Consider it if: You're an accredited investor looking to invest at least $5,000 into commercial real estate.
Arrived Overview
Arrived is a real estate investing platform for generating passive income through fractional shares of rental homes starting at $100. It allows users to earn quarterly dividends or appreciation on potentially profitable residential rental properties.
Arrived aims to simplify purchasing and managing real estate by finding and pre-vetting properties for you. Its single-family residences and vacation rentals are held in an LLC and taxed as public real estate investment trusts (REITs).
Arrived collaborates with local market experts and offers advanced tools and data-driven technology for maximized returns. It's best for hands-off investors who want to diversify their holdings or retirement portfolios while generating consistent cash flow.
However, its fees are high compared to competitor platforms. Investing in real estate is not recommended for beginners as it comes with significant risk and limited liquidity. Only experienced investors with a high risk tolerance should consider investing with Arrived.
Ways to Invest with Arrived
Arrived uses market analysis to capitalize on thriving markets and acquire valuable residential and vacation properties.
Arrived Individual Properties
Arrived's operations team works alongside contractors and property managers to handle renovations, tenants, property issues, and maintenance. You, the investor, take advantage of its rental home marketplace through four steps:
- Browsing homes: Arrived's marketplace lists several homes, separating them into three categories: Trending, For Sale, and Sold Out.
- Selecting shares: The platform shows you the per-share price for each listing, so you can decide how much you'd like to invest based on that information.
- Signing and investing: Before you sign off on a deal, you must review the listing's terms, sign an online contract, and link your bank account to fund the asset.
- Earning income and appreciation: This is perhaps the most straightforward part of the process. Arrived manages the property while you earn passive rental income. It distributes dividends quarterly along with annual returns.
Each listing contains information like the number of shares, price per share, purchase price, and other supporting documents. Users can access the Arrived Reviews feature to see what other investors say about the property they're interested in.
Shares of individual single-family residential properties have an estimated term of 5-7 years, and vacation rental properties have a term of 5-15 years. You won't be able to access your money during an active term.
However, you may be able to make a redemption request after six months of investing. Some liquidity fees may apply, and there's no guarantee that your request will be approved.
Arrived Single Family Residential Fund
When you invest in the Arrived Single Family Residential Fund, your money is invested in a diversified portfolio of shares of single-family residential properties from multiple markets. The fund provides investors with quarterly liquidity and returns in the form of monthly dividends and property appreciation.
The Arrived Single Family Residential Fund operates as a public REIT with the same tax treatment as a traditional REIT. To avoid corporate income tax and qualify for pass-through taxation, the fund must distribute at least 90% of its taxable income to investors yearly.
Although the fund is designed to appreciate over multiple years, Arrived's redemption plan allows you to request redemption for some or all of your shares. Approved redemption requests are redeemed at the current share price at the end of the quarter.
Arrived Private Credit Fund
Arrived's Private Credit Fund invests in a diversified pool of real estate-backed short-term loans with monthly dividend payouts. The invested loans finance professional real estate projects, including property renovations and home construction projects.
Rather than owning the underlying properties, the Private Credit Fund allows investors to own short-term debt in exchange for dividend payments.
Arrived Checkbook IRA
You can save for retirement with a Checkbook IRA, a self-directed IRA with an LLC that gives you complete signing authority over your account. You can only invest in the LLC and be seen as its manager with this type of account.
Checking IRAs allow investors more flexibility, access to alternative assets, and greater control. Alternative assets may include real estate, private equity, and crowdfunding. This type of retirement account offers faster and cheaper transactions because you won't need to go through a custodian.
Additionally, assets held in an LLC will be separate from your own assets. This provides another level of security and separation against bankruptcy and legal action.
Arrived Fees
Arrived requires a $100 minimum to start investing, but individual rental properties typically require at least a couple thousand to buy. The Accredited Single Family Residential Fund and Private Credit Fund also start at $100.
Property management expenses for family residential properties are 8% of the gross rental income. Property management fees for vacation rental properties range from 15% to 25%.
Long-term rental properties charge a one-time sourcing fee of 3.5% of the property purchase price and a quarterly assets under management (AUM) fee of 0.15%.
The Single Family Residential Fund has an AUM of 0.25% of net assets per quarter, the Private Credit Fund has an AUM of 0.3% per quarter, and vacation rentals have an AUM of 0.1% of net assets per month.
Arrived Trustworthiness
The Better Business Bureau gives Arrived Homes, LLC an A rating. Arrived is also a BBB-accredited business, meaning it upholds all of the BBB's trust standards, including the highest trustworthiness, responsiveness, transparency, and security standards.
Arrived Homes, LLC has not been involved in any lawsuits or public scandals in the last few years.
Arrived Alternatives
Here's how Arrived compares to similar real-estate investing platforms.
Arrived vs. Groundfloor
Arrived and Groundfloor are real estate investing platforms for accredited and non-accredited investors to diversify their investment portfolios. However, the two platforms have different fees and investment options.
Groundfloor has a similar account minimum at $100. It's a better option for passive investors looking for short-term investments since it offers an Auto Investor Account, which invests in hundreds of high-yield loans.
Arrived is a better option for generating cash flow through dividend payouts and property appreciation by investing in single-family residential and vacation rental properties. A long-term investment strategy is best with Arrived, but you can request a redemption six months after investing.
Arrived vs. Roofstock
Roofstock is also available for accredited and non-accredited investors, but it doesn't require an account minimum or charge pricey contracts and closing fees.
Roofstock is good for active traders interested in investing in single-family rental properties. It's also a solid option for folks interested in advanced financial tools and services, like a proprietary neighborhood rating system. Roofstock One, however, is the pro version of the platform only available to accredited investors. It provides a fully managed account for passive investors and requires a $5,000 minimum.
If you don't mind managing your own account, Arrived Homes is a cheaper and better option for generating consistent passive income. Non-accredited investors with limited real-estate investing experience will prefer Arrived's straightforward and transparent offerings.
Arrived FAQs
Is Arrived a safe investment?
Yes, Arrived is a safe investment platform accredited by the Better Business Bureau. However, investing in real estate poses a greater risk than traditional investment options like stocks, bonds, and ETFs.
What are the fees associated with Arrived?
Fees associated with Arrived include sourcing fees, annual asset management fees (AUM), and liquidity fees. Fees vary based on investment type, but Arrived is transparent in what you'll be charged when you purchase.
Can I sell my Arrived shares at any time?
No, you can't sell your Arrived shares at any time. After six months of investing, you can make a redemption request, but Arrived does not guarantee approval. Access to liquidity also varies by investment type, so be sure you understand the length of the investment term before purchasing.
Why You Should Trust Us: How We Reviewed Arrived Homes
We reviewed Arrived using Business Insider's rating methodology for investing platforms to compare and examine account types, investment options, pricing, and customer experience. Each real estate investment platform also receives a liquidity rating based on how it compares next to other real estate apps, not other types of investment apps. Platforms are given a rating between 1 to 5.
Business Insider's Arrived Rating
| Feature | Our rating (out of 5) |
| Fees | 3.00 |
| Investment selection | 3.50 |
| Access | 4.50 |
| Customer service | 4.00 |
| Trustworthiness | 4.50 |
| Liquidity | 4.00 |
| Overall score | 3.85 |
