The Bisnow team interviewed Sharestates CEO and co-founder, Allen Shayanfekr to understand how private lenders, such as Sharestates, can solve the housing crisis.
“What’s exacerbating the housing crisis is the persistent environment of ultra-tight lending standards put in place by commercial banks after the recession,” said Allen Shayanfekr, CEO of real estate crowdfunding platform Sharestates. Sharestates has been finacing real estate loans since 2015 and 32% of those loans are for multi-family properties. To read the entire article, click the button below.
Sharestates SVP of Marketing, Justin Peterson was interviewed by the MPA team in regards to the state of the single-family home market and how multifamily housing could be the solution. “For many people who thought their first home would be a house with a white picket fence, a multi-family’s a good option just because it’s much more affordable. If you’re in the port cities on the coast, affordability is a big issue. It absolutely offers an option for homeownership that doesn’t exist in some of the high cost, high tax areas,” said Justin Peterson, SVP of marketing at Sharestates.
To read the entire article click the button below.
The Mortgage Professional of America magazine wrote a response piece to one of Sharestates’ blog posts regarding investment trends for the remainder of 2019. Among the key trends are finding the right real estate crowdfunding platform diversification, the important role of high net-worth investors, and competition amongst hard money lenders.
To read the original article, click here.
To read the entire MPA aricle, click the button below.
Sharestates’ CEO Allen Shayanfekr was interviewed by BISNOW and discussed how alternative lenders, like Sharestates, are taking advantage of opportunity zones.
What are Opportunity Zones and Why is Everyone Talking About Them?
Since the phrase “opportunity zones” hit headlines last year, real estate investors have been eager to see how they can invest in these distressed locations. Allen states “Bridge lenders got all excited about opportunity zones when the news broke last year, but we’ve been lending in these areas since we were founded in 2015,”. Opportunity zones became a conversation focus in 2018 after Congress passed the Tax Cuts and JOBS Act. OZs are intended to encourage longer termed investments in poorer areas causing community revitalization and economic reinvigoration.
Opportunity Zones and Sharestates
Throughout this interview, Allen mentions that “Sharestates has a history of helping developers inject new life into properties and communities that have gone overlooked,” which is at the core of the concept of OZs. To read the entire interview and learn more about how Sharestates provides investors with unique access to OZ loans, click the button below.
Sharestates CEO, Allen Shayanfekr, sat down with the Mortgage News Network to discuss the success of Sharestates and its recent award for the Top Real Estate Platform from the LendIt Fintech Awards. In this interview, Allen discusses a few topics that helped him and the Sharestates team to grow and scale the business from startup to Top Real Estate Platform.
Tip #1: Fire Yourself Every day
As quoted in the New York Business Journal, Shayanfekr states that he has to fire himself every day. This does not mean that he quits every day, but rather uses that as short-hand for effectively delegating tasks. In the early days of startup life, most CEOs will find themselves occupied with an array of tasks that cover every area of the company. As the company grows, it’s important to be able to hand off tasks to the capable staff so that you are free to then work on the next big thing that will take your company to the next level.
Tip #2: The Importance of Relationship Building
The second tip to success as discussed with Shayanfekr is the value of relationships. From industry to industry the key to growth changes. Within mortgage originations, the key to unmatched growth is strategic relationships; they are a valuable currency. Sharestates has always placed a focus on relationship and partnership management. This focus manifests in several ways, from creating loan programs to cater to the changing needs of clients, to building out specific broker programs, and even simple dinners to check in. The rate of return from a single strategic partnership can create endless opportunity for a business.
Tip #3 Understanding Your Process and Integrating Tech
Allen also discusses the importance of knowing your client’s journey from beginning to end. This knowledge allows you to then identify pain points and work to fix those problems. Your willingness and ability to do this will ultimately make your platform easier to use and the go-to within your industry. Within the world of originations, time is money. The longer the loan process takes, the more it could end up costing the client in the long run. Sharestates has intelligently used technology to help streamline the once antiquated real estate lending process which ultimately led to the company becoming one of the largest private lenders in the nation.
There are many ways to become a successful entrepreneur and to disrupt an industry. For Sharestates, effective delegation, relationship management, and process optimization are just some of the ways that the business has grown to where it is today. Watch the entire video here to learn more.
Sharestates Co-founder and CEO, Allen Shayanfekr spoke to the BISNOW team about the evolution of real estate crowdfunding since its 2012 inception. Shayanfekr also discusses how some platforms were able to remain successful while others had to close their doors. Check out a snippet below and click the button to read the full article.
When the federal government signed the JOBS Act into law in 2012, it breathed life into hundreds of new commercial real estate companies offering cheap capital sourced from massive pools of small, private investors. The age of crowdfunding had arrived.
Since then, most crowdfunded CRE lenders have consolidated, been acquired or folded. For the few that have found success, the journey to profitability has been a struggle to remain independent, serve their customers and carve out a niche within the crowded CRE lending space.
“You can find bad CRE deals all day long — that’s what a lot of crowdfunding platforms did, and it’s why they’re no longer around,” Sharestates co-founder and CEO Allen Shayanfekr said. “The more you grow in real estate, the more nuanced and complex the industry becomes. Having a strong background in real estate before getting into crowdfunding is why Sharestates prospered where others disappeared.”
Sharestates has won the 2019 Lendit award for Top Real Estate Platform! We are delighted to receive this award in recognition of our growth, innovation and overall contribution to the new real estate lending ecosystem. Sharestates has been a sponsor and active exhibitor at Lendit for the last 4 years, starting with our first startup pitch at Lendit’s PitchIt session in 2015.
“It’s humbling, and we look forward to continued success through strategic partnerships as well as being part of a monumental financial movement. On behalf of our organization, I’d like to thank the Academy for such an honorable and humbling award. We are very excited about the coming year, and our product rollouts. The community spoke, we listened, and we’re ready to execute!” – Sharestates CEO and Co-founder, Allen Shayanfekr
Introducing the $100k Giveaway
Sharestates is excited to announce that we have originated over $1,000,000,000 in real estate loans! To celebrate, each new registered (and verified) accredited investor on the Sharestates platform will be entered to win $100,000 in Sharestates investment credits! To increase your chances of winning, refer your friends to Sharestates and receive three entries for every new verified accredited investor in your network.
To learn more about the 100k giveaway, and enter to win, click here.
Sharestates was founded with the mission of bringing Wall Street quality deals to Main Street investors. Individual accredited investors can access a large marketplace of short-term loans for real estate investment properties while investing alongside billion-dollar institutional investors. Each loan goes through our 34-point underwriting process and has projected net returns that range from 8-11%. There are no annual fees, and investors receive monthly interest payments.
Sharestates Real Estate Loan Performance
Sharestates is now one of the Nation’s largest private real estate lenders to date. The company has closed over $1 billion in real estate loans since its 2015 launch. Sharestates investors have received $358 million in returned principal investment from over 495 individual loans and have lost $0 of their principal investments. Click here for the latest performance statistics.
Sharestates loans range across asset type and capital stack position. The company is licensed to lend in 45 states offering investors an opportunity to diversify investments. To view all open investment opportunities, click here.
Recently, more television shows surrounding the fix and flip niche have become extremely popular. In reality, you can make money fix and flipping homes. These shows highlight the “good”, such as an amazing renovation and big profits. However, keep in mind each project is different and it’s not all glitz and glamour. Fix and flip projects are a huge undertaking and come with ups and downs.This article will highlight a few of the most common mistakes newbies make when fixing and flipping and how to overcome them!
People from every business are trying to make a profit and get a good deal. With that being said, beware that most people are not as qualified as they seem. According to Sharestates CEO & Co-founder, Allen Shayanfekr from a realtor.com article, “In one of the first houses we ever flipped, we used the cheapest contractors we could find instead of the most qualified. I came to regret that decision while hosting our first open house when a prospective home buyer visited the restroom and found out the hard way that the bathroom pipes had actually been rerouted to the kitchen sink. When he flushed the toilet, its contents started spewing out of the kitchen faucet. It doesn’t get more horrifying than that!”
Finding a house to flip is a great feat, finding the property in a familiar area is another. Many experienced people in the industry know where they like to purchase homes and where to conduct their fixes. No matter how experienced someone is, it is impossible to know everything about every single neighborhood. Such as knowing who the neighbor is next to the property or that in the summer months the house across the street rents to college students. Since the project will more than likely be worked on during the day and not at night consider purchasing some type of alarm system. This way when you leave the property you know that when you return the next day everything will be as it was left. Security systems are important not just to prevent intruders from entering the house but to protect your investment from fires and carbon monoxide poisoning.
Luxury Appliances and Features
Buying the best appliances and features for your fix and flip sounds like a great idea when remodeling a home, right? Wrong! It is very easy to go over budget when it comes to designing a home. Budgeting is one of the easiest parts of a renovation project that can be miscalculated. To avoid a budgeting nightmare try and be mindful of the items you choose. Typically you want to aim to buy quality, low cost products to ensure that you stay within the means of your budget. Saving money on items such as paint, flooring and appliances can also allow a greater earning potential!
To prevent fix and flip disasters from happening do your due diligence and understand what kind of a project you are getting into. Any house can be turned into a masterpiece with the right planning, budget and people involved.
Professions such as a doctor, lawyer, entrepreneur etc. are very time consuming. In a life mainly consisting of work, it is hard to find time to gear ones energy towards another interest such as investing in real estate. This is where Real Estate Crowdfunding (RECF) and marketplace lending comes in. RECF and marketplace lending has reshaped the way people find and invest in properties. Crowdfunding has opened a whole new door of accessibility to projects and real estate offerings. The option to invest from the comfort of ones home from a laptop or tablet is easy and reliable.
Real Estate Crowdfunding for Investors
According to a Sharestates Investor, Dr. Chirag Amin “As a busy physician that works over 50 hours per week, I am very interested in investing and having my money work for me. In the past, I have purchased real estate for rental income, but have been discouraged by the sheer hassle of dealing with issues regarding property maintenance and repair costs, property taxes, difficult tenants, as well as tenant turnover issues (just to name a few). I totally embrace the crowdfunding concept, as it allows me to diversify my investments over several properties and earn a high yield/return on investments without having to worry about dealing with tenants and property maintenance issues. In addition, the risk rating system on the Sharestates website provides me with increased investing confidence compared to other platforms.
Investing with Sharestates
At Sharestates we provide investors an online path to consistent passive income. On our secure online platform you can select the geography and even asset class of the properties that fit your portfolio and risk tolerance. Investors have access to a large marketplace of institutional quality mortgage loans which have been underwritten by industry leaders.
Sharestates also offers features such as auto-invest which is a tool that will manage your investment strategy. With auto-invest you can set specific parameters to match the criteria you are interested in.
Let Sharestates help you build your real estate portfolio one share at a time!