While the details of the software updates are extensive, in short, you can expect to receive more timely, in-depth information on the progress of each project in your portfolio, including photos, videos, and updates on performance.
A different kind of investment requires a different kind of reporting
One of the things that makes Fundrise different is that you own a unique, “living” portfolio of private real estate projects. It’s constantly evolving as we invest in new projects and successful ones pay back.
Today, the average Fundrise investor's portfolio consists of more than 50 projects. Each one has its own business plan, progressing from initial investment, to the value-add or improvement phase, before ultimately selling or refinancing with the aim of returning a healthy profit.
This active approach to creating value in illiquid real estate is at the core of our mission to provide not only better, but also more consistent, returns than the stock market. However, unlike publicly traded stocks that “price” constantly as shares are bought and sold, determining the value of illiquid real estate is much more challenging. This is especially true when a project is in the middle of the improvement phase of its life cycle.
After all, how much is a new home worth halfway through construction?
Achieving superior performance through real estate investing has always required patience. But thanks to our new reporting tools, now it won’t require feeling like you’re in the dark about how your money is being put to work.
Introducing in-depth project reporting
For the first time, you will have access to a project-by-project timeline for all the various milestones occurring in your portfolio. Early on, these milestones will mostly be new acquisitions. As more and more projects enter their improvement phase, you can expect to start hearing about things like major renovation progress, on-time debt repayments, and changes in occupancy rates.
Most returns on real estate investments are naturally back-ended, meaning that the value created over the life of a project isn’t realized as dollars and cents until toward the end.
By providing in-depth reporting on the status of each of your projects, we aim to give you a sense of progress toward realizing those returns: go check out your timeline now.
Asset-level return projections
We’re also providing access to return projections for every project on a new, dedicated Portfolio view. While these projections have always existed as part of our extensive underwriting process — accounting for both conservative “downside” and optimistic “upside” scenarios — we haven’t shared them with investors them until now.
This level of transparency is unprecedented in the world of private equity investing.
It’s important to note, however, that no projected returns are guaranteed. Your overall performance will ultimately be a blended result of the hundreds of underlying projects that you will likely invest in over the life of your Fundrise portfolio.
A new home for your underlying investments
To make room for the activity feed, we have also relocated the underlying investment offerings table to the Portfolio view. This table shows how many shares of each eREIT or eFund you own, and the current net asset value (NAV) per share.
This is just the beginning
While we believe these changes constitute a major improvement to your investor experience, they’re just the beginning of some of the broader and more exciting updates we have in the works. We can’t talk about them just yet, but look forward to sharing more with you soon.
As always, please don’t hesitate to reach out to investments@fundrise.com with any questions or feedback.
