Origin Investments Review: Invest in Real Estate
Origin Investments uses technology and crowdfunding to acquire and improve multi-family properties in large metropolitan areas. This allows individual investors to access real estate deals that previously would have been out of reach for many people.
If you are able to time the market correctly, real estate investing can be quite lucrative. However, this is an area that has historically only been available to large companies or extremely wealthy investors.
But thanks to the JOBS Act of 2012, investors are now able to use real estate crowdfunding to pool their money and gain access to deals that were previously out of reach. This is the strategy implemented by investment firm Origin Investments, which gives accredited investors an opportunity to start investing in the real estate sector.
This Origin Investments review will cover how to get started as an investor with the firm, and some of the pros and cons of investing with them.
In this review:
- Getting to Know Origin Investments
- What it Takes to Work with Origin Investments
- The Pros of Using Origin Investments
- The Cons of Using Origin Investments
Getting to Know Origin Investments
Origin Investments is a commercial real estate private equity fund manager that was founded in 2007. The company started out with just a few investors and has since grown to more than 500 investors.
Based in Chicago, Origin Investments acquires and improves multi-family properties. It focuses on large-scale commercial deals in some of the largest metropolitan areas in the U.S. This includes cities like Chicago, Denver, Austin, Atlanta, Dallas, Houston, Raleigh, and Charlotte.
Thanks to the JOBS Act of 2012, the company began using technology and crowdfunding to expand its investor base and raise additional funds. When you invest with Origin, you don’t invest in one specific property but in a fund that owns multiple properties. This provides a more diversified approach to investing.
Origin was founded by David Scherer and Michael Episcope, who are currently the two largest investors at Origin. The company says it has a 92% investor retention rate.
What it Takes to Work with Origin Investments
Investing in real estate used to be a time-consuming, tedious process involving quite a bit of paperwork. But Origin utilizes technology to simplify this process for its investors so that they can invest in real estate online.
To become an Origin investor, you need to be an accredited investor and have a minimum of $100,000 to invest. If you meet these criteria, you can sign up on Origin’s website and learn more about its available properties.
To get started, you’ll need to register and review the funds. This process is open to everyone, regardless of whether you are an accredited investor.
From there, you can download and review the specifics of each investment fund. This is a good time to do your research and compare different investments against each other.
Once you’re ready to invest with Origin, you’re assigned a personal contact who will walk you through the process and explain what you’re investing in. This person isn’t a customer service representative, but a highly skilled team member who has in-depth knowledge about each of the properties.
Origin is also upfront about its fees, which tend to be lower than other real estate investment companies. It charges an upfront equity fee and an annual management fee.
The Pros of Using Origin Investments
There are many benefits to partnering with Origin. First and foremost, Origin is a legitimate real estate company that later added technology to improve the investor experience. This gives Origin a unique level of knowledge about the real estate industry.
In addition, Origin’s fees are much more competitive than most private real estate investment companies. It has a unique approach to investing that helps enable strong returns on investment. The company’s co-founders put their money where their mouths are — at $44 million combined, they’re the company’s two largest investors.
The company has extensive experience in real estate and asset management experience and also ranks well in the areas of due diligence, ease of use, and service.
Investors receive a diversified fund with between 12-20 different properties; they’re never asked to add additional capital to keep a particular fund going.
Investors can easily access details about their investment and track the performance of their funds online. Origin’s online dashboard provides full transparency into its fees, investments, and potential returns.
The Cons of Using Origin Investments
The biggest disadvantage is that to get started, you must be an accredited investor and have a minimum of $100,000 to invest, which puts the company out of reach for a lot of people.
The company also has a limited number of deals, which could be an area of concern for some people. Furthermore, Origin only operates in a limited number of cities across the U.S.
Real estate investing can be an excellent wealth management tool. Passive real estate investing as a form of income is also possible. Origin Investments is a dynamic company that utilizes technology and crowdfunding to allow individual investors access to funds that previously wouldn’t have been available.
You will have to be an accredited investor and have a minimum of $100,000 to invest to get started. Even if you meet these criteria, however, it’s still important for you to do your research and consider your options before investing with Origin.