Real Estate Platform Comparison· Updated May 5, 2026

CrowdStreet vs. Roots 2026 Real Estate Investing Comparison

A side-by-side breakdown of returns, liquidity, fees, and trustworthiness to help you decide where to invest your money.

3.0

CrowdStreet is a credible way for accredited investors to access vetted commercial real estate deals, but $25,000 minimums, sponsor-driven fees, and 3–10 year holds put it out of reach for most retail investors. The 2022 Nightingale fraud case is also a sobering reminder that sponsor risk on crowdfunding platforms is real.

★ Our Pick Roots logo

3.5

Roots offers an unusual win-win structure where renters earn shares of the REIT alongside investors, with $100 minimums, quarterly distributions, quarterly liquidity, and a 12.02% trailing twelve-month return as of April 2026 — but investors hold REIT shares rather than direct property ownership.

At a Glance

CrowdStreet vs. Roots — Key Stats

$25,000Minimum$100

3–7 years typical (can extend to 10+)Holding Period1 year minimum to avoid early-redemption penalty

Unavailable — no secondary marketEarly WithdrawalPenalty applies in first 12 months; no penalty after year one

Per project (typically quarterly)Rent PayoutQuarterly distributions

~18.3% historical IRR before fees on realized dealsAvg. Returns12.02% trailing 12 months (4/10/25 – 4/10/26); 17.17% average annual since inception 7/1/2021

Pros & Cons

What each platform does well and poorly

Institutional-quality commercial deals
CrowdStreet curates commercial real estate deals — multifamily, industrial, hospitality, medical office, data centers — that retail investors typically cannot access directly.
Comprehensive deal documentation
Each offering ships with a detailed business plan, sponsor profile, financial model, and a project launch webinar. Documentation depth is among the best in the space.
Long track record
Founded in 2014, CrowdStreet has facilitated more than 600 commercial real estate deals worth over $4 billion since launch. The platform publishes performance data on realized deals and an investor portal that aggregates across the portfolio.
Vetted sponsors
CrowdStreet approves only a small percentage of sponsor applicants (publicly cited ~2–5%) and runs background, asset, and offering-terms reviews on each listing.
$25,000 minimum
Most offerings require a $25,000 commitment, which prevents proper diversification for all but high-net-worth investors. Spreading capital across 5+ deals (the typical recommendation) requires $125k+.
Accredited investors only
CrowdStreet is closed to non-accredited investors. You must verify $200k+ income ($300k for couples) or $1M+ net worth excluding primary residence.
Long lock-ups, sponsor-controlled exits
Hold periods are typically 3–7 years and CrowdStreet warns investors may be forced to hold for 10+ years. Sponsors decide when to sell. There is no secondary market.
Sponsor risk and the Nightingale case
In 2022–2023, Nightingale Properties offerings on CrowdStreet were the subject of a high-profile fraud case. In February 2025, Nightingale CEO Elie Schwartz pleaded guilty to wire fraud involving roughly $54 million raised from CrowdStreet investors. The episode forced the platform to overhaul its escrow controls and remains a key cautionary tale about sponsor risk on crowdfunding platforms.
Returns reported before fees
CrowdStreet's headline 18.3% historical IRR is calculated before sponsor fees. Sponsor fees can be substantial and vary deal-by-deal, materially reducing what investors actually receive.

$100 minimum, open to non-accredited investors
Roots is open to both non-accredited and accredited investors with a $100 starting minimum, making it one of the more accessible REIT-style platforms for first-time real estate investors.
Quarterly liquidity
Roots offers investors the ability to redeem shares every quarter — meaningfully more flexible than the multi-year lock-ups common at Arrived, CrowdStreet, and Cadre. After the first 12-month holding period there's no early-redemption penalty.
Strong reported track record
Roots reports a 12.02% trailing twelve-month return (4/10/25 – 4/10/26) and a 17.17% average annual return since inception in July 2021. Returns are not guaranteed, but the published track record is competitive with peer REIT funds.
Renters build wealth alongside investors
The 'Live in it Like You Own It' program gives Roots renters quarterly equity grants for behaviors that improve property value (paying rent on time, keeping properties in good condition). Roots reports more than $1.7M saved and invested by renters under the program.
Low transaction fees
Only a $5 transaction fee to get started and no penalty to cash out after the first year — light fees compared with Fundrise's 1% AUM or Arrived's variable sponsor markups.
REIT shares, not direct property ownership
You own units of the Roots REIT, not fractional ownership of a specific property. That's simpler and more diversified than per-property models, but it means investors don't pick individual properties or vote on property-level decisions.
Geographically concentrated
Roots is heavily concentrated in the Atlanta metro and a small number of additional Sun Belt markets. That focus is part of the brand but means less geographic diversification than national platforms.
Quarterly (not daily) distributions
Distributions are paid quarterly rather than daily or monthly. Investors waiting on real estate income for cash flow may find quarterly cadence inconvenient.
Less property-level transparency than per-property platforms
Because Roots is a fund, individual property underwriting and rent rolls are aggregated rather than fully exposed to investors.

Deep Dive

Detailed comparison

What You're Investing In

Individual commercial real estate deals (multifamily, industrial, hospitality, office, retail, medical office, data centers, parking) and the C-REIT diversified fund. Most carry a $25,000 minimum.

A single REIT — the Roots REIT — focused on residential real estate in Atlanta and select other Sun Belt markets.

Property Locations

Deals span the U.S. with concentration in growth-market metros — Texas, Florida, Arizona, Georgia, the Carolinas, Tennessee, and the Mountain West. Each project's location is disclosed in its offering documents.

Primarily Atlanta metro, with select expansion into adjacent Sun Belt markets.

Expected Returns

CrowdStreet reports a historical realized IRR of approximately 18.3% before fees across exited deals. After typical sponsor fees, real net IRR is meaningfully lower and varies deal-by-deal. Some realized deals have lost all investor capital — a reality CrowdStreet discloses in its annual performance report.

Roots targets 12–15% annual returns and reports 12.02% trailing twelve months (4/10/25 – 4/10/26) and 17.17% average annual return since inception (7/1/2021). Past performance does not guarantee future results — read the offering circular before investing.

Fees

Reported returns are gross of fees. Sponsors charge investors whatever they see fit — fees can exceed 20% of invested capital over the hold period. CrowdStreet itself charges sponsors 0.5–2% to list, indirectly built into deal pricing.

Roots charges a $5 transaction fee to get started and no early-redemption penalty after the first year. There is no investor-facing AUM fee disclosed; the REIT covers operating expenses internally before distributing returns.

Liquidity

Hold periods are typically 3–7 years. CrowdStreet's own disclosures warn investors may be forced to hold for 10+ years if sponsors delay sale.

12-month minimum holding period to avoid an early-redemption penalty. After year one there is no exit penalty.

Who Can Invest

Accredited investors only. Verification of income ($200k+ individual / $300k+ couple) or net worth ($1M+ excluding primary residence) is required before investing.

Open to both non-accredited and accredited U.S. investors aged 18 or older. International availability is limited.

The Verdict

Which is better — CrowdStreet or Roots?

3.0

CrowdStreet is a credible option for high-net-worth, accredited investors who want curated access to institutional commercial real estate. Documentation is strong, the sponsor vetting is real, and historical IRRs look attractive. But the $25,000 minimum, sponsor-controlled exits, lack of secondary market, and the lessons of the 2022 Nightingale case make this a platform that demands sophistication and diversification. Retail investors and anyone looking for liquidity will find better options elsewhere.

Full CrowdStreet review →

★ Our Pick

3.5

Roots is one of the most differentiated REIT options in 2026. The win-win renter-equity model is genuinely unique, the $100 minimum is accessible, quarterly liquidity is meaningfully better than most private real estate platforms, and the published 12% trailing return is competitive. The trade-offs are REIT (not direct property) ownership, a heavy Atlanta concentration, and quarterly (not daily) distributions. A solid hands-off pick for investors aligned with its mission.

Full Roots review →

Bottom Line

Roots scores higher (3.5/5) and edges out CrowdStreet on our investment quality criteria.

Frequently Asked Questions

CrowdStreet vs. Roots FAQ

Which is better — CrowdStreet or Roots?

Based on our scoring criteria — returns, fees, liquidity, transparency, minimums, and track record — Roots (3.5/5) scores higher than CrowdStreet (3.0/5). Roots offers an unusual win-win structure where renters earn shares of the REIT alongside investors, with $100 minimums, quarterly distributions, quarterly liquidity, and a 12.02% trailing twelve-month return as of April 2026 — but investors hold REIT shares rather than direct property ownership.

What is the minimum investment for CrowdStreet vs. Roots?

CrowdStreet's minimum investment is $25,000. Roots's minimum investment is $100.

How do CrowdStreet and Roots compare on liquidity?

CrowdStreet: Hold periods are typically 3–7 years. CrowdStreet's own disclosures warn investors may be forced to hold for 10+ years if sponsors delay sale. Roots: 12-month minimum holding period to avoid an early-redemption penalty. After year one there is no exit penalty.

What returns can investors expect from CrowdStreet vs. Roots?

CrowdStreet reports average yearly returns of ~18.3% historical IRR before fees on realized deals. Roots reports average yearly returns of 12.02% trailing 12 months (4/10/25 – 4/10/26); 17.17% average annual since inception 7/1/2021. Past performance does not guarantee future results.

One of the most flexible ways to invest in real estate

Start building generational wealth with Lofty

$50 minimums · Daily rent payouts · No lock-up periods · 24/7 exchange

View Properties Get started free

Real Estate Platform Comparison· Updated May 5, 2026

CrowdStreet vs. Roots 2026 Real Estate Investing Comparison

A side-by-side breakdown of returns, liquidity, fees, and trustworthiness to help you decide where to invest your money.

3.0

★ Our Pick Roots logo

3.5

At a Glance

CrowdStreet vs. Roots — Key Stats

$25,000Minimum$100

3–7 years typical (can extend to 10+)Holding Period1 year minimum to avoid early-redemption penalty

Unavailable — no secondary marketEarly WithdrawalPenalty applies in first 12 months; no penalty after year one

Per project (typically quarterly)Rent PayoutQuarterly distributions

~18.3% historical IRR before fees on realized dealsAvg. Returns12.02% trailing 12 months (4/10/25 – 4/10/26); 17.17% average annual since inception 7/1/2021

Pros & Cons

What each platform does well and poorly

Institutional-quality commercial deals
CrowdStreet curates commercial real estate deals — multifamily, industrial, hospitality, medical office, data centers — that retail investors typically cannot access directly.
Comprehensive deal documentation
Each offering ships with a detailed business plan, sponsor profile, financial model, and a project launch webinar. Documentation depth is among the best in the space.
Long track record
Founded in 2014, CrowdStreet has facilitated more than 600 commercial real estate deals worth over $4 billion since launch. The platform publishes performance data on realized deals and an investor portal that aggregates across the portfolio.
Vetted sponsors
CrowdStreet approves only a small percentage of sponsor applicants (publicly cited ~2–5%) and runs background, asset, and offering-terms reviews on each listing.
$25,000 minimum
Most offerings require a $25,000 commitment, which prevents proper diversification for all but high-net-worth investors. Spreading capital across 5+ deals (the typical recommendation) requires $125k+.
Accredited investors only
CrowdStreet is closed to non-accredited investors. You must verify $200k+ income ($300k for couples) or $1M+ net worth excluding primary residence.
Long lock-ups, sponsor-controlled exits
Hold periods are typically 3–7 years and CrowdStreet warns investors may be forced to hold for 10+ years. Sponsors decide when to sell. There is no secondary market.
Sponsor risk and the Nightingale case
In 2022–2023, Nightingale Properties offerings on CrowdStreet were the subject of a high-profile fraud case. In February 2025, Nightingale CEO Elie Schwartz pleaded guilty to wire fraud involving roughly $54 million raised from CrowdStreet investors. The episode forced the platform to overhaul its escrow controls and remains a key cautionary tale about sponsor risk on crowdfunding platforms.
Returns reported before fees
CrowdStreet's headline 18.3% historical IRR is calculated before sponsor fees. Sponsor fees can be substantial and vary deal-by-deal, materially reducing what investors actually receive.

$100 minimum, open to non-accredited investors
Roots is open to both non-accredited and accredited investors with a $100 starting minimum, making it one of the more accessible REIT-style platforms for first-time real estate investors.
Quarterly liquidity
Roots offers investors the ability to redeem shares every quarter — meaningfully more flexible than the multi-year lock-ups common at Arrived, CrowdStreet, and Cadre. After the first 12-month holding period there's no early-redemption penalty.
Strong reported track record
Roots reports a 12.02% trailing twelve-month return (4/10/25 – 4/10/26) and a 17.17% average annual return since inception in July 2021. Returns are not guaranteed, but the published track record is competitive with peer REIT funds.
Renters build wealth alongside investors
The 'Live in it Like You Own It' program gives Roots renters quarterly equity grants for behaviors that improve property value (paying rent on time, keeping properties in good condition). Roots reports more than $1.7M saved and invested by renters under the program.
Low transaction fees
Only a $5 transaction fee to get started and no penalty to cash out after the first year — light fees compared with Fundrise's 1% AUM or Arrived's variable sponsor markups.
REIT shares, not direct property ownership
You own units of the Roots REIT, not fractional ownership of a specific property. That's simpler and more diversified than per-property models, but it means investors don't pick individual properties or vote on property-level decisions.
Geographically concentrated
Roots is heavily concentrated in the Atlanta metro and a small number of additional Sun Belt markets. That focus is part of the brand but means less geographic diversification than national platforms.
Quarterly (not daily) distributions
Distributions are paid quarterly rather than daily or monthly. Investors waiting on real estate income for cash flow may find quarterly cadence inconvenient.
Less property-level transparency than per-property platforms
Because Roots is a fund, individual property underwriting and rent rolls are aggregated rather than fully exposed to investors.

Deep Dive

Detailed comparison

What You're Investing In

Individual commercial real estate deals (multifamily, industrial, hospitality, office, retail, medical office, data centers, parking) and the C-REIT diversified fund. Most carry a $25,000 minimum.

A single REIT — the Roots REIT — focused on residential real estate in Atlanta and select other Sun Belt markets.

Property Locations

Primarily Atlanta metro, with select expansion into adjacent Sun Belt markets.

Expected Returns

Fees

Liquidity

Hold periods are typically 3–7 years. CrowdStreet's own disclosures warn investors may be forced to hold for 10+ years if sponsors delay sale.

12-month minimum holding period to avoid an early-redemption penalty. After year one there is no exit penalty.

Who Can Invest

Accredited investors only. Verification of income ($200k+ individual / $300k+ couple) or net worth ($1M+ excluding primary residence) is required before investing.

Open to both non-accredited and accredited U.S. investors aged 18 or older. International availability is limited.

The Verdict

Which is better — CrowdStreet or Roots?

3.0

Full CrowdStreet review →

★ Our Pick

3.5

Full Roots review →

Bottom Line

Roots scores higher (3.5/5) and edges out CrowdStreet on our investment quality criteria.

Frequently Asked Questions

CrowdStreet vs. Roots FAQ

Which is better — CrowdStreet or Roots?

What is the minimum investment for CrowdStreet vs. Roots?

CrowdStreet's minimum investment is $25,000. Roots's minimum investment is $100.

How do CrowdStreet and Roots compare on liquidity?

What returns can investors expect from CrowdStreet vs. Roots?

One of the most flexible ways to invest in real estate

Start building generational wealth with Lofty

$50 minimums · Daily rent payouts · No lock-up periods · 24/7 exchange

View Properties Get started free