Real estate crowdfunding platform RealtyShares has raised $3m through its platform for Salt Lake City-based residential property developer Blue Mountain.
The real estate firm focuses on the acquisition, rehabilitation and sales of property and will use the crowdfunded capital to purchase more than 200 underperforming homes.
Blue Mountain president Kenneth Thomson said, “Crowdfunding has been a great time management tool for us. While the money is coming from multiple investors, we only have to deal with RealtyShares. It saves us time so we can do what we do best – finding great homes to renovate.
“And because it is sometimes quicker to acquire capital through crowdfunding, we’re able to potentially negotiate better prices on properties.”
The funding will enable investors from across the US to participate in the Utah property market, though any return realised by investors will be unknown until the properties are sold.
To date RealtyShares’ network of investors have funded more than $150m worth of investments in 2,000-plus properties.
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