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Started by Sam, November 07, 2018, 11:29:29 AM
Quote from: pat on November 07, 2018, 12:52:30 PM I am really concerned that some of the sponsors will use the situation to their advantage as RealtyShares may not have sufficient people to go after them given staff cuts.
Quote from: Cheezus on November 08, 2018, 06:35:42 AMI know this is terrible, but in a way, this does have some positives. This will give us a great idea about how crowdfunding sites manage their demise. That's always been a huge concern for me. Having so much money with these companies, then what happens if the companies fail? All the funds are invested. Who manages it, etc... I do have quite a bit with RS and I'm definitely curious to see how it's handled.
Quote from: Cheezus on November 08, 2018, 07:25:13 AMI wonder what would happen if Fundrise went under. Individual deals vs eREIT.
Quote from: Derek on November 08, 2018, 03:12:54 PMMy concerns mirror the others', and I believe that we did invest with RealtyShares the company. When deals go south, as several of mine have, RealtyShares is being paid to handle it. They track down the sponsors who have gone silent, shake out payments, deal with foreclosures, etc. When my sponsor bails and no longer makes payments for a property half the country away, I'm concerned that's now on me to deal with. There are a ton of nuances that go into these deals, especially equity, and a lot of oversight required to make sure performance is acceptable and on track.Of course, to get into any of these deals we had to sign the countless pages of agreements understanding the risks.