Apartment Syndication vs. Crowd Funding Investments

[Mark Gibbs]

I was following another forum where the topic of syndication came up as a way to move into bigger deals. I have also been looking at some crowd sourcing platforms recently with the intent of moving money into larger apartment deals, storage and commercial opportunities. It appears with the crowd sourcing, say through groups like CrowdStreet that you have a way to better diversify through smaller units to buy in ($10-50K). 

I am looking for feedback on why a syndication might be a better route than a crowdsourcing platform. Terms, waterfall provisions, ability to recover money should the sponsor fail to execute? Thanks for your input. 

[Percy N.]

@Mark Gibbs, in my experience, it comes down to returns, due diligence and sponsors (not necessarily in that order).

These vary greatly by CF platform as well.

There is a thread on BP on the results from $2mm being invested in CF websites, its long but a good read and the spreadsheet in the first post is priceless.

https://www.biggerpockets.com/forums/520/topics/29...