The explanations certainly make sense.

The where is the geographic area, and the smaller the better.  

Welcome to Bigger Pockets Shirlon  - sounds like we are in the same place geographically and with this endeavor.  

Richmond is a great town to start in with the economic growth underway so I'd say you're well positioned geographically. 

They can't keep track of all of their markets and properties so if you can give them a reasonable explanation as to why your pricing is fair they just may take it. 

That's interesting, definitely ask the seller for explanation if you can not find information in public record.

It is a tiny geographical area that touches the city limits.  

I have an explanation of Dodd Frank here on my BP bloghttp://www.biggerpockets.com/blogs/3-reiskills-and...

@Walter Bramhall provided a good explanation of the 1% rule for those who did not know what it means.

There will indeed be real estate crowdfunding platforms that open to non-accredited investors *across state lines* allowing those investors to diversify geographically (assuming that the minimum investment is low, thereby truly allowing investors to diversify).