sharestates.com

Platform Overview

Sharestates, founded in 2013, is a U.S.-based online marketplace lending and crowdfunding platform focused on real estate. It digitally connects private and institutional investors with real estate developers, offering faster access to capital than traditional financing while giving investors opportunities to invest in asset-backed debt. The platform has closed more than $3.6 billion in loans to date, indicating a meaningful market presence.

Core Dimensions

• Service type: Its core business is real estate debt crowdfunding and private placements, with loan types including bridge loans, fix-and-flip financing, new construction loans, and long-term rental loans.
• Supported payment methods: Investors mainly transfer funds and invest through linked bank accounts.
• Supported countries/regions: Services are available in 42 U.S. states, explicitly excluding 8 states such as Alaska and Minnesota. Overseas investors may participate only if they meet applicable local securities registration exemption requirements.
• Compliance and licensing: The platform operates strictly under SEC Reg D Rule 506c and is limited to accredited investors. It holds NMLS# 1538766 as well as mortgage lending licenses in Arizona and California, and complies with the California Finance Lenders Law.
• Risk controls: Sharestates uses SOC-2 data standards established by the AICPA to ensure security and privacy; investments are asset-backed debt; investor qualifications are strictly verified to meet compliance requirements.
• Fees and settlement: The text does not disclose specific rates, fees, or settlement timelines, only noting that returns may be reduced by fees.
• API and integrations: Not mentioned.

Pricing and Returns

The platform’s historical average expected annualized gross return is 8-12%, but it clearly states that past performance does not indicate future results, and actual returns may be reduced by fees. Specific pricing and fee structures are not disclosed in the text.

Pros and Cons

Pros: Focus on real estate asset-backed debt; relatively high expected returns (8-12%); fast loan funding; strong compliance profile (Reg D 506c and multi-state licenses); SOC-2-level data security.
Cons: Open only to accredited investors, creating a high entry barrier; investments are private placements with poor liquidity and holding-period restrictions; not FDIC-insured and carries risk of principal loss; not available across all U.S. states.

Best For

Primarily suited to U.S. accredited investors, overseas investors who meet applicable exemption requirements, and real estate developers, sponsors, brokers, and correspondent lenders seeking fast financing.

Access from China

Network accessibility is unknown. However, based on the business rules, Chinese users would need to meet local securities registration exemption requirements in order to invest, and payments depend on an overseas bank account. There is no direct substitute.