Ember has positioned itself in the luxury vacation home co-ownership market. In its 2022 funding announcement, Ember described its homes as averaging $1.5M to $5M, though current listing prices vary by property and share size. That same announcement described 1/8 shares as ranging from $100,000 to $500,000, but current listed share prices can be higher and vary by property. The platform is primarily a luxury vacation home co-ownership option for personal use, though some Ember Flex properties allow unused nights to be made available through a rental program. For investors looking to build wealth through income-generating real estate without six-figure minimums, fractional real estate investing platforms offer compelling alternatives. This guide examines seven alternatives that serve different investment objectives, starting with mogul, a platform that delivers institutional-quality single-family rental investments with monthly income and accessible entry points.
Disclaimer: The information provided in this guide is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult with a licensed professional before making any financial or investment decisions.
Key Takeaways
- Income-focused platforms are generally better aligned with cash-flow and return-seeking objectives, while lifestyle co-ownership platforms prioritize personal use: Platforms like mogul report 18.8% average annual returns through rental income and appreciation, whereas Ember is not designed as a monthly rental-income platform, and any rental potential appears property- and program-dependent under Ember Flex
- Entry points vary across platforms: mogul offers accessible entry points, Ark7 from $20-$100, and Fundrise from $10, versus Ember's six-figure share purchases
- Property-level selection provides greater control: Platforms like mogul and Ark7 let investors choose specific single-family rentals, while Fundrise and RealtyMogul REITs invest in diversified funds without individual property selection
- Distribution frequency impacts cash flow planning: Distribution schedules vary by product. mogul and Ark7 provide monthly distributions, Fundrise and RealtyMogul REITs generally disclose quarterly distributions, and Arrived has moved toward monthly dividends for some offerings
- Blockchain technology adds transparency: mogul records property ownership on the Avalanche blockchain, allowing investors to verify ownership independently via Snowtrace
1. mogul
mogul delivers fractional ownership in income-generating single-family rental properties, combining institutional-grade deal sourcing with accessible entry points. Created by Goldman Sachs Real Estate Alumni, with mogul's site citing $10BN+ in investing experience as of April 30, 2025, the platform uses proprietary underwriting and a due-diligence process similar to the one used at Goldman Sachs, applied to properties with accessible entry points.
How Does mogul Work?
mogul acquires single-family rental properties, places each into a state-registered LLC, and fractionalizes ownership into shares. Investors select specific properties, receive monthly rental income distributions, benefit from yearly tax advantages including depreciation deductions, and share in proceeds when properties are sold. Key highlights include:
- Property Selection: Browse and invest in individual properties rather than pooled funds, with detailed underwriting showing base, bull, and bear case scenarios
- Monthly Income: Receive actual rental payments monthly, more frequent than quarterly distributions from most competitors
- Institutional Vetting: Less than 1% of properties reviewed pass mogul's due diligence process
- Blockchain Verification: mogul tokenizes each property and records ownership on the Avalanche blockchain, creating immutable ownership records that investors can independently verify
Performance and Fee Structure
mogul reports an 18.8% average annual IRR across its portfolio, with a record monthly yield of 2.6% as of April 30, 2025. mogul uses a fee-efficient structure: a one-time 3% platform and onboarding fee, a conditional 2% setup fee that applies only if a property requires work to become rent-ready, no recurring annual management or AUM fees, and a 2.5% fee on rental income.
Why mogul Stands Out Among Ember Alternatives
For investors seeking income generation rather than vacation home access, mogul offers:
- Accessible entry: An average investment of around $10k, versus Ember's six-figure share purchases
- Monthly cash flow: Rental income distributions, whereas Ember is not designed as a monthly rental-income platform
- Tax advantages: Depreciation deductions that can shelter rental income
- Appreciation upside: Target hold periods of 3-10 years capture property value growth
- $10k loss protection for new members: mogul covers up to $10k in first-year losses on investments made during your first 7 days, backed by its own balance sheet capital
Best For: Investors seeking institutional-quality single-family rental investments with monthly income, property-level selection, and accessible minimums, without the landlord headaches.
2. Ark7
Ark7 provides fractional real estate investing with one of the lowest entry points in the market. The platform focuses on single-family rental properties and offers secondary-market trading for added flexibility.
Key Features
- Low Minimum Investment: Entry starts at $20 on the secondary market and approximately $100 for primary offerings
- Monthly Distributions: Rental income paid monthly to shareholders
- Secondary Market Trading: SEC-registered PPEX ATS enables share trading after a 1-year hold, subject to buyer demand and platform and market limitations
- IRA Eligibility: Tax-advantaged investing options available
- Property Selection: Choose specific rental properties rather than investing in pooled funds
Fee Structure
Ark7 discloses a one-time 3% sourcing fee and a 0% annual management fee, while property-level operating expenses may still affect net distributions. The platform reports 4-5% dividend yields and a 94.81% occupancy rate across its portfolio.
Best For: Budget-conscious investors seeking the absolute lowest entry point with property-level control and secondary-market trading for added flexibility.
3. Arrived
Arrived offers individual rental properties, vacation rentals, and fund and private-credit-style real estate products, depending on availability, providing flexibility for investors interested in different rental strategies.
Core Capabilities
- Multiple Property Types: Access to long-term rentals, vacation rentals, and fund or private-credit-style products
- Low Minimum: Invest starting at $100 per property
- Distribution Timing Varies: Arrived has moved toward monthly dividends for some offerings, with timing depending on the product
- Growing Portfolio: Platform reports 571+ properties funded with $427M total invested
Performance Track Record
Arrived publishes selected realized and portfolio performance data, including a highlighted 34.7% return on The Centennial over four years. Its long-term rental income returns have historically been around 3% to 5%, but yields vary by product, including funds and vacation rentals. Arrived's AUM fees vary by product, generally disclosed quarterly rather than as one uniform 1% annual fee, plus sourcing and disposition fees.
Best For: Investors seeking long-term rental, vacation rental, and fund-style exposure with a $100 minimum entry point.
4. Fundrise
Fundrise is one of the longest-running major real estate investing platforms, founded in 2012, offering diversified fund-based investing rather than individual property selection.
Platform Overview
- Long Track Record: Founded in 2012, with performance through multiple market cycles
- Massive Scale: $2.87B+ of equity managed for 385,000+ investors and a $7B+ real estate portfolio
- Lowest Entry Point: Start investing with just $10
- Automatic Diversification: Investments spread across residential and commercial properties automatically
- Quarterly Distributions: Income paid every three months
Investment Model
Fundrise uses a fund-based structure where investors cannot select individual properties. Historical returns vary by year, fund, and investor time horizon. Fees include approximately a 0.85% advisory fee plus 0.15% management fee, totaling roughly 1% annually.
Best For: Investors prioritizing maximum diversification, a long track record, and the absolute lowest entry point, who do not require individual property selection.
5. RealtyMogul
RealtyMogul provides dual product lines: REITs accessible to non-accredited investors and private placement deals for accredited investors, with a focus on commercial real estate.
Dual Investment Tracks
- REIT Options: Non-accredited investors can access REITs starting at $5,000
- Private Placements: Accredited investors access individual commercial deals, with minimums that vary by offering
- Commercial Focus: Specializes in commercial real estate, including multifamily, office, retail, industrial, mixed-use, self-storage, cold storage, mobile home parks, and related property types
- Established Platform: 11+ years operating with $1.2B+ invested
Fee Structure and Returns
RealtyMogul's current REIT pages disclose asset-management fees of 1.00% for the Income REIT and 1.25% for the Apartment Growth REIT, plus other fund and property expenses. REIT distribution rates vary by product and period; the current Income REIT page shows a 3.00% annualized distribution rate. Quarterly distributions are standard across products.
Best For: Investors seeking commercial real estate exposure through either accessible REITs or private placement deals, depending on accreditation status.
6. CrowdStreet
CrowdStreet is a major private-market investing platform with a long-standing commercial real estate marketplace, connecting accredited investors with institutional-quality opportunities.
Commercial Real Estate Focus
- Large Deal Flow: CrowdStreet says it has raised more than $4B across private real estate and other alternative investments
- Institutional Sponsors: Access to deals from established commercial real estate operators
- Variable Target Returns: Target returns vary materially by offering and are not guaranteed
- Direct Deal Selection: Choose from single-asset and fund opportunities across commercial real estate and other private-market categories
Accreditation Requirements
CrowdStreet requires accredited investor status for all investments, with minimums that start at $25,000 and may be higher depending on the offering. Founded in 2013, CrowdStreet has operated for roughly 13 years as of June 2026.
Best For: Accredited investors seeking institutional private-market and commercial real estate deals with direct deal selection.
7. Pacaso
Pacaso offers a model oriented toward personal use, luxury vacation home co-ownership rather than rental income generation. Unlike Ember, Pacaso's own materials emphasize personal use and prohibit owners from renting their homes out, whereas some Ember Flex properties may permit unused-night rentals.
Lifestyle-Focused Model
- Luxury Properties: Access to luxury co-owned second homes, with pricing varying by destination, property, and share size
- Personal Use: Scheduled access to properties for vacation stays, not income generation
- International Markets: Properties available in U.S., Mexico, and European vacation markets
- Typical Minimum: 1/8 shares typically start around $200,000, with higher-end shares reaching much more
- Integrated Financing: Platform facilitates co-ownership financing
Fee Considerations
Third-party sources report Pacaso service fees of about 12%, plus ongoing HOA and management costs. Unlike income-focused platforms, there are no rental distributions since properties are for personal use.
Best For: High-net-worth individuals seeking vacation home access for personal use across international luxury markets, with a model oriented toward personal use rather than rental income.
Why mogul Stands Out for Income-Focused Real Estate Investing
Goldman Sachs Pedigree at Accessible Minimums
mogul's founding team brings experience from Goldman Sachs, with mogul's site citing $10BN+ in investing experience as of April 30, 2025, applying proprietary underwriting and a due-diligence process similar to the one used at Goldman Sachs to properties with accessible entry points. mogul says its team previously deployed $10B into high-quality real estate on behalf of the 0.01% and now applies similar strategies to fractional single-family rental investing.
Avalanche Blockchain Verification
mogul records property ownership on the Avalanche blockchain, allowing investors to verify ownership independently via Snowtrace. Each property is tokenized, with tokens representing an investor's ownership in the property company LLC, providing:
- Immutable ownership records that investors can independently verify
- Transparent ownership records and monthly rental income distributions
- Governance rights, including votes on major property decisions
- Foundation for future secondary market trading
Property-Level Control with Monthly Income
Unlike fund-based platforms like Fundrise, mogul provides individual property selection combined with monthly income distributions. Investors can:
- Browse available properties with detailed underwriting
- Analyze projections across base, bull, and bear scenarios
- Use free tools like the investment property calculator to evaluate opportunities
- Receive monthly rental distributions rather than waiting for quarterly payments
Competitive Fee Structure
mogul uses front-loaded, property-level fees, does not charge an annual AUM or asset-management fee, and discloses a 2.5% fee on rental income. mogul's own 5-year cost example on a $10,000 investment estimates approximately $500 to $700, depending on whether the conditional 2% setup fee applies and based on assumed rental income. Fee structures differ by platform and product, so the figures below are not directly comparable:
- mogul: one-time 3% platform fee plus a conditional 2% setup fee, no annual AUM fee, and a 2.5% fee on rental income
- Fundrise: 0.85% management fee plus 0.15% advisory fee annually
- RealtyMogul: 1.00% annualized asset-management fee for the Income REIT and 1.25% for the Apartment Growth REIT
- Arrived: AUM fees that vary by product, generally disclosed quarterly
Strong Performance Metrics
With 18.8% average annual IRR and a record monthly yield of 2.6% as of April 30, 2025, mogul's reported performance exceeds most fund-based alternatives. The platform's rigorous selection process, where less than 1% of reviewed properties make it to investors, helps maintain quality standards.
For investors exploring why real estate should be part of their portfolio, mogul delivers the benefits of property ownership, including appreciation, monthly income, and tax advantages, without the headaches of direct ownership or the six-figure minimums required by platforms like Ember.
Disclaimer: The information provided in this guide is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult with a licensed professional before making any financial or investment decisions.
Frequently Asked Questions
What is the main difference between Ember and income-focused alternatives like mogul?
Ember is a luxury vacation home co-ownership platform oriented toward personal use, so you are buying scheduled access to a vacation property rather than generating rental income, although some Ember Flex properties allow unused nights to be made available through a rental program. Alternatives like mogul focus on income generation through single-family rental properties, providing monthly distributions from tenant rent payments plus potential appreciation. Ember listings generally require six-figure share purchases that vary materially by property and ownership fraction, while mogul's average investment is around $10k.
How do fractional real estate platforms generate returns for investors?
Income-focused platforms like mogul generate returns through three primary channels: monthly rental income from tenants, property appreciation over the hold period (typically 3-10 years), and tax benefits including depreciation deductions. mogul reports 18.8% average annual IRR, combining these return streams. Lifestyle platforms like Ember and Pacaso primarily provide personal use value rather than cash returns.
Can non-accredited investors access fractional real estate platforms?
Most platforms covered here accept non-accredited investors: mogul, Ark7, Fundrise, Arrived, and Pacaso all welcome non-accredited investors. RealtyMogul offers REITs to non-accredited investors but reserves private placements for accredited investors. CrowdStreet requires accredited investor status for all investments. Accredited-investor status generally requires $200,000 individual income, $300,000 joint income, or $1 million or more in net worth excluding the primary residence, with additional professional and entity-based pathways.
What are the tax benefits of fractional real estate investing?
Fractional real estate investors receive proportional tax benefits including depreciation deductions, which can offset rental income and reduce taxable gains. Platforms like mogul issue K-1 tax documents annually, allowing investors to claim their share of property depreciation. Depreciation and pass-through tax reporting can improve after-tax outcomes for some real estate investors, depending on income, holding period, tax status, and investment structure. Investors should consult a tax professional for guidance on their specific situation.
How liquid are fractional real estate investments?
Liquidity varies by platform. Ark7 offers secondary-market trading through PPEX after a one-year holding period, subject to buyer demand and platform and market limitations. Fundrise provides quarterly redemptions with potential penalties. mogul has a secondary market coming soon to offer added exit flexibility. Generally, fractional real estate should be considered a medium to long-term investment (3-10 years), similar to direct property ownership, rather than a liquid investment like public stocks.