Choosing between publicly listed Real Estate Investment Trusts, private REITs, and fractional real estate investing involves meaningful differences in ownership structure, liquidity, valuation, tax reporting, and asset selection. Publicly listed REITs provide exchange-traded exposure to real estate companies. Private REIT terms vary by offering and generally use nonexchange structures. mogul takes a distinct asset-level approach: investors purchase membership interests in property-specific LLC structures tied to identified residential properties, providing property-level economic exposure to selected homes without placing each investor's name directly on the deed.
This article uses public REITs to mean publicly listed REITs. Public non-listed REITs are a separate category and are outside this comparison unless specifically identified.
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
mogul provides property-specific LLC membership interests tied to identified homes, giving members asset-level economic exposure and governance rights under the applicable operating agreement rather than a pooled REIT interest.
mogul is built around professionally vetted and managed single-family rentals, with fewer than 1% of reviewed properties reaching the platform through its property selection process, according to mogul.
mogul generally processes monthly distributions from distributable net rental income once a property is operational, after applicable property expenses, debt service, fees, capital expenditures, and reserves.
mogul's partnership-taxed property structures may allocate depreciation and other property-level tax items through Schedule K-1, subject to the specific offering and each investor's tax circumstances.
Publicly listed REITs provide exchange-traded liquidity and continuous market pricing. The MSCI US REIT Index reported annual net returns of 1.68% in 2025, 7.49% in 2024, 12.27% in 2023, negative 25.37% in 2022, and 41.71% in 2021.
mogul offers first-year loss protection for qualifying new members. Under the promotion, if the combined total return on investments made during a new member's first 7 days reflects a loss after one year, mogul covers losses up to $10,000 using its own balance sheet capital, subject to the promotion terms.
mogul was founded by former Goldman Sachs executives with backgrounds in real estate investing and investment banking and more than $10 billion in deal experience. mogul reports more than $90 million of assets invested through the platform, more than 40,000 investors, and an 18.8% average annual return, measured as IRR, across platform assets.
Understanding Real Estate Investment Trusts: Public vs Private Structures
The U.S. REIT market includes publicly listed REITs, public non-listed REITs, and private REITs. Nareit's REIT types distinguish these structures, while also separating equity REITs from mortgage REITs. Because mogul provides residential equity exposure at the asset level, this comparison focuses primarily on equity real estate structures.
What Are Public REITs?
Publicly listed REITs trade on national securities exchanges such as the NYSE and Nasdaq. Investors purchase shares in the REIT entity, and the REIT's management team determines portfolio composition, financing, acquisitions, dispositions, and operating strategy.
Key characteristics of publicly listed REITs:
Shares are exchange-traded and can generally be bought or sold during market hours at prevailing market prices.
Most U.S. broker-dealer securities transactions use the T+1 settlement standard, meaning standard settlement generally occurs one business day after the trade date.
Listed REITs are registered with the SEC and operate within public-company reporting frameworks.
Individual listed REIT shares do not have a REIT ETF expense ratio. Investors using a REIT ETF instead pay the applicable fund expenses.
Market prices update continuously during trading hours and can move independently of underlying property appraisal values.
Distribution schedules differ by issuer. Some listed REITs distribute monthly, while others use quarterly or other schedules.
Public REIT portfolios can be broad or sector-specific. A diversified REIT fund can also provide exposure across multiple issuers and real estate sectors.
What Are Private REITs?
Private REITs are not traded on national securities exchanges and generally rely on exemptions from SEC registration. Their eligibility requirements, minimum investment, portfolio strategy, valuation policy, fee structure, transfer framework, redemption terms, and distribution schedule depend on the individual offering.
Key characteristics of private REITs:
Investor eligibility is determined by the securities exemption and governing offering terms.
Minimum investments are offering-specific and may differ significantly from public-market share prices.
Liquidity is typically structured through the offering's transfer provisions, holding periods, or redemption framework rather than an exchange.
Valuation approaches are offering-specific and may use periodic appraisal-based or model-based methods.
Fees vary by sponsor and vehicle and can include management, acquisition, servicing, property, performance, organization, or other offering-level charges.
Portfolios can include residential, commercial, or mixed real estate strategies.
Private REITs can therefore provide exposure to privately held real estate strategies through a pooled vehicle, with terms established by each offering.
Key Differences in Structure and Accessibility
The principal difference is how investors obtain and hold their economic interest. Publicly listed REITs issue exchange-traded shares. Private REITs issue interests under private offering structures. Under the federal REIT framework, a REIT under Section 856 may be organized as a corporation, trust, or association, with beneficial ownership evidenced by transferable shares or certificates of beneficial interest.
In both listed and private REIT structures, investors generally own an interest in the REIT entity rather than a property-specific membership interest tied to a home they individually select.
How REIT Investing Works: Public Markets vs Private Placements
Public REIT Access
Publicly listed REIT participation generally resembles other exchange-listed securities:
Access commonly occurs through a brokerage account.
Investors can purchase individual listed REITs or diversified REIT funds.
Whole-share access is broadly available, and some brokerages also support fractional shares.
Distributions follow the issuer's declared schedule.
Shares generally trade during market hours, with standard U.S. settlement commonly occurring under the T+1 framework.
Public filings and investor materials can provide extensive portfolio, capital structure, operating, and financial information.
Private REIT Access
Private REIT participation is governed by the individual offering. Eligibility, minimums, transfer rights, redemption mechanics, leverage, valuation policy, fees, portfolio concentration, and reporting cadence are defined at the vehicle level.
This makes private REITs a category in which terms can vary significantly from one structure to another. The common feature is pooled exposure through a nonexchange REIT interest rather than selection of a specific underlying home.
mogul: An Asset-Level Fractional Real Estate Platform
mogul operates differently from both REIT structures as a fractional real estate platform and investment club. Through fractional real estate investing, investors can purchase membership interests in property-specific LLC structures tied to identified residential properties. The model provides property-level economic exposure and governance rights rather than an interest in a pooled REIT entity. Investors generally are not individually named on the property deed.
mogul's Operational Model
mogul was founded by former Goldman Sachs executives with backgrounds in real estate investing and investment banking. The founding team reports more than $10 billion of deal experience, including institutional residential real estate work. Joey Gumataotao helped grow Goldman Sachs' Single Family Rental Platform from zero to $1 billion in under 12 months.
mogul reports more than $90 million of assets invested through the platform and more than 40,000 investors. The platform is designed to make institutional-quality residential real estate investing more accessible and headache-free through a digital-first model.
Core platform features:
Property-specific LLC membership interests tied to individually identified homes
Asset-level selection through individual property offerings
Governance rights governed by the applicable operating agreement, with current platform materials describing supermajority thresholds and related voting mechanics for significant decisions
Avalanche blockchain integration for independently verifiable ownership records alongside conventional LLC and property documentation
Institutional property selection, with fewer than 1% of reviewed properties reaching the platform according to mogul
mogul co-investment alongside platform investors in every property, according to current platform materials
Digital investment execution that current platform materials describe as taking 30 seconds or less
Professional property operations supported by local property management teams and in-house brokerage relationships
Property-level capitalization of reserves for future costs, together with property and business interruption insurance
mogul also uses blockchain as back-office infrastructure to improve operating efficiency. The company describes this as an ownership and recordkeeping technology layer, not as a crypto investment product. For background, see mogul's blockchain overview.
Types of Properties Available on mogul
mogul focuses primarily on single-family rentals. Its principal operating strategies include:
Short-term rentals: Residential properties operated for stays generally under 30 days. mogul describes high-end homes as the primary STR format.
Mid-term rentals: Residential properties operated for stays longer than 30 days and shorter than one year. mogul describes workforce-oriented room-by-room configurations as a core MTR strategy.
Long-term rentals: Traditional residential rental arrangements described by mogul.
Sale-leasebacks: Additional residential opportunities described by mogul.
mogul reports an 18.8% average annual return, measured as IRR, across platform assets and roughly 10% average annualized cash-on-cash yield to date. These historical company-reported metrics reflect mogul's institutional-quality focus.
The mogul Investment Process
The platform's investment workflow is designed to be streamlined:
Available properties are presented individually, allowing members to choose specific assets while pooled vehicles allocate capital at the portfolio level.
Property pages can include underwriting, operating metrics, market analysis, capital structure, and legal documentation.
mogul reports an average investment of about $10,000 and a typical portfolio allocation of $17,321 per property. The platform also supports a $250 property-level minimum.
Once a property is operational and has distributable cash flow, mogul generally processes each investor's pro-rata share of distributable net rental income monthly.
Partnership-taxed property structures may provide Schedule K-1 reporting and potential depreciation allocations.
Governance participation is available to the extent provided by the applicable operating agreement.
The result is a property-by-property investment experience designed around transparent asset selection, professional management, monthly income potential, and long-term appreciation participation.
Comparing Investment Structures: REITs vs mogul's Asset-Level Model
Property-Specific Exposure vs Pooled Portfolios
The ownership structure creates materially different investor experiences.
Ownership Type
Mogul: Membership interests in property-specific LLC structures tied to identified homes
Publicly listed REITs: Shares or beneficial interests in the listed REIT entity
Private REITs: Shares or interests in the private REIT entity
Property Selection
Mogul: Members select individual properties
Publicly listed REITs: Portfolio assets are selected by REIT management
Private REITs: Portfolio assets are generally selected by the sponsor or manager
Governance
Mogul: Property-level governance rights under the applicable operating agreement
Publicly listed REITs: Shareholder rights apply at the REIT entity level
Private REITs: Rights depend on the governing documents
Transparency
Mogul: Identifiable underlying homes with property-level information
Publicly listed REITs: Public SEC reporting and issuer disclosures
Private REITs: Offering and periodic reporting defined by the vehicle
Pricing
Mogul: Property-based valuation and monthly fair-market-value estimates
Publicly listed REITs: Continuous exchange pricing during market hours
Private REITs: Periodic valuation under the offering methodology
mogul's model allows members to identify the specific homes associated with their LLC interests and assemble a portfolio one property at a time. That asset-level selection is a central distinction from pooled REIT ownership.
Tax Treatment and Reporting
Tax treatment is structurally different across the models and remains investor-specific.
mogul's property-level tax structure:
Partnership-taxed property structures may allocate depreciation and other property-level tax items through Schedule K-1.
Depreciation can reduce taxable rental income in some circumstances, subject to basis, loss-limitation, at-risk, state, and other applicable rules.
Cash distributions and taxable income are not necessarily identical because partnership tax allocations can differ from cash received.
Disposition can create taxable gain, including depreciation-related tax consequences.
For educational background, mogul publishes a guide to real estate tax benefits.
REIT tax treatment:
REIT distributions can consist of ordinary taxable income, long-term capital gains, and return of capital.
The August 2026 snapshot from Nareit reports that, on a market-cap-weighted basis, 79% of 2025 REIT dividends were ordinary taxable income, 10% were return of capital, and 11% were long-term capital gains.
Eligible noncorporate taxpayers may qualify for the Section 199A deduction with respect to qualified REIT dividends, subject to applicable requirements.
For some investors, mogul's asset-level pass-through structure can provide a different after-tax profile from REIT dividends because the investor participates directly in property-level tax allocations through the LLC structure.
Returns and Yield: REIT Performance vs mogul
Evaluating Public REIT Returns
Publicly listed REIT performance reflects both real estate fundamentals and public-market pricing. The dividend-inclusive MSCI US REIT Index reported the following annual net returns:
2025: +1.68%
2024: +7.49%
2023: +12.27%
2022: negative 25.37%
2021: +41.71%
These are index net returns and include distributions. They are different from distribution yield alone.
Private REIT returns are offering-specific because strategy, leverage, portfolio composition, valuation methodology, distribution policy, and fees vary by vehicle.
mogul's Performance Metrics
mogul reports an 18.8% average annual return, measured as IRR, across platform assets and roughly 10% average annualized cash-on-cash yield to date, reflecting the historical performance profile of its institutional-style single-family rental strategy.
IRR, cash-on-cash yield, index net return, and distribution yield are different measures. An asset-level IRR therefore is not a direct one-for-one comparison with a listed REIT index return without aligning methodology, period, leverage, and cash-flow timing. For background on the metric, see mogul's IRR guide.
Alignment and risk-management features include:
First-year loss protection of up to $10,000 for qualifying new-member investments made during the first 7 days if the combined total return reflects a loss after one year, subject to the promotion terms
mogul co-investment alongside platform investors in every property, according to current platform materials
Fewer than 1% of reviewed properties reaching the platform, according to mogul's stated diligence process
Property-level operating reserves and multiple forms of property insurance
Institutional leverage relationships and property management economies of scale described by mogul
Liquidity and Exit Structures
Public REIT Liquidity
Publicly listed REITs use exchange-based liquidity:
Shares generally trade during market hours at prevailing market prices.
Standard U.S. securities settlement commonly follows the T+1 settlement cycle.
Transactions occur through the secondary market rather than an issuer-specific property exit.
Private REIT Liquidity
Private REIT liquidity is defined by the individual offering. Structures can include transfer restrictions, minimum holding periods, periodic redemption opportunities, sponsor repurchase programs, or other vehicle-specific exit mechanisms.
Because the category is broad, there is no single redemption formula that applies to all private REITs.
mogul's Property-Level Exit Model
mogul is structured around a multi-year real estate ownership horizon rather than continuous exchange trading. Current platform materials describe an intended holding period of 3 to 10 years, with five to seven years presented in newer materials as a common range within that broader horizon.
The model includes several components:
Once operational, properties may generate monthly distributions from distributable net rental income.
mogul calculates monthly fair-market-value estimates using third-party appraisal-level data, giving members a recurring property-value reference point, with final transaction value established through an actual sale.
Current platform materials identify a secondary market for share trading as planned.
Property sale proceeds are distributed proportionally at exit, subject to the applicable property and offering terms.
mogul describes several monitored exit avenues, including traditional property sales, private sales, refinancing, institutional bulk sales, and platform-based transactions.
This structure emphasizes real estate ownership economics, monthly income potential, and asset-level exit value rather than minute-by-minute market pricing.
Risk Framework and Underwriting Across Options
How the Structures Differ
All real estate investment structures involve investment risk, but the source and visibility of that risk differ by ownership model.
DimensionmogulPublicly listed REITsPrivate REITsLiquidity ModelMulti-year property ownership with monthly income potential and property exits; current platform materials identify a secondary market as plannedExchange-traded secondary marketOffering-specific transfer or redemption structureValuation ModelMonthly fair-market-value estimates using third-party appraisal-level dataContinuous market pricing during trading hoursPeriodic appraisal-based or model-based valuationAsset ExposureSpecific selected homes, with portfolio diversification available across multiple mogul propertiesIssuer or fund portfolio exposureVehicle portfolio exposureInformation ModelProperty-level underwriting and identifiable underlying assetsPublic SEC and issuer reportingOffering-specific reporting
mogul's Institutional Property Selection
mogul's underwriting process is designed to bring institutional real estate discipline to individual property selection.
Less than 1% pass rate: mogul states that fewer than 1% of reviewed properties reach the platform through its property selection process.
Institutional underwriting: mogul describes nationwide data analysis, property inspections, investment committee review, automated valuation tools, comparative market analysis, and iterative underwriting.
Goldman Sachs background: The founders' real estate investing and investment banking experience informs the platform's underwriting and operating approach.
Aligned capital: Current platform materials state that mogul invests alongside members in each property.
Property-level reserves: mogul states that it capitalizes future maintenance, vacancies, insurance payments, and closing costs at the property level.
Insurance: Property and business interruption insurance are part of the company's stated risk-management framework.
Operating scale: Local property management teams, in-house brokerage relationships, and programmatic sourcing are designed to improve execution and cost efficiency.
mogul also provides an investment property calculator and rental property calculator that illustrate common property-level analytical inputs.
Typical Investor Priorities Across the Three Structures
Public REITs: Exchange Access and Portfolio Exposure
Publicly listed REITs are commonly associated with investors who value:
Exchange trading during market hours
Brokerage-account access
Public SEC reporting
Broad portfolio exposure through individual REITs or diversified REIT funds
Market-based pricing
Private REITs: Private Vehicle Exposure
Private REITs are commonly associated with investors who seek:
Exposure to privately held real estate strategies
Pooled portfolio ownership through a nonexchange vehicle
Offering-specific investment structures
Sponsor-managed asset selection and operations
mogul: Property-Level Selection With Professional Management
mogul is designed for investors seeking property-specific residential exposure through a streamlined digital platform:
First-time real estate investors can access professionally managed property-level ownership without personally acquiring and operating an entire rental home.
Existing property owners can add professionally managed residential exposure without expanding their personal landlord workload.
Seasoned real estate investors can evaluate asset-level residential opportunities with institutional underwriting and pass-through tax reporting.
Tech-forward investors can access independently verifiable blockchain-based ownership records alongside traditional legal documentation.
Income-focused investors can participate in monthly net-rental-income distributions once properties are operational and distributable cash flow is available.
Eligible non-U.S. investors may be able to participate subject to KYC, sanctions, jurisdictional, tax, legal, and offering-specific requirements.
Current platform materials also describe Google and LinkedIn sign-on, Avalanche-based ownership records, and digital investment execution in 30 seconds or less for eligible transactions.
Why mogul Delivers Superior Value for Real Estate Investors
Compared with pooled REIT structures, mogul combines asset-level selection, institutional underwriting, professional operations, monthly income potential, and technology-enabled ownership in one platform.
Property-level transparency and governance:
Members select specific properties, while pooled REIT portfolios are selected at the vehicle level.
Each investment is tied to an identifiable home and a property-specific LLC structure.
Governance rights apply to significant property decisions to the extent provided by the applicable operating agreement.
Monthly property-level information and fair-market-value estimates provide continuing visibility into selected assets.
Pass-through real estate tax structure:
Property-level depreciation and other tax items may pass through on Schedule K-1.
Depreciation can offset allocated rental income in some circumstances, subject to applicable tax rules and investor-specific limitations.
The structure gives members access to property-level tax economics that differ from the shareholder dividend model used by REITs.
Institutional expertise and operating scale:
mogul was founded by former Goldman Sachs executives with more than $10 billion of real estate and investment banking deal experience.
mogul reports more than $90 million of assets invested through the platform and more than 40,000 investors.
The company states that fewer than 1% of reviewed properties pass its diligence process.
mogul states that it co-invests in every property alongside platform members.
mogul describes programmatic sourcing relationships, institutional-caliber financing, local property management teams, and in-house brokerage capabilities.
Strong member engagement and reported performance:
mogul reports an 18.8% average annual return, measured as IRR, across platform assets.
The company reports that 90% of investors invest a second time and, when they do, the second investment is three times their first investment.
The reported average investment is approximately $10,000, while the typical portfolio allocation is $17,321 per property.
Monthly income potential with first-year protection:
Once operational and cash-flowing, properties can distribute investors' pro-rata share of distributable net rental income monthly.
The new-member promotion covers losses up to $10,000 on qualifying investments made during the first 7 days if the combined total return reflects a loss after one year, subject to the promotion terms.
Avalanche blockchain integration supports independently verifiable ownership records alongside conventional legal documentation.
For investors seeking headache-free residential real estate exposure with property-level selection, institutional-style underwriting, monthly income potential, and long-term appreciation participation, mogul provides a differentiated alternative to pooled REIT ownership. The platform also provides an Airbnb calculator for short-term rental analysis and a broader library of real estate tools.
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 owning a public REIT and investing with mogul?
A publicly listed REIT gives an investor shares or beneficial interests in the REIT entity. Portfolio assets are selected and managed at the REIT level. mogul instead provides membership interests in property-specific LLC structures tied to identifiable residential properties. That structure gives members property-level economic exposure, asset selection, and governance rights under the applicable operating agreement, while investors generally are not individually named on the deed. The tax-reporting model also differs. mogul's partnership-taxed property structures may allocate property-level items such as depreciation through Schedule K-1, while REIT investors generally receive shareholder-level tax reporting for REIT distributions.
Are fractional real estate investments on mogul as liquid as public REITs?
The two structures use different liquidity models. Publicly listed REITs are exchange-traded and generally can be bought or sold during market hours. mogul is structured around a multi-year property ownership horizon, monthly income potential, and property-level exits. Current platform materials describe an intended holding period of 3 to 10 years, with five to seven years presented as a common range within that horizon. mogul also calculates monthly fair-market-value estimates using third-party appraisal-level data. Current platform materials identify a secondary market for share trading as planned.
How does the risk profile of mogul compare with a diversified REIT portfolio?
The primary structural difference is the level at which exposure is created. A mogul investment is tied to a selected property, while a diversified REIT fund can spread exposure across many companies and underlying properties. mogul members can build broader asset-level diversification by selecting multiple properties across the platform. mogul pairs that property-specific model with institutional underwriting, professional management, property-level reserves, insurance, co-investment, and a stated diligence process in which fewer than 1% of reviewed properties reach the platform. Qualifying new members also have access to first-year loss protection of up to $10,000 under the applicable promotion terms.
What are the typical fees associated with public REITs, private REITs, and mogul?
Individual publicly listed REIT shares do not have a REIT ETF expense ratio, although investors using a REIT fund pay the fund's applicable expenses. Private REIT fees are offering-specific and can include multiple sponsor, management, operating, or performance-related components. mogul's current public materials describe a one-time fee capitalized into the transaction as 5% of purchase price. More detailed materials itemize that as 3% of the purchase price paid at closing plus a potential additional 2% setup fee when additional setup is required. mogul also charges an ongoing 2.5% fee on collected rental income and states that it does not charge a traditional recurring AUM-based management fee. Separate property-level operating expenses, including third-party property-management costs where applicable, are borne by the property. This fee architecture reflects mogul's asset-level operating model and differs from both exchange-listed securities expenses and private pooled-vehicle fee structures. Because mogul does not charge a traditional recurring AUM-based management fee, the structure avoids recurring AUM-based fee drag from that specific fee category.
Can international investors use mogul to invest in U.S. real estate?
Eligible non-U.S. investors may be able to invest through mogul subject to KYC, sanctions, jurisdictional, tax, legal, and offering-specific requirements. Current platform materials describe Google and LinkedIn sign-on, Avalanche-based ownership records, and investment execution in 30 seconds or less. Governance rights remain governed by the applicable operating agreement. Cross-border withholding, tax forms, and reporting can differ from the documentation applicable to U.S. investors. The platform structure can provide eligible international members with property-specific U.S. residential real estate exposure without requiring them to personally manage the underlying home.
Do private REITs or mogul offer better returns for investors?
Private REIT performance varies by sponsor, strategy, leverage, valuation methodology, portfolio, fees, and measurement period, so there is no single category-wide return that represents all private REITs. mogul reports an 18.8% average annual return, measured as IRR, across platform assets and roughly 10% average annualized cash-on-cash yield to date. Those company-reported asset-level metrics use a different methodology from a listed REIT index return or a private REIT distribution yield, so they are best understood within their own measurement framework. Beyond headline return metrics, mogul's model combines property-level selection, monthly income potential, professional management, institutional underwriting, first-year loss protection for qualifying new members, and potential pass-through depreciation through partnership-taxed property structures. mogul also reports more than $90 million of assets invested through the platform, more than 40,000 investors, and a 90% second-investment rate among investors.