Groundfloor

Groundfloor is a U.S. real-estate investment platform that sells Regulation A+ debt securities—short-term, senior-lien renovation and construction loans originated against single-family and small multifamily properties. Investments start at $10 per project, placing the service in a budget-to-mid-range price bracket for retail investors; advertised net returns to date range from 6% to 14% annually. The entire transaction flow—browsing open loans, funding, and portfolio tracking—is executed through the company’s online portal and mobile app; no branches or brokerage accounts are required. The brand’s core differentiator is its inverse crowdfunding model: everyday investors choose individual loans to fund rather than buying into a blind pool REIT or fund, and borrowers receive fast, asset-based capital that traditional banks seldom provide. Groundfloor underwrites and grades each loan (A–G) with published LTV, term, and risk-adjusted rate, then services payments as the project exits. Since 2013 the platform has facilitated more than $400 million in principal and returned over 11% average net yield to investors, according to company disclosures. Typical customers are retail investors aged 25-55 seeking low-minimum alternatives to stocks or savings accounts and attracted to monthly passive income backed by hard real-estate collateral. They value transparency, self-directed diversification across dozens of micro-loans, and the ability to automate reinvestment; many also favor supporting local housing redevelopment rather than large institutional funds. Groundfloor competes with other fintech platforms offering fractional real-estate exposure, but it stands apart by issuing debt rather than equity, giving investors a fixed maturity and senior repayment position. Its per-project funding model, public SEC-qualified offerings, and borrower-facing renovation lending arm create a two-sided marketplace that reduces capital costs and speeds deal flow compared with competitors that rely on discretionary funds or longer-hold equity structures.