- Short-term vacation rentals are a hot market, currently outpacing the rest of the real estate industry.
- reAlpha’s digital platform removes investment barriers, unlocking opportunities.
- Early investors can be part of reAlpha’s growth as it changes the real estate game.
Investing in startups used to be reserved exclusively for venture capital funds or the well-connected elite. But all that has changed – today anyone can invest in startups and reap the potential benefits as the companies grow.
dAlpha is the perfect example of a fast-growing company disrupting a booming market. And anyone can invest as it disrupts the $1.2 trillion short-term rental market.
Here’s why it’s so important: Airbnb hosts earned a record $34 billion in 2021, and Airbnb says it needs millions more hosts to keep up with demand. But even though thousands of aspiring hosts hope to take advantage of this rapid growth trend, the costs of buying, renovating and maintaining investment properties are too high for most. Wall Street buyers are trying to capitalize on the gap – but what about the others?
This is where reAlpha comes in. reAlpha uses a unique co-ownership model, which means the company retains up to 51% ownership in each of its properties, while the remaining 49% is divided and made available to members who wish to invest. in a part of specific properties.
Making it easier for ordinary investors to access markets like these has paid off in other sectors. Coinbase, Robinhood, and Masterworks have each used technology and fractional ownership to make their markets accessible to investors, and each is valued in the billions.
Now reAlpha is doing it for the $1.2 trillion short-term rental industry – and the timing couldn’t be better. The volatility we see today means that even more investors could turn to income-generating investments like vacation properties to escape the roller coaster ride of the public market.
Not only are reAlpha shareholders exposed to this strong market, but they also own part of a disruptive technology solution; potentially less affected by today’s volatility. Investors around the world have the opportunity to enter on the ground floor as a shareholder before December 8.
Why reAlpha targets the vacation rental market
reAlpha is targeting the vacation rental market as it is outperforming the rest of the real estate industry and not slowing down. Not only do short-term rentals have the potential to offer returns of 70% or more* than long-term rentals, but Airbnb also reports that nights booked for future trips have increased by 16.9%.
Short-term rentals often offer more affordable prices compared to overnight hotel rooms, as well as greater privacy, a unique experience and more flexibility.
Airbnb’s success is a proof of concept.
Airbnb had 2,500 listings and 10,000 users just one year after it was founded in 2008 (in the middle of a recession, by the way). In 2020, Airbnb was worth more than the three largest hotel chains combined.
This is proof that the demand for these properties is growing. Now, reAlpha makes it easy for anyone to invest in properties listed on Airbnb.
reAlpha facilitates short-term rental investment
As many aspiring real estate investors seek to enter the $1.2 trillion short-term rental market, they face roadblocks after roadblocks.
Investment properties typically require a 25% down payment, which most people simply don’t have. They also don’t have the cash to tackle all the renovations and repairs. That doesn’t include the hassle of managing reservations, cleaning between stays, corresponding with guests, and the list goes on.
reAlpha solves these problems with a revolutionary digital platform which will allow anyone to invest in short-term rentals, just like buying a stock on their favorite stock trading app.
reAlpha’s technology selects only the best properties
reAlpha uses a proprietary algorithm, called reAlphaBRAIN**, which is able to analyze thousands of investment properties to determine which are the most viable for Airbnb revenue generation. It looks at dozens of factors, including crime rates, Airbnb occupancy rates, road conditions, rental availability, proximity to restaurants, walkability, and many more.
Based on these factors, each property is assigned a rating and reAlpha’s in-house team gives everything a final look. If the correct boxes are checked, the property will be purchased and listed on the Company’s proprietary broker-operated investment market for reAlpha members only.
Not only is reAlpha targeting the fast-growing vacation rental market, but they’re using AI to take the opportunity to the next level.
This is just the beginning for reAlpha
Part of what makes owning stocks in reAlpha so exciting investment opportunity is that business is moving at high speed. The startup has already built several technologies to help scale the company’s real estate portfolio, tested its model on an initial group of homes, and closed massive financing deals.
Additionally, reAlpha acquired new properties in Orlando through shareholder funds, received a $1.3 billion investment from real estate holding company Crawford Hoying, and opened new global offices in India, Nepal and Nepal. Brazil. They’ve also spent the last year optimizing the AI algorithm used to identify homes to its sharpest version yet, ready to support more properties.
And now they have even more firepower to put that into action.
reAlpha just signed one of the largest financing deals in short-term real estate history, opening a $200 million loan to help them build their portfolio of properties. Even better, if housing prices drop, reAlpha is now perfectly positioned to buy the best properties at even better prices, getting more for investors’ money.
Invest in the startup changing the real estate game
Before reAlpha can fully democratize this $1.2 trillion market, they need investors like you to build their portfolio. They are now raising up to $75 million in funding to acquire thousands of short-term rental properties across 220 global markets from Airbnb within five years.
As an early investor, you own a share of their entire vacation rental portfolio company, as well as key properties, rather than waiting for individual properties to invest in. Additionally, investors can also stay for free at any Airbnb property owned by reAlpha. The number of free stays is based on your investment.
Another benefit of investing in reAlpha is being part of their reImagine fund. Their parent company plans to match up to 2% of funds raised to potentially create up to $30 million in real estate for underrepresented populations and future workforce opportunities.
Today, reAlpha is working to make investing in the lucrative short-term rental property market more accessible than ever – and you can come on board as a shareholder of reAlpha before the relaunch closes on December 8. Join over 24,000 people from over 80 different countries around the world who have started the investment process by owning stock directly in reAlpha today.
Disclaimer:
*Income Claim: The +70% was calculated using the monthly rents listed by Zillow for specific properties in various popular cities (available on zillow.com as of 7/19/2022) versus the respective annual rental incomes of the specific properties divided by 12 (to be on a monthly basis) from AirDNA’s Rentalizer tool. Information used for calculations from AirDNA (available at https://www.airdna.co/ available 07/19/2022). Results may vary based on other factors, including but not limited to location.
** The reAlphaBRAIN is licensed to reAlpha Asset Management Inc. HUMINT and the reAlpha syndication platform/application are the property of reAlpha Asset Management Inc.
An offering statement relating to this offering has been filed with the SEC. The SEC has called this offering statement, which means only that the company can sell the securities described by the offering statement. This does not imply that the SEC has endorsed, approved the merits, or approved the accuracy or completeness of any information contained in the offering statement. The offering circular which forms part of this offering statement is here. You should read the offering circular before making any investment.
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Our Regulation A offering is not made in MA, MD and Hawaii and our common stock is not available for purchase by residents of MA, MD and Hawaii.
This post was created by dAlpha with Insider Studios
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