Why Millennials and Gen Z Are Turning to Fractional Real Estate Investing

Fractional real estate investing is emerging as a popular strategy among Millennials and Gen Z, offering a more affordable and accessible way to build wealth without the property management responsibilities of traditional property ownership. Realbricks allows younger generations of people to engage with real estate, combining the power of technology and the reliable nature of real estate, to diversify their portfolios.

What Is Fractional Real Estate Investing?

Fractional real estate investing allows individuals to purchase shares in high-value properties rather than owning an entire property outright. Investors earn quarterly dividend payments from rental returns and potential property appreciation, all while avoiding the complexities of property management.

This approach makes investing in real estate more affordable, enabling anyone to participate with as little as $100.

Why Millennials and Gen Z Are Drawn to Fractional Ownership

1. Accessibility and Affordability

Although most Millennials and Gen Z are aware of the benefits of real estate, many feel it's out of reach due to financial barriers such as student loans and rising housing costs which require larger and larger down payments.

A survey of 750 Gen Z respondents aged 18 to 27, conducted by RE/MAX, found that nearly 65% are eager to buy a home within the next five years. Despite their enthusiasm, many are worried about affording upfront expenses, including the down payment and closing costs. (Source)

Fractional real estate investing enables individuals to build their real estate portfolio without the burden of large down payments, allowing them to enter the market at a price that fits their budget.

Example: Instead of saving $50,000 for a property down payment, an investor can start with a more affordable amount such as $1,000. Users can scale into the asset class as they desire, giving them full control over their real estate portfolio.

2. Diversification Opportunities

Fractional real estate empowers young investors to diversify their portfolios across multiple properties to help mitigate risk. Realbricks simplifies the process by offering access to carefully selected properties with a track record of consistent growth, making it easier for investors to build a balanced and reliable portfolio.

3. Passive Income Without the Hassle

One of the key appeals of fractional investing is the ability to generate passive income. Dividends from rental income are estimated to be distributed to investors quarterly, without requiring them to handle tenant issues, maintenance, or other property management tasks. Additionally, investors benefit from the potential for property appreciation, allowing them to earn returns on the increased valuation of a property over time.

4. Powered by Innovation and Simplicity

Fractional real estate investing resonates with younger generations by combining the reliable nature of real estate investing, with the simplicity and accessibility that cutting edge technology brings to the table.

The Realbricks app (available for both iOS and Android users) streamlines the entire investment process, allowing users to explore, invest, and manage their portfolios seamlessly from any device. 

This tech-driven approach eliminates the complexity of traditional real estate transactions while offering flexibility and convenience that align with modern, on-the-go lifestyles. With features like automated tools and digital transparency, fractional investing redefines how Millennials and Gen Z engage with real estate, making it both intuitive and forward-thinking.

The Realbricks Advantage

Realbricks is leading the effort to empower Millennials and Gen Z to build wealth through fractional real estate investing. With a minimum investment of just $100, users can:

  • Earn an Estimated 6% Dividend Yield: Highly vetted rental properties in stable markets like Omaha, Nebraska, can provide consistent and reliable income potential.
  • Hands-Off Investing: Realbricks handles all aspects of property management, from maintenance to tenant relations, so you can enjoy passive income without the hassle.
  • Chance for Appreciation: Beyond dividends, investors can benefit from the potential appreciation of properties, allowing for long-term wealth growth.
  • Mobile Application Available on iOS and Android: Stay connected and manage your investments easily with the Realbricks app, offering a seamless experience anytime, anywhere.
  • Regulated by the SEC: Realbricks ensures transparency, compliance, and investor protection, giving you peace of mind as you build your portfolio.

Starting a Real Estate Portfolio in  Minutes

Fractional real estate investing is more than a trend—it’s a transformative opportunity for Millennials and Gen Z to take control of their financial futures and reimagine property ownership. With Realbricks, you can start building your portfolio in just 5 minutes, earning passive income and benefiting from property appreciation without the barriers of traditional real estate ownership.

Signing up for Realbricks takes 5 minutes

Disclaimer: Investing in real estate involves risks, including the potential loss of capital. This content is for informational purposes only and is not intended as investment advice. Investors should perform their own research and consult with financial professionals before making investment decisions.