Ark7 vs Streitwise Comparison

Assess their risks, liquidity, investments, returns, timeframes and other terms

Invest in rental homes

Invest in equity REIT

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Investments
$20

The minimum investment amount required on Ark7 is $20 per share.

Investments
$3,515

The minimum investment amount for Streitwise is $3,515, which is based on a Net Asset Value (NAV) of $7.03 per share.


Moderate Risk
3/5

Investing on Ark7 carries risks such as market volatility, property value fluctuations, economic impacts, and potential liquidity challenges in the secondary market.

Moderate Risk
3/5

Investing in Streitwise involves risks such as market fluctuations affecting real estate values, limited liquidity with a one-year lockout period and potential for delayed redemptions, discounts on early redemption reducing investment value, concentration in specific real estate markets, reliance on management's decision-making, regulatory changes impacting operations, and sensitivity to interest rate changes.


Moderate Liquidity
2/5

Ark7 allows investors to sell their shares on a secondary market after a minimum holding period of one year, providing liquidity.

Minimum Liquidity
1/5

Streitwise's Redemption Plan offers investors a structured way to sell their shares back to the company, starting after a one-year lockout period. Redemption before five years involves a discount, with full NAV redemption available after five years.

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Low Return
3.22-6.96 %

Ark7 offers annualized cash return rates between 3.22% to 6.96%, or $0.1 to $0.58 per share, based on past performance or estimates for newer properties.

Low Return
7.3 %

Streitwise has offered an average annualized dividend yield of 7.3% since 2020. Future dividends depend on factors like tenant quality and maintenance costs, and cannot be guaranteed.


Long-term Investment
1+ year

Ark7 targets long-term investments in real estate for appreciation but allows selling shares after a minimum holding period for flexibility.

Long-term Investment
5+ years

Streitwise targets long-term investments, ideally over five years, to avoid early redemption discounts and maximize returns. There's a one-year lockout period, emphasizing the long-term approach.


Who can invest
United States

Ark7 is open to U.S. citizens or residents over 18 with an SSN or ITIN and a U.S. bank account. Select offerings are for accredited investors only.

Who can invest
International

Streitwise is open to both accredited and non-accredited investors, including international participants, with some investment limits for non-accredited investors to ensure their financial safety. International investors can join with certain conditions and may face delays in processing.


Moderate Volatility
3/5

Assets on Ark7 exhibit volatility influenced by real estate market shifts, economic conditions, and demand fluctuations. While real estate is generally stable, values and rental incomes can vary. Additionally, liquidity and market demand on the secondary market may affect share prices and selling ease.

Moderate Volatility
3/5

Assets on the Streitwise platform, mainly commercial real estate, typically show lower volatility compared to stocks or cryptocurrencies, due to the slower pace of value changes in real estate. However, factors like economic shifts, interest rate changes, and market conditions can still cause fluctuations, albeit over longer periods.


Regulation and audits
SEC Regulated

Ark7 complies with SEC regulations, making necessary filings for transparency and undergoes regular independent audits for financial accuracy and operational compliance.

Regulation and audits
SEC Regulated

Streitwise is regulated under Regulation A+ of the JOBS Act, allowing it to sell securities to both accredited and non-accredited investors with SEC oversight. Although not specified, companies under this regulation typically must submit audited financial statements annually, conducted by independent firms, ensuring transparency and compliance.


Insurance
Yes

Ark7 secures comprehensive insurance for all properties, covering natural disasters, property damage, and liability, to protect investors' returns and mitigate financial risks.

Insurance
No

Streitwise has not specified the types of insurance it holds for its operations or properties. Typically, real estate investments are covered by property, liability, and business interruption insurance.


Payouts
Dividends

Ark7 offers returns through monthly cash distributions from rental income, after deducting operating expenses, and long-term property appreciation. Distributions are prorated based on shares owned and deposited monthly. Property appreciation potential comes from home value gains, with shares sellable on the secondary market after a holding period. Monthly distribution amounts may vary due to operational factors.

Payouts
Dividends

Streitwise pays dividends quarterly, about 10 days post-quarter end, offering payment via check, direct bank transfer, or through a dividend reinvestment program.


Withdrawals

Investors can get their money back by selling their shares on Ark7's secondary market after a minimum one-year holding period or through property appreciation when they sell their shares.

Withdrawals

Investors can request to redeem their Streitwise shares after a one-year lockout period, with redemptions processed quarterly. Early redemptions (before five years) face discounts, while shares held for five years or more are redeemed at 100% NAV. Quarterly redemption limits may delay processing.


Extra Fees
Yes

Ark7 charges a one-time 3% sourcing fee of the property market cap for acquiring and listing properties, and a monthly asset management fee of 8-15% of rental income for property and tenant management.

Extra Fees
No

Streitwise charges a straightforward 2% annual fee on investments, taken from dividend payments, not the principal. There are no additional or hidden fees, making its fee structure transparent and investor-friendly.


Taxes
Tax Form

Ark7 issues Schedule K-1 forms for properties taxed as partnerships and plans to issue 1099-DIV for properties treated as REITs, aiming to transition as they open to the public. Tax documents are sent before March 15th, considering depreciation and expenses to potentially reduce taxable income for investors.

Taxes
Tax Form

Streitwise provides a Form 1099-DIV for tax reporting by January 31 each year, detailing dividends which may be taxed as return of capital, capital gains, or ordinary income.

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