DiversyFund vs HoneyBricks Comparison

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

Invest in multifamily rental properties

Invest in multifamily real estate

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Investments
$500

DiversyFund's minimum investment amounts differ by investment type. It's $500 for Growth REITs targeting multifamily properties. For accredited investors, Premier Direct SPVs require a $50,000 minimum, while the Premier Opportunity Fund has a $25,000 minimum.

Investments
$5,000

The minimum investment amount on HoneyBricks typically starts at $5,000, although some specific projects may require higher minimums.


Moderate Risk
3/5

Investing in DiversyFund carries risks such as market changes, economic factors, and specific property risks, and there's always the potential for loss, including the initial investment.

Moderate Risk
3/5

Investing in HoneyBricks involves various risks inherent to real estate and investment platforms, including market volatility, liquidity challenges, regulatory changes, operational uncertainties, economic fluctuations, and technology-related vulnerabilities.


Minimum Liquidity
1/5

DiversyFund investments are illiquid, with capital committed for approximately 5 to 7 years. There is no secondary market or immediate option for investors to sell their shares prior to the end of the investment term.

Moderate Liquidity
2/5

HoneyBricks offers a Secondary Market for liquidity, allowing investors to buy and sell assets after a 12-month hold via SPVs and blockchain technology.

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Moderate Return
11-18 %

DiversyFund has historically reported annual returns between 11% and 18%, but future returns can vary and are not guaranteed.

High Return
15 %

HoneyBricks targets over 15% annual returns and aims for a cash-on-cash return of over 5% from its real estate investments. These returns are projections based on conservative reviews and are derived from property appreciation and reliable cash flows from high-occupancy assets.


Long-term Investment
5-7 years

DiversyFund's REIT I has an investment term of 5-7 years, and the company is using the full term to maximize property values before sale and subsequent investor disbursements.

Long-term Investment
1-5 years

The investment time horizon on HoneyBricks is inherently long-term, with the expectation that investors may hold their investments for several years to fully realize the potential appreciation and sustained cash flows from multifamily real estate assets. While a secondary market exists to provide liquidity after a 12-month holding period, immediate or short-term exit opportunities may be limited.


Who can invest
United States

DiversyFund's Growth Offerings are accessible to all investors, while its Premier Offerings are restricted to accredited investors only.

Who can invest
International

HoneyBricks is available to accredited US investors and to non-US investors without accreditation requirements.


Moderate Volatility
3/5

Real estate assets on DiversyFund can experience volatility due to market conditions, interest rates, and local economic trends, potentially impacting property values and investment performance.

Moderate Volatility
3/5

The assets on HoneyBricks, like any real estate investments, are subject to market volatility influenced by economic conditions, interest rates, and local market trends. These fluctuations can impact property valuations, posing risks particularly for those seeking short-term gains.


Regulation and audits
SEC Regulated

DiversyFund is subject to SEC regulations and conducts regular audits to ensure financial transparency. These audits and disclosures are available for investor review as part of the company's compliance with regulatory standards.

Regulation and audits
SEC Regulated

HoneyBricks adheres to regulations set by the SEC and undergoes necessary audits to ensure transparency and investor protection. Its investment offerings require SEC filings and provide detailed offering circulars to investors.


Insurance
Yes

DiversyFund's properties are generally insured against physical damage, but this insurance does not cover market-related losses or economic downturns, and it may not fully cover the properties' market value.

Insurance
Yes

HoneyBricks ensures its properties are insured against physical damages and losses, offering a layer of protection for investments. However, this insurance does not cover market volatility, economic downturns, or fraudulent activities that might affect property values. Additionally, coverage limits may not fully reflect current market valuations.


Payouts
No Recurring Payouts

DiversyFund generally reinvests dividends into property renovations rather than distributing them, supporting a strategy aimed at long-term asset appreciation.

Payouts
Dividends

HoneyBricks investors receive dividends from the net rental income of properties after expenses and reserves. These regular cash distributions aim to provide a predictable passive income stream from high-occupancy multifamily real estate investments. The exact amount of dividends may vary with the performance of the assets.


Withdrawals

Investors in DiversyFund can receive their money back after the properties are sold, typically at the end of a 5 to 7-year investment term, without an early withdrawal option.

Withdrawals

Investors on HoneyBricks can potentially get their money back by selling their shares on the platform's Secondary Market after a 12-month holding period, subject to market demand. The timing and success of the sale depend on market conditions, and while there are no HoneyBricks fees for the transfer, blockchain network fees may apply.


Extra Fees
Yes

DiversyFund collects asset management fees and transaction fees, and may also earn a promote interest from net profits after investors receive their returns.

Extra Fees
No

HoneyBricks charges no fees for initial investments or for transfers on the Secondary Market. Investors may only incur blockchain network fees for transactions executed on the platform.


Taxes
Tax Form

DiversyFund provides Form 1099-DIV and/or Form K-1 for tax reporting, accessible online, with dividends taxed as ordinary income and end-of-term distributions potentially as capital gains.

Taxes
Tax Form

HoneyBricks offers tax-advantaged investing and provides necessary tax documentation to support investors in reporting their investment income.

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