Masterworks vs Doorvest Comparison

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

Invest in fractionalized multimillion-dollar paintings

Invest in single-family homes

444,000 visits/month 9,700 search keywords
14,000 visits/month 100 search keywords

Investments
$15,000

The minimum investment required is $15,000, which can be used to buy one or more assets.

Investments
$56,000

The minimum investment on Doorvest is a 25% down payment on a home, averaging $56,250 based on the average home price of $225,000.


Moderate Risk
3/5

Investing in art through Masterworks has risks, including concentration in a single artwork, limited insurance coverage, market volatility, and uncertainty in the secondary market.

Moderate Risk
3/5

Investing with Doorvest involves risks such as market volatility, economic changes, and property-specific issues. While the platform aims to manage these effectively, outcomes can be uncertain, and investors should carefully consider their risk tolerance and conduct due diligence before investing.


Moderate Liquidity
2/5

You have the option to trade shares on the platform's secondary market, but there are certain restrictions on what and how you can trade.

Minimum Liquidity
1/5

Doorvest allows investors to sell their homes back to the platform, requiring them to connect with a client partner for more information on the process.

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Moderate Return
12.6 %

Profits come from selling the painting or when investors sell their shares.

High Return
18 %

Doorvest reports an average annual investment return of 18%, accounting for rental income, property appreciation, and mortgage leveraging.


Long-term Investment
3-7 years

Masterworks keeps the artwork for 3 to 10 years.

Long-term Investment
5-30 years

Doorvest focuses on long-term investments in single-family rentals, generally suggesting a commitment of several years to decades, based on real estate appreciation and rental income.


Who can invest
International

Masterworks welcomes individuals, corporations, or entities from any location, including the United States.

Who can invest
United States

To invest with Doorvest, you need to be in the U.S. or able to sign documents at a U.S. Embassy.


Moderate Volatility
3/5

Art market fluctuations can lead to rapid price increases and declines, posing risks for short-term investors who may lose a significant portion of their capital.

Moderate Volatility
3/5

Real estate assets on Doorvest can experience volatility due to economic shifts, interest rate changes, and local market trends, potentially affecting investment values and posing risks for short-term investors.


Regulation and audits
SEC Regulated

Masterworks provides SEC-approved offering circulars for each artwork, allowing public investment. AGD Legal reviews art investments annually.

Regulation and audits
TREC Regulated

Doorvest complies with the Texas Real Estate Commission (TREC) consumer protection notice, indicating adherence to state-level real estate transaction standards. It does not provide details on broader financial regulations or audits, focusing more on real estate industry compliance than securities regulation.


Insurance
Yes

Artworks are insured for up to $500 million by Lloyd's of London, but coverage may not fully match the artwork's value.

Insurance
Yes

Doorvest protects rental investments with homeowner's insurance, covering physical structure damage and potentially extending to personal belongings and medical expenses. This coverage is a mortgage lender requirement, safeguarding against various damages, though investors should be aware of any coverage limitations.


Payouts
No Recurring Payouts

The company doesn't generate revenue.

Payouts
Rental Income

Doorvest offers rental income as returns to investors, bolstered by a Rent Guarantee that includes vacancy and non-payment protection for the first three months, with an option to extend up to 12 months. Additionally, a Renovation Guarantee covers repair costs for the first year of ownership.


Withdrawals

Investors should wait for the company to sell the painting to receive their share of the proceeds, after deducting fees.

Withdrawals

To get their money back, Doorvest investors need to sell their property, with the timeline depending on market conditions and the sale process. The process is initiated through Doorvest, and funds are received after the property is sold and the transaction is completed.


Extra Fees
Yes

Masterworks charges a 1.5% yearly fee in equity, takes a 20% cut on art sales profits, and has a one-time sourcing fee per investment.

Extra Fees
Yes

Doorvest employs a fee model, deriving revenue from a portion of the monthly rental income and margins on home sales, always at fair market value.


Taxes
Tax Form

US taxpayers: subject to collectible gains rate (capped at 28%), unless owning 10%+ of a single painting. Masterworks provides a free Consolidated Tax Statement. Foreign investors: no US taxes or tax withholding.

Taxes
Tax Form

Doorvest facilitates tax compliance by providing investors with all necessary documentation for tax filing, related to real estate investment income and expenses.

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