Masterworks vs Landa Comparison

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

Invest in fractionalized multimillion-dollar paintings

Invest in fractional shares of rental properties

444,000 visits/month 9,700 search keywords
84,000 visits/month 700 search keywords

Investments
$15,000

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

Investments
$5

Landa's minimum share investment is $5, with personal buy limits set at 10% of income/net worth per property, no limits for entities, and weekly deposits capped at $100,000.


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 in Landa carries risks such as market volatility and potential loss of investment. Despite Landa's measures to legally separate each property series to protect investors' assets, there's no absolute guarantee in bankruptcy scenarios.


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.

Moderate Liquidity
2/5

Landa offers share liquidity through its trading platform, with market hours set from 9:30 am to 5:00 pm EST and a 2% trade fee. Share pricing is flexible, but an active buyer market is not guaranteed.

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Moderate Return
12.6 %

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

Low Return
5.0 %

Landa offers returns through rental income distributions and potential property value appreciation, with additional tax benefits. Returns are influenced by property location, type, and market conditions, shaping overall investment performance.


Long-term Investment
3-7 years

Masterworks keeps the artwork for 3 to 10 years.

Long-term Investment
10+ years

Landa focuses on long-term property investment, with the potential for indefinite holding periods due to market liquidity or property performance.


Who can invest
International

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

Who can invest
United States

U.S. residents over 18 with an SSN can invest with Landa, excluding non-U.S. residents and those in Puerto Rico.


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 values can fluctuate unpredictably, impacting Landa share prices and potentially leading to significant investment losses in volatile markets.


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
SEC Regulated

Landa's "Shares" are SEC-regulated real estate investments with risks, including loss and illiquidity. Resale of Shares is limited to a secondary platform with no guaranteed market, requiring investors to potentially hold shares indefinitely.


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
No

Without specific details from Landa, it's assumed properties are insured for damage, not for market or fraud risks, with potentially limited coverage.


Payouts
No Recurring Payouts

The company doesn't generate revenue.

Payouts
Dividends

Landa investors earn through monthly dividends derived from rental income minus property expenses and through potential appreciation by selling shares in a secondary market. However, dividends are not guaranteed, may fluctuate with property performance, and share trading is subject to market availability.


Withdrawals

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

Withdrawals

Withdraw money from Landa through the app with a 2-5 business day processing time to your bank account.


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

Landa charges a 2% fee for share transactions on the secondary market, paid to a third-party broker-dealer without any retention by Landa.


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

Landa provides investors with tax documents such as Forms 1099-B, 1099-DIV, and 1099-MISC by January 31st for reporting share transactions and dividends over $10. Income from Landa investments is taxable, and consulting a tax professional is recommended.

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