Max Crowdfund is one of the founders of AREIP (Association of Real Estate Investment Platforms). In this association, real estate investment platforms collaborate globally to improve standards and confidence in the sector. The mission of AREIP is: to bring together real estate investment platforms globally to help accelerate the adoption of digital real estate investment by building investor confidence through standardization and liquidity and choice by creating a central marketplace.
There is a strong demand for digital investments in real estate, shown in the billions of dollars already invested in real estate online. AREIP plans to bring together different investment platforms globally to agree on a common set of operational and conduct standards. This means that there needs to be a central marketplace.
AREIP wants to help investors better understand investing by standardizing market terminology and comparing the investments available to them. This improves transparency and builds the investor’s confidence. According to AREIP, standardization benefits all market participants, including issuers, property developers, investment platforms and investors. After helping the investors, the members will create a centralized marketplace, facilitating liquidity.
There are really interesting benefits for an investor:
- AREIP is creating a safe investing environment by giving access to digital real estate investments governed by sensible regulation. This creates a safe investing environment.
- An investor gets the excellent opportunity to evaluate investment opportunities and their risks at a glance.
- Because of the marketplace, an investor has a wider variety of digital real estate investment opportunities.
From the 10th of November 2022, all crowdfunding platforms in Europe need an EU license to continue offering real estate investment opportunities*. Once the platforms receive the license, they are allowed to provide opportunities in more countries in Europe. The association will ensure that every platform is given the same number of opportunities to operate as a platform.
Besides Max Crowdfund, AREIP is founded by six other real estate platforms. These are Reinvest24 (from Estonia), BrikkApp en Occollo (from the Czech Republic), Shojin Property Partners, Simple Crowdfunding and British Pearl (from the United Kingdom). In addition, five other platforms have already become a member of the association. For other platforms, it’s possible to join the association and help share the future of online real estate investments.
You can find more information about AREIP here.
* November 10th, 2022, is the current deadline. However, this can be postponed by the European Commission for a maximum of one year.
