Sharestates

Robert aranbaev _{on Google}

Feb 20th, 2024

Warning. I invested 10k about 4 years ago. I still didn't receive my funds back due to property going into foreclosure. I would never put a penny into sharestetes ever again.

Jordan Mizrachi _{on Google}

Oct 1st, 2022

Sharestates is a wonderful resource for investment opportunities. They are very professional, courteous, and kind in guiding you through the investment step by step. I've been with them for a while now, and will continue to use them. I am happy I have encountered this valuable resource!

Nathan Dunnington _{on Google}

Oct 24th, 2023

Warning: YOUR LOANS ARE NOT AS SAFE AS YOU THINK
Pros: Sharestates does have great communication, Matt has been there to explain the situation every step of the way, they get an A for effort but unfortunately, the actual result I got from investing in Sharestates has been a nightmare. Loans are not as secure as they seem, because the underwriting "assumptions" , based on permits did not come through, rendering the value of my properties less than the loan amount. So the LTV you see, is not always the actual LTV, especially when the borrower continues to draw additional cash changing the entire LTV (why was this allowed?). As a result, I had 5 defaults out of 7. "Personal guarantee" from the borrower, rated A, means nothing.
I was first told the loan default was the result of the funds being re-purposed to another investment by the borrower. I then researched the contract, and found that was in violation of the terms. When I pointed this out, the story changed and differences in the underwriting value vs the current value were given as the reason for non-payment.
In the end, we reached an agreement to have the loans bought out at a loss of principal, as I need the liquidity since we are 1-2 years past the maturity dates. But now the buyer has gone dark. Even in taking a loss, we can't even get that executed successfully, now capital is tied up indefinitely and remains at risk.
I do understand the Covid affected these loans. I do appreciate the communication and efforts to resolve. I do applaud Matt for this efforts on my portfolio and attempts to find resolutions. None the less, due to the poor underwriting, poor evaluation of borrowers and their ability to deliver, the actual result has been abysmal. In a world where we judge by results, I unfortunately have to give Sharestates 1 star, and would never invest here again.
In Q3 2023, there is no point to invest in these risky loans for 10-11% return, when the risk free rate is near 5%.
I invested assuming the chance to lose principal was very low, given then advertised track record, LTV, borrower history and guarantees and I am facing a substantial personal loss.

R K _{on Google}

Oct 28th, 2022

There are a number of crowdfunding real estate sites out there, and for sure the number will increase. Sharestates is my favorite by far. Aside from having an intuitive, bug free site, Sharestates also has superior customer service and their ongoing communications are timely and informative. Ive tried working with other top sites, and one of the top five even had a system problem which changed my profile so that I could not make an investment. Sharestates has their niche right now, but with their strong infrastructure they look to be well positioned to broaden their offerings and successfully grow.
It's 5 years later, and every year I have increased my investments through them because of the quality of the offerings and the outstanding level of communication Sharestates provides. They've grown almost exponentially and they have not lost the attention to details which most companies experience when they grow the way Sharestates has.

Jeff B _{on Google}

Jul 29th, 2022

I invested heavily in Sharestates in 2018 and 2019. I stopped given that Sharestates rarely takes ownership of defaulting, choosing instead to mend and extend loans. While 42 of my loans have been paid, however 10 are in in default, foreclosure or REO. Given I only invested in loans @ 60 LTV or lower, I thought my Sharestates investments were properly secured. However, under Sharestates "mend and extend" default methodology, and drop in real estate values, I consider these loans at high risk of principal loss. To add to problem, some Sharestate appraisals seem to be inflated. Additionally, construction loans appear to be poorly managed as withdrawals seem to occur with out due diligence of actual project completion schedules. This increases the chance of principal loss when a property becomes an REO. "All-in-all, my Sharestates experience adds-up to high risk investing and at best minimal return for effort extended,