Skip to main content

What am I investing in?

Josh avatar
Written by Josh
Updated over a month ago

You’ve probably seen “Fix and Flip” shows on TV: real people turning worn-down homes into gems. That’s exactly the kind of real estate project Groundfloor supports.

We originate short-term loans (typically 6 to 18 months) for real estate investors—individuals, small businesses, and renovation pros—who are improving properties across the country. These loans finance everything from full renovations to new construction.

Before Groundfloor, this kind of investing was mostly reserved for hard money lenders aka ultra-wealthy individuals who could afford to write six-figure checks. Groundfloor opened the door to everyone, letting you invest in these same types of loans, without needing $1 million (or even $1,000).

Here's how it works:

You’re investing in fractional pieces of these loans. Groundfloor originates and services each one, and your share earns you a portion of the interest borrowers pay back. We handle the heavy lifting; you earn the returns.

If you're investing through Flywheel, our actively managed portfolio, your funds are automatically diversified across hundreds of these loans—helping reduce risk and optimize steady performance.

  • Target net returns: ~9%

  • Loan terms: 6–18 months

  • Repayments: Weekly disbursements as loans pay back

Did this answer your question?