US Real Estate Crowdfunding for International Investors: The Complete 2026 Guide

Which Platforms Actually Accept International Investors?

This is the first question, and the answer is mostly no. The majority of US real estate crowdfunding platforms are built around Regulation A or Regulation D exemptions that were designed with US investors in mind. Accepting foreign nationals creates additional regulatory complexity, withholding obligations, and KYC requirements that most platforms have chosen to skip entirely.

Here is the full picture for every major platform.

The blunt summary: If you are outside the US, Groundfloor and Lofty are your realistic options today; RealtyMogul was the third until its REITs closed to new money in July 2025. Everything else either explicitly prohibits you or makes it so difficult that it is not worth pursuing.

Fundrise comes up constantly in international investor forums because it is the most well-known platform. To be clear: Fundrise does not accept non-US residents, full stop. The platform requires a US Social Security Number or ITIN, and you must file US taxes. There is no LLC workaround for Fundrise — the platform cannot accept foreign-owned pass-through entities due to its REIT withholding obligations. Do not waste time trying.

The Tax Reality for International Investors

If you invest in US real estate as a non-US person, the IRS wants a cut. There is no way around this, but the actual amount depends on how you set things up.

The 30% Default Withholding

The US imposes a 30% withholding tax on most income paid to non-resident aliens (NRAs). This is the default rate. If you invest in a US platform and do nothing else, 30% of your distributions disappear before they reach you.

Tax Treaties: Getting That Rate Down to 15%

The US has tax treaties with most major countries that reduce the withholding rate on dividends and REIT distributions. For most treaty countries, the rate drops from 30% to 15%.

To claim the reduced treaty rate, you need two things: a completed Form W-8BEN and an ITIN (Individual Taxpayer Identification Number). Without an ITIN, the platform cannot process the treaty claim and will withhold the full 30%. More on how to get an ITIN below.

The Portfolio Interest Exemption — The Tax Break Nobody Mentions

Here is something that almost no guide covering this topic explains: interest income from US debt investments may be entirely exempt from US withholding tax for non-resident aliens under the portfolio interest exemption.

The key rules: the interest must be on a registered form obligation (not bearer), the investor must not be a 10% shareholder of the borrower, and the investor must certify their foreign status on a W-8BEN.

Why does this matter for crowdfunding? Groundfloor's entire model is debt-based. You are lending money against US real estate, not owning equity in it. The interest income from Groundfloor loans may qualify for the portfolio interest exemption, potentially eliminating US withholding entirely on that income.

This means a UK investor earning 9% on Groundfloor loans could potentially receive the full 9% without any US withholding — compared to 7.65% at treaty rates (15% withholding) or 7.65% at full rates (30% withholding) on equity investments.

You should verify this with a tax advisor for your specific situation, but it is a significant structural advantage of debt-based platforms over equity-based ones for international investors. This is why Groundfloor is the top recommendation for most international investors, not just because it is open globally.

FIRPTA: What It Is and When It Applies

FIRPTA (Foreign Investment in Real Property Tax Act) requires 15% withholding on the gross sale price when a foreign person sells a "US real property interest." This sounds alarming but is more nuanced for crowdfunding.

Practical takeaway: for the platforms accessible to international investors, FIRPTA is either non-applicable (Groundfloor debt, RealtyMogul REITs) or a minor consideration.

The US Estate Tax Trap — Almost Nobody Warns You About This

This is the tax risk that most international investors overlook, and it can be devastating.

Non-US persons face a US estate tax of 40% on US assets above just $60,000 at the time of death. US citizens get an exemption of $15 million per person for 2026 deaths (Public Law 119-21 section 70106; Rev. Proc. 2025-32). You get $60,000.

If you build a $50,000 portfolio across Groundfloor and Lofty, your estate owes nothing. If you build a $200,000 portfolio, roughly $140,000 is exposed to 40% US estate tax — a $56,000 tax bill for your heirs on paper assets.

Some tax treaties (the UK and Germany have particularly favorable estate tax treaties with the US) provide partial protection. Most countries have no treaty at all.

Mitigation strategies include:

• Keeping US crowdfunding exposure below $60,000
• Investing via a non-US corporate structure (more complex, requires professional advice)
• Relying on applicable treaty protections if your country has one

This is not a reason to avoid US real estate crowdfunding entirely, but it is a reason to understand what you are building toward. If your US investment portfolio is expected to exceed $100,000, consult a cross-border estate planning attorney.

Getting an ITIN: The Practical Steps

An ITIN (Individual Taxpayer Identification Number) is a 9-digit number issued by the IRS for people who need to file US taxes but do not have a Social Security Number. You need one to claim treaty withholding rates.

How to apply:

1. Complete Form W-7 (Application for IRS Individual Taxpayer Identification Number)
2. Provide proof of foreign status (certified copy of passport)
3. Submit to the IRS by mail or through a Certifying Acceptance Agent (CAA)

Processing time: 7-11 weeks from receipt.

Strongly recommended: use a Certifying Acceptance Agent (CAA). A CAA is an IRS-authorized third party who can verify your passport without you mailing the original to the IRS. Cost is typically $100-300. Search the IRS CAA directory at irs.gov. Do not mail your actual passport to the IRS unless you have no other option.

Once you have an ITIN, you can submit Form W-8BEN to any platform (Lofty, RealtyMogul) to claim your treaty rate. You may also need to file Form 1040-NR (US Non-Resident Alien tax return) annually. The filing deadline for 1040-NR is June 15 (December 15 on extension).

For a deeper look at US tax obligations, see our guide to real estate crowdfunding taxes.

The Platforms That Work (or Worked) for International Investors

1. Groundfloor — Best Overall

Best for: Investors who want to avoid US tax complexity and maximize net returns.

Groundfloor is a debt-based platform where you fund short-term real estate loans (typically 6-12 months) secured by residential properties. You are the lender, not the property owner.

Why it is the top pick for international investors:

• Open globally — no US tax ID required to invest
• $5,000 minimum via international wire
• Historical returns of approximately 9.8% average
• No US tax forms issued to international investors — Groundfloor does not send you a 1099 or K-1. You receive interest income and self-report according to your own country's tax rules
• The portfolio interest exemption may eliminate US withholding entirely on interest income
• No FIRPTA exposure on debt investments

The tax gap is actually an advantage. Some investors see "no US tax forms" as a risk. In practice, it simplifies things significantly — you handle your own tax reporting in your home jurisdiction. Many European countries tax foreign investment income at rates lower than 30%, so you come out ahead compared to an equity platform withholding 30% upfront.

What to watch: Groundfloor loans are illiquid until the loan matures. You are not getting your money back whenever you want — you wait for the loan to be repaid or sold. Defaults do happen, though Groundfloor's collateral process provides some protection.

Read our full Groundfloor review for the complete picture.

2. Lofty — Best for ITIN Holders

Best for: Investors from treaty countries who have or will obtain an ITIN, wanting income from fractional property ownership.

Lofty offers fractional ownership of rental properties with daily rent distributions. Shares start at $50, making it genuinely accessible. The platform is open globally except for OFAC-sanctioned countries.

The ITIN trap — understand this before you invest:

Without an ITIN, Lofty withholds 30% of all distributions regardless of your country's treaty status. A UK investor without an ITIN pays 30% withholding. The same UK investor with an ITIN and a submitted W-8BEN pays 15% withholding. The ITIN is worth getting.

Key details:

• $50 minimum investment per property
• Daily rent distributions
• Secondary market exists for liquidity
• W-8BEN accepted — reduces withholding to treaty rate (15% for most European countries) with ITIN
• 30% withheld without ITIN even for treaty-country residents

The math: If you earn $200/year on Lofty and you are a UK resident, the difference between having and not having an ITIN is $30/year ($200 × 15% vs $200 × 30%). That is a small amount on a small portfolio — but at $20,000 invested, the difference is $300/year on a ~$900 total return. Get the ITIN.

Read our full Lofty review for setup details.

3. RealtyMogul — Best for Passive REIT Exposure

Best for: International investors wanting passive, diversified US REIT exposure with minimal management.

RealtyMogul's two REIT products — MogulREIT I (income-focused) and MogulREIT II (appreciation-focused) — are accessible to foreign nationals, although both have been closed to new money since July 11, 2025. As REIT shares, they fall outside FIRPTA for holdings below 5%.

Key details:

• $5,000 minimum
• Non-accredited investors can access the REIT products
• Withholding reducible to treaty rates (15%) with W-8BEN + ITIN
• Quarterly distributions
• Less transparent than Groundfloor or Lofty — you own a share of a diversified portfolio, not specific loans or properties

Read our full RealtyMogul review for product details.

The LLC Strategy for EquityMultiple

EquityMultiple requires a US tax ID (EIN) to invest, which normally excludes international individuals. However, non-US investors can form a Wyoming or Delaware LLC remotely — no US visit required — obtain an EIN for that entity, and invest through the LLC.

The mechanics:

1. Form a Wyoming or Delaware single-member LLC online (~$50-100 state fee)
2. Obtain an EIN from the IRS via the online application (free, immediate if you have an ITIN; requires mailing Form SS-4 if you do not)
3. Submit Form W-8BEN-E (the entity version of W-8BEN) to EquityMultiple
4. Invest through the LLC entity

Annual ongoing cost: Wyoming LLC annual report fee is approximately $60/year. Delaware is $400/year (annual LLC tax, 6 Del. C. section 18-1107(b)). Wyoming is the cheaper choice for most investors.

Important limitations:

• This workaround does NOT apply to Fundrise. Fundrise explicitly cannot accept foreign-owned pass-through entities due to their REIT withholding structure.
• The LLC approach adds accounting complexity — you will likely need professional help for the annual US LLC tax filing.
• EquityMultiple is for accredited investors only, which requires meeting income or net worth thresholds.

For most international investors, the LLC route is only worth pursuing if you are a high-net-worth accredited investor specifically wanting access to EquityMultiple's individual deal flow. For most, Groundfloor + Lofty is a simpler and more accessible combination.

Currency Costs: Use Wise, Not a Wire Transfer

This is a practical point that significantly affects your real returns and almost nobody addresses it.

Traditional international wire transfer:

• Outgoing fee: $35-50
• Receiving fee: $10-30
• Bank FX markup: 1-3% above mid-market rate

On a $20,000 investment, traditional wire transfer costs can run $100-200 per year between funding and withdrawals — which represents 5.5-11% of a typical $1,800/year return (9% on $20,000).

Wise (formerly TransferWise):

• Fee: ~0.41% of transfer amount
• Uses the actual mid-market exchange rate — no markup
• On a $20,000 transfer: approximately $82 one-time, no ongoing FX drag

The difference is significant. On a $20,000 portfolio earning $1,800/year, using a traditional bank wire instead of Wise effectively reduces your net return from 9% to roughly 8% or lower. Use Wise or another low-cost transfer service for all platform funding and withdrawals.

Pros and Cons for International Investors

European Alternatives Worth Knowing

If the US tax complexity puts you off, or if you want to diversify beyond US real estate, these European platforms are built for international investors from day one:

• EstateGuru (Estonia, regulated under ECSP): €50 minimum, approximately 9.84% average return, European properties only
• Reinvest24 (Estonia): approximately 14.9% average return, equity model, European properties
• Bricksave (London): $1,000 minimum, explicitly designed for international investors, portfolio includes properties in multiple markets including New York

These platforms operate under EU regulation (European Crowdfunding Service Provider regulation, or ECSP) with clearer frameworks for European retail investors. They are not substitutes for US market access, but they are worth knowing about as complements.

Summary: The Action Plan for International Investors

Here is what to do, in order:

1. Start with Groundfloor. Open globally, no US tax forms, potentially zero US withholding on interest income under the portfolio interest exemption. Wire $5,000 to start. Fill out the W-8BEN.
2. Apply for an ITIN if you are in a treaty country. Use a Certifying Acceptance Agent ($100-300). Takes 7-11 weeks. Required for optimal tax treatment on Lofty and RealtyMogul.
3. Add Lofty once you have your ITIN. The $50 minimum means you can diversify across multiple properties easily. File W-8BEN to claim the 15% treaty rate.
4. Use Wise for all transfers. Not a bank wire. The cost difference on small investment returns is meaningful.
5. Keep US holdings under $60,000 until you understand the estate tax implications. Get advice if you plan to build a larger US portfolio.
6. Ignore Fundrise, Arrived, Ark7, CrowdStreet, and Concreit. They are not open to you and that is not changing.

New to real estate crowdfunding entirely? Read our complete beginner's guide to real estate crowdfunding first.

Frequently Asked Questions