Roofstock Review – Scam or Legit?

If you want to invest in the real estate market, you might have heard of Roofstock. However, since it requires a hefty down payment to begin, you might feel insecure and wonder if Roofstock is a scam.

To give you an answer, I’ve spent some time conducting in-depth research on this issue and hopefully the information included in this article can help you make a more informed decision on whether to use the service of Roofstock.

Since you might be looking for a good way to make extra money, at the end of this article, I’ll tell you a training platform that can help you start a business online and create steady passive income at zero risk.

Below is what I’ll cover in the review of Roofstock.

What is Roofstock about?

Roofstock is an online platform that allows you to buy rental homes. It connects buyers and sellers of single-family home units.
Listed properties are subject to the inspection of data scientists and a team of professionals who conduct due diligence on tons of properties before putting forth the best single-family rental properties for sale.
Is Roofstock a Scam? [ Review 2020]

How does Roofstock work?

Roofstock is an online real estate marketplace that acts as a broker between buyers and sellers, handling all the procedures and providing the necessary information to make the transaction.

You don’t have to qualify as an accredited investor to invest in Roofstock properties.

On Roofstock, you are purchasing the property outright. Since most home units are already rented, you can expect to receive cash flow on day one.

After you have made the investment, you can choose to use an affiliated property manager via Roofstock. But it is not compulsory.

Roofstock Pricing Structure

On Roofstock, sellers pay a commission of 2.5% fee or $500 (whichever is greater) and buyers are charged ½ of one point (a point is a percentage of the agreed-upon price — ½ point of a $100,000 property is $500) or $500, whichever amount is greater.

The Key Features of Roofstock

  • Free to join: You can register a free account and immediately look for the opportunities of real estate investment on the platform of Roofstock.
  • Certified Properties: The listed properties on Roofstock have been vetted and reviewed by professionals.
  • User-friendly platform: The searching tools are simple and allow you to find out the properties that meet your requirements in a few minutes.
  • Turnkey: Roofstock handles all the legwork required for purchasing a property. You can buy a property without stepping foot in it.
  • 30-day guarantee: Every property comes with a 30-day guarantee. If it doesn’t live up to your expectation, you can ask for a refund.

Is Roofstock a Scam?

Roofstock is a legit company which is far from being a scam. However, we must recognise that there are some problems with Roofstock.

  • Large Down Payment: Like any other property, you can always apply for a mortgage. However, as a lender, you are required to settle a sizable down payment of 20 to 30% for homes that are not the owner’s primary residence
  • Highly illiquid: Since you are buying a home from Roofstock, you can’t expect to get back your money before it is sold. In most cases, it’s always much easier to buy a rental property than selling it.
  • You need emergency cash: As a rental property investor, you are responsible for fixing the problems of your tenant. For example, when a dishwasher is broken, your tenant will expect a repairment immediately. Hence you have to reserve some cash to deal with the typical incidents such as maintenance and tenant turnovers.

Is There a Safer and Better Alternative to Make Passive Income?

Although investing is one of the most popular ways to grow your wealth and give you some passive income, the property market is far more risky than you think.

Any property investment requires a large capital upfront. Since you are paying the market price for a whole house, any fluctuation in the market might result in a loss of thousands of dollars or even more.

So if you really want to make a stable and secure stream of passive income, I would suggest you starting an affiliate marketing business online instead.

Affiliate Marketing is perfect for anyone who is new to online business.

In fact, of all the online business models I’ve tried, affiliate marketing is the easiest and most rewarding so far.

In affiliate marketing, you can actually run your business almost with zero cost and achieve a steady and sustainable passive income to pay for your bills. You don’t need any initial capital and can even do it as a side hustle.

And if you really want to learn affiliate marketing and build a business from scratch, I’d recommend you to get started with the most reputable platform for affiliate marketing: Wealthy Affiliate.

Wealthy Affiliate is an all-in-one platform for building your affiliate marketing business from scratch. It offers you a free account (including a free website) with comprehensive training on SEO (free traffic methods), which enables you to get started with affiliate marketing right away without paying a penny.

But How Much Can You Earn with Wealthy Affiliate?

A 21-year old student from Wealthy Affiliate was able to earn $7,395 in just 1 week, which means he made more than $1k a day…all while using free traffic methods.

Is Roofstock a Scam?

Wealthy Affiliate has existed for 15  years and there are many success stories in the past decade.

To give you more examples, here are some of the other inspiring success stories of Wealthy Affiliate members.

Where to Join Wealthy Affiliate?

Wealthy Affiliate has a very simple pricing scheme. It has free and premium membership.

If you want to feel about Wealthy Affiliate, you can sign up for the free starter membership here (no credit card required). You can select to be a free member with no time limit.

And as a starter member, you can get instant access to the community, live chat, over 500 training modules, 2 classrooms, networking, commenting, 1 free website, access to the keyword tool.

You can enjoy all these values without paying a penny.

So I strongly recommend you to register a free account and see it yourself.

Recommendation: Here’s The Best Alternative

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