HoneyBricks for Real Estate Investing [An Honest Review]

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Have you ever wondered whether HoneyBricks could be a good option for your investment needs? It’s not always clear as to the ideal investment platform if you’ve been looking to get involved with real estate.

Nevertheless, there are numerous options on the market, and choosing the right investment platform can significantly boost your chances of success with investing. With this thought in mind, today, we’ve outlined some of the key things you need to know about the HoneyBricks platform to help you decide whether it’s the right one for you.

What is HoneyBricks?

HoneyBricks is a specialist real estate investment platform that differs from the majority of others in that it uses asset-backed security tokens for its transactions.

Each token is based on the Ethereum blockchain and represents a single share in a real estate development. This allows buyers to invest in real estate without purchasing an entire property. As such, it provides substantially more freedom overall and could be an excellent solution to consider as part of your decision if you have already been planning on investing in real estate but have been struggling to find an affordable property.

Alternatively, investing in shares in multiple properties can allow you to spread the risk. As such, if one property doesn’t bring in a good return on investment, another may provide better returns overall.

If crypto isn’t for you, check out Doorvest to see if that will work for you better.

How Can I Buy and Sell Shares on HoneyBricks

The HoneyBricks platform offers unique opportunities for buying and selling your shares in a property.

In one case, if you decide that you want a quick exchange, you can sell the shares back to HoneyBricks directly. Alternatively, if this doesn’t seem like a viable option for your real estate transactions, you could instead sell shares on HoneyBricks to other buyers in the secondary market.

All assets bought and sold through HoneyBricks are entirely digital. There is a limit on buying and selling of twelve months; as such, you’ll need to have held an asset for at least a 12-month period before you can sell it back.

Receiving Payments for your Investments

Any dividends and returns of principal earned through your HoneyBricks investments are paid directly to your crypto wallet.

Pros and Cons of HoneyBricks

At this point, we have outlined some key features you need to know about the HoneyBricks platform. But could HoneyBricks be the right investment destination for your needs? This may not always be clear, which is why it’s so important to carefully consider the different investment options and opportunities.

The Pros

• The holding period for all investments through HoneyBricks is just 12 months, the minimum holding period defined by US law. As such, if you’d like to sell your shares quickly, the opportunity is available to do so. By contrast, many other brands require a minimum ownership term of around five years or longer.
• Annual management fees are typically comparable with many other investment platforms.
• The HoneyBricks secondary selling market makes trading and selling tokens substantially easier than is often the case with actual real estate.
• HoneyBricks investors can withdraw their investment income via numerous different avenues, depending on their preferred type of cryptocurrency. This allows investors a greater degree of freedom on their investments.
• If you are already an accredited investor, investing through HoneyBricks provides a simple and seamless transition to access new opportunities.
• The HoneyBricks investment properties are incredibly high-quality, making them appealing to a wide range of audiences and investors alike.
• Opening a new account with the HoneyBricks platform is quick and easy, taking just a couple of minutes to get everything fully established.
• Provides new opportunities for investors that may have otherwise required a very large sum of capital investment to achieve.

These benefits clearly show that the HoneyBricks platform offers a lot of excellent options for investors. However, before you jump onboard, you must first consider some of the main drawbacks of the platform to decide whether it’s right for you.

The Cons        

While there are numerous benefits of investing through the HoneyBricks platform, it’s critical to consider that not every investor will necessarily find it right for them. Some of the most commonly reported drawbacks and concerns surrounding the HoneyBricks platform include:

• The HoneyBricks investment platform is not available for non-accredited individuals, nor is it open for investors outside of the United States.
• Minimum investment fees of $1,000 are higher than some other comparable online real estate investment brands; as such, it’s less effective for small-scale investors.
• The fee structure for HoneyBricks transactions is often not well understood by new investors. Typically, you will pay around 1% annually for management fees, in addition to (up to) 0.2% in transaction fees when you buy or sell.
• Getting in touch with the HoneyBricks team for customer support can be a little difficult since it’s not clear when the official working hours are, and there is no telephone line. However, customers can contact the company either by email or by live chat.
• The HoneyBricks platform doesn’t offer a wide range of different products or services. Similarly, it is also very limited in terms of promotions and offers, limiting the overall opportunities for investors to score a good deal.
• When used for real estate investments, the currently available history and effectiveness of the blockchain is unknown, making these investments something of an “unknown” in the field. This is compounded by HoneyBricks’ new status since the brand only recently launched in 2022.

These drawbacks may leave you wondering whether or not HoneyBricks might be right for you. As such, assessing each of these pros and cons is vital to decide if it’s the right brand for you.

For other unconventional investment choices, check out Agridime and Vint.

HoneyBricks Reviews

HoneyBricks has a 4.3/5 star review on TrustPilot, the general consensus is that HoneyBricks is a great investment opportunity.

“HoneyBricks gave me access to something I couldn’t afford to invest in on my own. HoneyBricks is democratizing real estate investing and making it available to way more people.”

“Very easy to use and super helpful team, I definitely recommended HoneyBricks to my friends.”

Final Thoughts

Investing is risky, and with this thought in mind, ensuring you’ve started with the most reliable and effective investment platform is integral. After all, investing with a professional team is vital to ensure that your funds are as secure as possible. However, even with a reputable investment platform such as HoneyBricks, there is no guarantee that your investment will be secure.

I’d recommend only investing what you’d be willing to lose with this platform, as you’re essentially a guinea pig at this early stage of the platform’s life. In the future, as we get more info and feedback on HoneyBricks, we’ll update this post accordingly.

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