Nav Athwal, co-founder and CEO of RealtyShares explains to GlobeSt.com that crowdfunding investors put up as little as $5,000 for the deal and as much as $50,000, though the average was close to $12,000. The total raised through crowdfunding for this deal was $750,000. The total funding process was two weeks, but some deals can take mere hours to fund. Athwal entered the crowdfunding arena a year ago.

“As a real estate attorney and broker, I saw a gap in the market and crowdfunding as a way to use technology efficiently to bridge that gap. It's a tremendous way to broaden the source of capital,” says Athwal.

He explains that the investor base is pooled through exposure in places like real estate and business publications, and through public relations campaigns and investors then become part of the RealtyShares community and have access to deals. Athwal makes the analogy to a stock trade account where investors can pick and choose which deals to become involved in.

Crowdfunding attractions for investors are many. Access is not limited. Investors can easily access real estate across state lines. Minimum investments make it possible for tremendous diversification. And the process is streamlined—the investor never has to leave the computer to complete the deal.

Glass tells GlobeSt.com, “I have always liked the project and at the beginning we weren't targeting crowdfunding specifically, but I had been following its rapid growth. I had a first-person look at the process and was quite comfortable with the flexibility that the structure allows. It's a meaningful component of the capital configuration of the market. I don't think anyone next year will be asking what crowdfunding is. Most people still haven't done a crowdfunding deal. I would recommend it to any of my sponsor capital clients. It went perfectly smoothly—like clockwork.”

“Crowdfunding is in its infancy,” says Athwal, “but it's making a strong mark. RealtyShares is innovative in its approach and will emerge as a real way to raise capital in the years to come. It's a real emerging part of the real estate capital market. We're excited to see what 2014 and 2015 bring.”