You can buy a share of Raven Tyrell’s townhouse for $5.40. Located in the 8600 block of Ashley Way in Douglasville, Georgia, the home is also a deal for the tenant: The unit is $1,300 a month. While the rent has gone up 18% over the last two years, it is still a steal for Tyrell, her mother and 3-year-old son — and the thousands of investors who have flocked to a real estate investing app called Landa. The three-bedroom, two-bathroom home’s share price on the Landa app has risen 19% in the past six months, but that isn’t because of the real estate’s quality. The house has a roach problem, and the grass — her landlord’s responsibility, per her lease — had grown so long it was taller than her toddler, who couldn’t play in it because snakes had moved in. The phone number she was given to call doesn’t work or gets redirected to a management company. They never respond, and her emails go unanswered. “I feel like this place is abandoned,” Tyrell said. “It could be in the movie where the world just ended because the grass is everywhere. There’s trash everywhere sometimes.” 
She would move, but there aren’t many options for houses in an area where the median rent is 37% higher than what she pays. “If I could, I would move somewhere else that costs the same thing, but in a better location that is not being neglected,” Tyrell said. “I don’t think it’s worth the money we pay.” Tyrell’s landlord, Landa, is a fractional real estate investing startup founded in 2019 by young tech entrepreneurs with no real estate experience to their name. It quietly amassed a real estate portfolio during the low-interest-rate bonanza of 2021 and 2022, raised tens of millions of dollars in venture capital and sold a lofty dream. “Landa was formed with a simple mission, allowing everyone to build their real estate portfolio, share by share,” a March post on the company's blog says. “Transforming properties to shares is game-changing. It creates broader access, new levels of liquidity, better price discovery, and allows more individuals to invest.” Reality hasn't come close to matching that vision. Many investors who bought shares in Landa's houses have been unable to access their money. More than half of the properties Landa has sold shares in have no cash in their accounts and aren't paying dividends. Some investors fear a total loss. Read the full story here. | 
