Ark7

Ark7 is a San Francisco fractional real estate platform, founded in 2018 by former Google engineer Andy Zhao, that sells shares of individual US rental properties. Each property sits in its own series LLC and standard offerings are qualified under SEC Regulation A, so they are open to any US investor 18 or older with no accreditation requirement; a separate Ark7+ fund is accredited-only. Shares start at $20, and the company reported 300K+ active investors, more than $30 million in property value funded, and over $4 million in cash dividends paid across 10 markets as of May 2026. The economics are simple to describe and heavy in practice. Ark7 takes a one-time sourcing fee of about 3% of the property price at offering, then keeps 8 to 15% of rental income as a management fee: typically 10% on long-term rentals and up to 15% on short-term rentals. Remaining net rent is distributed monthly. Ark7 publishes no return target; an April 2026 independent review measured roughly 4.2 to 4.5% cash yield across the portfolio, with any price appreciation on top and none of it guaranteed. Liquidity is real but limited. Every purchase carries a 12-month minimum hold, after which shares can be listed on Ark7's integrated trading market, operated through PPEX ATS, an SEC-registered alternative trading system. Fills depend entirely on buyer demand, each buyer's shares restart their own 12-month clock, and Ark7's own offering language warns that a secondary market may be limited, illiquid, or unavailable to residents of certain states. These are not exchange-listed securities. Scale is the other caveat. Roughly $30 million funded over eight years makes Ark7 a small platform, and reviewers flag its limited operating history through a full real estate cycle and venture backing of about $11 million. Shareholders have no say in property management decisions. IRA accounts are available (traditional and Roth) with a $100 per property annual custodial fee, capped at $400 and waived above a $100,000 balance. Ark7 fits investors who want small, recurring positions in specific rental homes, value monthly income, and can leave money parked for at least a year per purchase. Skip it if you may need to exit at a predictable price, want broad diversification quickly, or if handing over up to 15% of rent plus a 3% entry fee breaks your return math: a public REIT index fund is cheaper, more diversified, and liquid on any trading day.