Understanding fee structures is critical when evaluating fractional real estate investing platforms. Fees directly affect your net returns, and when rental income is limited, multiple charges can consume a substantial portion of distributable cash flow.
Realbricks, a fractional real estate platform offering securities under SEC Regulation A, operates through a structure with acquisition, management, and disposition fees. This article breaks down Realbricks' disclosed fees in 2026, how those fees are calculated, and how its approach compares with other real estate investment models.
Disclaimer: The information provided in this guide is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult with a licensed professional before making any financial or investment decisions.
Key Takeaways
Realbricks' SEC offering documents disclose several fee types, including a 0.75% quarterly asset management fee (3% annually), an 8% property management fee on gross rental receipts, sourcing fees of up to 7% of property purchase price, and disposition fees of 6% to 8% upon property sales
Upfront charges vary by offering and use different calculation bases. For example, the 2026 Melwood offering allocated 2.5% of gross offering proceeds to brokerage commissions, 3% to offering expenses, and 6% to a sourcing fee
Realbricks' manager waived certain asset and property management fees during 2024 and 2025. The issuer's 2026 interim financial disclosures also describe management-fee accruals and outstanding amounts owed to its manager, Terra Mint
Different platforms calculate fees using property purchase price, offering proceeds, invested equity, rental income, or distributable cash flow. These percentages are not directly comparable without accounting for their calculation bases
Realbricks has introduced a phased secondary marketplace for eligible investments, with a 1% broker-dealer/alternative trading system fee and a $2.50 platform fee per completed transaction. Resale depends on matching buyers and sellers and is not guaranteed
Understanding Fractional Real Estate Investment Platforms and Their Fee Structures
Common Fee Types in Fractional Real Estate
Fractional real estate platforms use different fee mechanisms that generally fall into three categories: upfront costs, ongoing charges, and exit fees. Understanding these fee layers matters because each can affect the amount ultimately available to investors.
Upfront fees may include:
Sourcing or acquisition fees covering property identification and due diligence
Placement commissions paid to broker-dealers facilitating securities transactions
Offering expense reimbursements covering legal, administrative, and other issuance costs
Ongoing fees may include:
Asset management fees calculated on property value, invested equity, or another defined asset base
Property management fees deducted from rental income
Renovation or capital improvement fees associated with property upgrades
Exit fees may include:
Disposition fees charged when the underlying property sells
Secondary market transaction fees on eligible purchases or sales of investment interests
Even modest recurring fees can have a meaningful cumulative effect over a multi-year holding period. However, differences between two fee percentages should not be treated as equivalent dollar costs unless their calculation bases are the same.
Comparing Fee Models: REITs vs. Fractional Ownership
Real Estate Investment Trusts (REITs) and fractional ownership platforms can operate under different fee structures. For example, Fundrise has historically disclosed a 0.85% annual real estate fund management fee plus a 0.15% advisory fee for its standard real estate offerings, although other products may have different expenses.
Property-specific fractional platforms may use acquisition, sourcing, asset management, and property management fees tied to individual assets.
Some property-specific LLC structures can provide potential tax benefits, including depreciation allocations, depending on their tax classification and the investor's circumstances. Other platforms issue different tax forms and may not pass property-level deductions directly to investors.
Neither structure is automatically more cost-effective. The comparison depends on the complete fee schedule, investment terms, and underlying property economics.
Realbricks' Complete Fee Structure in 2026
The Fee Types You Need to Know
Realbricks operates through Neptune REM, LLC, a series limited liability company associated with Terra Mint Group Corp. Its relevant investment offerings are disclosed through SEC Regulation A filings.
Based on Neptune REM's 2026 offering documents, Realbricks' investment structure includes multiple fees across different stages of property ownership.
Upfront Fees:
Placement commissions: Broker-dealer commissions vary by offering. The 2026 Melwood offering allocated 2.5% of gross offering proceeds to brokerage commissions
Offering expenses: The Melwood offering allocated approximately 3% of gross proceeds to offering costs
Sourcing fees: Up to 7% of property purchase price under the disclosed management arrangements, with actual offering allocations varying by property
Ongoing Fees:
Property management fee: Generally 8% of gross monthly rental receipts
Asset management fee: 0.75% quarterly, equivalent to 3% annually. The offering circular describes this fee using the property's purchase price, while financial-statement disclosures include additional descriptions of the applicable asset base
Renovation fee: Up to 5.5% of qualifying capital improvement costs
Secondary Market Fees:
Broker-dealer/ATS fee: 1% of a completed secondary market transaction
Platform transaction fee: $2.50 per completed trade
Exit Fees:
Disposition fee: Generally 6% to 8% of the gross property sale price
Managing member participation: Generally 20% of qualifying liquidation distributions after the applicable return of members' original capital contributions, subject to the governing agreement
Additional reimbursement and advance-related charges may apply under particular offering terms. These fee categories should not be treated as an exhaustive or universally identical schedule across every Realbricks property.
What Fees Actually Look Like in Practice
Although Realbricks documents describe sourcing fees of up to 7% of property purchase price, the percentage shown in a use-of-proceeds disclosure may be expressed against a different base.
For example, the Melwood Series' May 2026 offering circular disclosed approximately $327,440 in projected gross proceeds, allocated as follows:
Brokerage commissions: $8,186, representing 2.5% of gross offering proceeds
Offering expenses: $9,823, representing 3% of gross offering proceeds
Sourcing fee: $19,600, representing 6% of gross offering proceeds
Acquisition expenses: $3,274, representing 1% of gross offering proceeds
Operating reserve: $6,557, representing 2% of gross offering proceeds
The sourcing fee also equals 7% of the property's $280,000 purchase price. This illustrates why the same fee can appear as different percentages depending on the denominator.
In this example, brokerage commissions, offering expenses, and sourcing fees together represented 11.5% of gross offering proceeds. Acquisition expenses were separately budgeted, while the operating reserve was capital set aside rather than a platform fee.
The SEC use-of-proceeds disclosure provides the projected allocations.
Other historical properties also had different sourcing-fee amounts. The issuer's filings listed $21,600 for Blanton and $18,068 for Dalmore. These figures are property-specific and do not establish one universal fee percentage for every offering.
Fee Accrual Status: An Important Consideration
A distinction between contractual fees, recognized accounting expenses, and actual cash payments is relevant to Realbricks' financial reporting.
Neptune REM's historical SEC financial disclosures state that its manager elected not to charge asset management fees or the ongoing 8% gross-rental-income management fee during 2024 and 2025.
The issuer's subsequent 2026 financial disclosures provide additional context about recognized expenses, related-party obligations, and liquidity.
As of June 30, 2026, Neptune REM reported:
Cash and cash equivalents: $3,664
Consolidated working capital deficit: $504,614
Continued reliance on additional funding: Identified in its financial disclosures as part of its operating and liquidity considerations
The financial statements also discuss amounts owed to related parties, including Terra Mint. The distinction between a fee being incurred and a fee being paid in cash matters when interpreting these obligations.
These figures describe Neptune REM's reported financial position at a specific date. They do not establish that every property or investor experienced the same outcome.
Evaluating Real Estate Platforms Beyond Fees
What Returns Should You Expect After Fees?
Realbricks published company-reported property-level results for the third quarter of 2026, showing different distribution outcomes across its rental properties.
Those results varied by property and reflected differences in occupancy, rental income, and operating costs. Some properties made quarterly distributions, while others did not generate distributable income for that period.
This illustrates why a property's gross rental yield should not be treated as an investor's net return. Net results can be affected by:
Asset and property management fees
Property taxes, insurance, and maintenance
Vacancy periods and tenant turnover
Capital expenditures
Financing and other applicable expenses
A gross property yield of 6%, for example, does not automatically translate into a 6% investor return. The applicable expenses must be calculated using their actual fee bases before determining distributable cash flow and total investment performance.
The Importance of Fee Transparency
Realbricks' fees are disclosed across SEC filings, offering circulars, financial statements, and property-specific use-of-proceeds disclosures.
However, different charges may be described using different denominators, which makes a single headline percentage insufficient for calculating total investment costs.
A comprehensive fee comparison distinguishes:
Fees calculated on property purchase price
Charges calculated on total offering proceeds
Ongoing fees based on defined asset value
Management fees deducted from gross rent
Disposition fees and profit participation at exit
Presenting these components separately helps explain how the overall investment structure affects potential net returns.
Secondary Market Liquidity and Exit Costs
Understanding PPEX and Secondary Trading Fees
Realbricks has introduced secondary trading for eligible interests through a phased marketplace rollout using alternative trading system infrastructure.
The Dalmore Series was identified as the initial participating offering, with other properties becoming eligible subject to applicable requirements.
Disclosed secondary-market costs include:
1% broker-dealer/ATS fee per completed transaction
$2.50 platform transaction fee per completed trade
Secondary market trading differs from the sale of the underlying property. Investors place orders for eligible investment interests, with execution dependent on matching terms and available counterparties.
While secondary trading can provide additional options for fractional real estate investments, access to a marketplace does not guarantee liquidity.
Key limitations include:
Buyer demand: A completed sale requires a matching buyer
Price: Sale proceeds depend on the transaction price accepted by both parties
Eligibility: Not every offering is necessarily available for secondary trading
Execution: Orders may remain unfilled, partially fill, or not execute at all
The secondary-market fees also mean that proceeds from a sale may be lower than the transaction's gross value.
The Role of Blockchain in Reducing Platform Costs
How Technology Could Lower Fees
Blockchain technology may reduce certain administrative costs associated with recording and transferring investment interests.
Potential applications include:
Digital transaction records
Automated administrative workflows
More transparent ownership-record histories
Infrastructure supporting eligible secondary-market transfers
Reduced manual processing for certain intermediary functions
However, blockchain adoption does not automatically eliminate securities compliance, custody, asset management, legal, or property operating expenses.
The legal rights associated with tokenized interests remain governed by the applicable investment documents and legal framework.
Why mogul Offers a Different Approach to Fees and Returns
When comparing fractional real estate platforms, mogul offers a different fee structure and investment model.
Founded by Goldman Sachs real estate alumni with more than $10 billion in collective deal experience, mogul applies institutional underwriting to property-specific residential real estate investments.
Key differentiators include:
One-time platform fee: A 5% fee calculated on property purchase price and capitalized into the deal, with no recurring platform fees
Historical performance: A company-reported 18.8% average annual IRR as of June 1, 2026, representing historical performance rather than a guaranteed future result
First-year loss protection: Up to $10,000 in qualifying losses on investments made during an eligible new member's first seven days, assessed after one year and subject to the promotion's terms
Property selection: Fewer than 1% of reviewed properties pass mogul's stated due diligence process
Property-specific ownership: Investors hold membership interests in LLCs associated with identifiable residential properties
Monthly distribution potential: Distributions may be available when properties generate distributable net rental income
Mogul also reports that it invests alongside members in the properties offered through its investment-club model. Co-investment can align financial interests, although it does not guarantee investment performance.
The platform's one-time fee model differs from Realbricks' structure, which includes recurring asset management charges calculated on the applicable property asset base.
For investors evaluating different fee structures, mogul provides an alternative centered on property-specific LLC interests, institutional underwriting, and a one-time platform-fee model. More information is available through how mogul works.
Disclaimer: The information provided in this guide is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult with a licensed professional before making any financial or investment decisions.
Frequently Asked Questions
How do Realbricks' fees compare to mogul's fees?
Realbricks charges multiple fees, including sourcing, asset management, property management, and disposition fees, with each calculated on a different basis. In comparison, mogul charges a one-time 5% platform fee, capitalized into the property investment, with no recurring platform fees. This simpler fee structure distinguishes mogul's investment model from platforms with multiple recurring charges.
What happens if Realbricks cannot pay its accrued fees to Terra Mint?
Neptune REM's SEC disclosures identify management fees recognized as expenses and outstanding related-party obligations to Terra Mint. As of June 30, 2026, the company reported limited cash reserves and a working capital deficit. The filings do not establish how these obligations will ultimately be settled, and any resolution would depend on contractual terms and the company's financial circumstances.
Does mogul offer monthly rental income and first-year loss protection?
mogul provides potential monthly distributions from available net rental income when properties generate sufficient cash flow, although payments are not guaranteed. The platform also offers eligible new members up to $10,000 in first-year loss protection on qualifying investments made during their first seven days. Coverage is assessed after one year based on aggregate total return and is subject to the promotion's terms.
Can I avoid Realbricks' disposition fee by selling on the secondary market?
Selling eligible Realbricks investment interests through PPEX is separate from selling the underlying property, so a secondary transaction does not itself trigger the property-level disposition fee. However, eligible trades incur a 1% broker-dealer/ATS fee and a $2.50 platform fee per completed transaction. Secondary trading is available only for qualifying offerings, and completed sales depend on finding a matching buyer at an acceptable price.
How do I calculate my true net return after all Realbricks fees?
Net returns depend on rental income, operating expenses, and all applicable investment fees. Realbricks' disclosed charges include an 8% property management fee on gross rental receipts, a 3% annual asset management fee calculated on the applicable property asset base, and potential acquisition and disposition costs. Actual returns also depend on ownership percentage, distributions, and eventual sale proceeds. Investors can use mogul's free investment property calculator to model different return scenarios, although projections are not guaranteed.