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  • Writer's pictureH Squared Capital, LLC

Invest in More Opportunities by becoming an Accredited Real Estate Investor.

To become an accredited investor, you must meet certain requirements in regards to income, net worth, or professional qualifications. As a real estate investor, it is beneficial to know when you satisfy the criteria of an accredited investor so that you can have access to more investment opportunities. By understanding the requirements and how to qualify, you can easily validate your status as an accredited investor with the appropriate service providers.

What is an Accredited Real Estate Investor?

As an accredited investor, you have access to opportunities that non-accredited investors do not. However, you also need to be aware of the risks involved in these types of investments. Make sure you do your due diligence before investing in any securities.

As a Real estate investor, you should be familiar with the term "accredited investor." An accredited investor is a person or entity who is allowed to invest in certain complex securities that are not registered with the Securities and Exchange Commission (SEC). This includes private Offerings such as Real Estate Syndications and other real estate crowdfunding vehicles.

Who Can Become an Accredited Investor?

According to SEC regulations, accredited investors have more financial knowledge and greater financial resources than ordinary individuals. They are therefore assumed to be financially sophisticated enough to understand complex, unregistered investments and capable of dealing with the associated risks. There is currently no government agency that verifies accredited investor status. In place of an independent board that certifies accredited investors, Real Estate syndicators such as H Squared Capital, LLC and financial institutions who sell unregistered securities must verify the qualifications of their investors before accepting their capital in an investment.

Income Requirement

There are a few ways in which individuals can become accredited investors. The most frequent approach is to fulfill the income standards of an individual who earns $200,000 or more in annual income and couples making $300,000 or more annually. They must be able to provide the proper documentation to the verifying entity that they have the income requirements with the expectation of earning the same amount or more in the coming year.

Net Worth Requirement

Whether you are single or married, if you have a net worth of at least $1 million at the time of investment, this excludes the value of a primary residence, you may also qualify as an accredited investor.

Professional Criteria

The professional criteria require that you hold a general securities representative license (Series 7), the investment adviser representative license (Series 65), or the private securities offerings representative license (Series 82). Additionally, if you are a director, executive officer, or general partner of the company selling the securities (or of a GP of that company), you may qualify as an accredited investor. If you are a “family client” of a “family office” that qualifies as an accredited investor, you may also meet the requirements. Finally, for investments in a private fund, “knowledgeable employees” of the fund may also meet the requirements necessary to be considered an accredited investor.

The Process For Verifying if You Are an Accredited investor

If you're a real estate investor looking to buy unregistered securities in a 506c offering, you'll need to verify that you're an accredited investor. This process typically involves providing detailed information about your finances and having your credit checked. Most Real Estate syndicators have a standard questionnaire that is filled out by the intended investor. This is good practice for your syndicator to assess whether you meet the income or net worth standards. You might be required to provide verification of financial information via tax returns or other paperwork to verify that earnings and assets fulfill expectations. If you're a knowledgeable individual or insider, you'll need to provide evidence of your status. But in most cases, your Syndicator accepts an attestation letter from your certified public accountant (CPA), your tax attorney, your financial advisor, or a reputable online verification source. Once you've gone through the verification process, you'll be able to wire your funds and invest in the 506c offering.


To sum up, there are four ways an individual can become an accredited investor: by meeting income or net worth requirements, holding certain professional designations, being an insider of the company offering non-registered securities, or meeting some combination of these criteria. Real estate syndicators such as H Squared Capital, LLC must verify that their investors are accredited by conducting diligence prior to any sale. By understanding the requirements and knowing how to qualify, you will be able to contact the required service providers with the confidence that you are an accredited investor.

Over at H Squared Capital, we build relationships with the best-in-class multifamily Operators to provide you with income-producing multifamily assets. Let H Squared Capital do the hard work and also accept most of the associated risk while you invest passively and continue doing what you love.

Download your Operations Manual Here. In the Operations Manual, you will learn how passive investors leverage Syndication to create Passive Income in order to grow their wealth for their future generation and create the ability to make an impact!

For more information on how you can get involved in a value-add multifamily syndication deal, please contact me at or Dr. Heath Jones at You can also visit our website at We’d be happy to answer any of your questions and help get you started on the path to financial success through multifamily investing!

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