This article outlines what CrowdStreet can and cannot accept for Accreditation Verification. The documentation requirements will change based on accreditation criteria.
For Individual, IRA, or Joint Accounts
Income
To be accredited based on income
- individuals must have earned at least $200,000 in gross income the past two years, with the expectation of that continuing in the next year.
- Spouses investing jointly must have earned a minimum of $300,000 in gross income the past two years, with the expectation of that continuing in the next year.
The following documents can be used to verify income:
- W2s for the prior two years
- 1040s for the prior two years with proof of acceptance by the IRS
Net Worth
To be accredited based on net worth, an individual or spouses investing jointly must demonstrate a combined net worth of $1 million dollars, excluding the value of your primary residence.
Required documentation to show proof of assets and proof of ownership are listed below in the “Net Worth and Assets Documentation” section.
In addition to proof of assets, a credit report is required. For a Joint Account, a credit report for each spouse is required.
For Entities
Assets
For the entity to be accredited based on assets, the total assets of the entity must be greater than $5,000,000
- Required documentation to show proof of assets and proof of ownership are The following assets listed below in the “Net Worth and Assets Documentation” section
For the entity to be accredited based on owners, all equity owners regardless of ownership percentage (i.e. 1%)
must be accredited individuals (see requirements above).
- Ensure fully executed formation documents for the entity listing all members is uploaded to the ‘account details’ tab of the Investing Accounts
- Ensure all members are associated as an ‘Investor’ under the ‘account members’ tab of the Investing Accounts
For Trusts
Assets
For the trust to be accredited based on assets, the total assets of the trust must be greater than $5,000,000
- Required documentation to show proof of assets and proof of ownership are The following assets listed below in the “Net Worth and Assets Documentation” section
Underlying Grantors
For the trust to be accredited based on grantors, the trust must be revocable and all grantor must be accredited individuals (see requirements above).
- Ensure fully executed trust documents for the trust listing all grantors is uploaded to the ‘account details’ tab of the Investing Accounts
- Ensure all grantors are associated as an ‘Investor’ under the ‘account members’ tab of the Investing Accounts
For 401ks
Assets
For a 401k to be accredited based on assets, the total assets of the plan must be greater than $5,000,000
- Required documentation to show proof of assets and proof of ownership are The following assets listed below in the “Net Worth and Assets Documentation” section
Underlying Participants
For the 401k to be accredited based on beneficial owners, all participants must be accredited individuals (see requirements above).
- Ensure fully executed trust documents for the trust listing all grantors is uploaded to the ‘account details’ tab of the Investing Accounts
- Ensure all grantors are associated as an ‘Investor’ under the ‘account members’ tab of the Investing Accounts
Net Worth and Assets Documentation
Real Estate
Real Estate (primary residence)
The value of your primary residence does not count towards your assets.
To exclude the mortgage of your primary residence from your total liabilities, provide:
- a recent mortgage statement
- The statement should include the Property Address (this is different from the mailing address of the statement), amount outstanding (which should be in line with the amount reflected on the credit report), and your name.
Real Estate (non-primary residence)
To show proof of value, provide:
- Appraisal or price opinion letter from real estate broker or valuation professional OR
- Screenshot of Zillow.com Zestimate (or the equivalent from another site).
- The screenshot should clearly include the address, Zestimate, and the date.
To show proof of ownership, provide:
- Assessor records or property tax bills
- Name and the address must be clearly legible
- The record must be from the past 12 months
Cash Holdings and Liquid or Semi-Liquid Investments
Bank Accounts, IRAs, CDs, Brokerage accounts, etc
To show proof of value, provide:
- A statement or letter from the firm dated within the last 30 days that states the current market value
To show proof of ownership, ensure that:
- Name is clearly reflected on the statement or letter
Crypto
To show proof of value, provide a statement or letter from the firm dated within the last 30 days that states the current market value.
To show proof of ownership, name must be clearly reflected on the statement or letter.
Illiquid Investments
Annuities, Insurance, etc
To show proof of value, provide a statement or letter from the firm dated within the last 30 days that states the cash value.
To show proof of ownership, name must be clearly reflected on the statement or letter.
Alternative Investment Positions
To show proof of value, provide either:
- A statement or letter from the firm dated within the last 90 days that states the current net asset value (NAV)
- The most recent K-1
To show proof of ownership, name must be clearly reflected on the statement, letter, or K-1.
Private Company Securities
To show proof of value, provide a statement or formal valuation from the company dated within the last 90 days that states the book value.
To show proof of ownership, name must be clearly reflected on the statement or letter.
Ownership of Private Companies
To show proof of value, provide a formal valuation from the company dated within the last 30 days that states the cash value.
To show proof of ownership, provide formation documents indicating your ownership percentage of the company.*
*The cash value should then be multiplied by your ownership percentage to reflect your share of the company.
NFT
Since NFTs do not carry a market or cash value and cannot be valued by a professional appraiser, we are not able to accept snapshots of NFT portfolios.
Tangible Property
Vehicles, Boats, etc.
To show proof of value, provide:
- Appraisal or price opinion letter from RE broker or valuation professional
- Screenshot of Kelly Blue Book estimate (or the equivalent from another site)
- The screenshot must clearly include the make, model, and the date.
To show proof of ownership, provide:
- The title with your name legible.
Personal Property
For example: art, antiques, baseball collection, fine wine & liquor, jewelry and precious gems, livestock, thoroughbred horses, coins, stamps, luxury purses, furs, watches, etc.
To show proof of value, provide an official appraisal or auction house receipt dated within one year.
To show proof of ownership, provide:
- An official appraisal or auction house receipt with your name legible
- A deed or title with the name legible
Additional Notes
Foreign Currency
If any statements or valuations are provided in a currency other than USD, ensure the currency is clearly noted. We will use the Fx rate from the day we review your Accreditation Verification to calculate the exchange rate.