Topics

All Questions
About the process
Investor Questions
Legal, Compliance and Tax
About the process

How do I invest?

There are 3 simple steps to investing:

1. Browse and Conduct Due Diligence - Review the offering materials, including the real estate investment presentation and investment documents.

2. Invest – If you see a deal you like and want to make an investment, you can move to a secure investment area by clicking on the “Invest Now” button then simply fill in the amount and other investment information.

3. Benefit - Fund the investment by wire transfer or send in a check.

How do I fund my investment?

After you have filled in your investment amount and gone through the electronic documents, you will be provided funding information. To fund an investment you will be provided with wire transfer instructions or you can send us a check for the amount of your subscription. The investment amount will go into the deal bank account. Once the closing is complete, Flip2EarnTM will send you a notification via email that we have closed and you will receive the fully executed documents.

How / when do I receive my distributions?

After an investment is made to acquire a property or in a real estate investment fund but prior to the sale or realization of the investment, your investment may earn a quarterly, semi-annual or annual distribution at the rate of 6% to 10% per annum of the investment amount. Some development and value add real estate investments may initially provide a lower annual distribution. Some real estate private equity funds may delay providing any distribution until after the first or second year of making the investment. An investor’s share of any distributions is generally transferred directly into the same bank account that was initially used by the investor for the contribution of the original investment amount, and typically occurs soon after Flip2EarnTM's receipt of such distributions. Please review the expected distribution schedule for each investment before making an investment. No distributions are guaranteed.

Where does my money go once I commit to making an investment?

A distinct bank account will be utilized for each investment. You can send your money via a wire transfer or mailing a check. Your money will remain in the bank account until the time of closing. Bank wire transfer instructions are provided on the Flip2EarnTM platform and in the Subscription Agreement.

When and how does my money get transferred from the bank account?

After signing and submitting all required documents digitally via Docusign, you can then fund your investment via wire transfer or check to a bank account. When we have received the minimum amount necessary, you will receive a confirmation from Flip2EarnTM that the closing process is complete at which point your funds will be released for the investment from the bank account.

Investor Questions

How do I make money?

You can make money from a Flip2EarnTM opportunity in two ways: 1) distributed cash flow from each of your properties or funds and 2) profit when the property is liquidated. You may also receive certain tax benefits associated with property depreciation.

What is the target return of my investment?

The typical investment will seek to achieve a 10% to 25% rate of return over the life of the investment. This return may include an annual interest or other distribution from the investment, and sometimes this payment may include a preferred return structure. In addition you may get a payment of profits after the property is sold.

What criteria does Flip2EarnTM look for in a real estate private equity fund?

Flip2EarnTM is focused on real estate investment funds that have a track record of audited investment returns, strong property and asset management capabilities, reputable service providers (such as auditors, administrators, banking and financing relationships), and good relationships with prior limited and joint venture equity partners. We will generally only take on investment managers that are on their second, third or fourth fund and can provide detailed evidence of prior experience and capability in the geography and niche focus of the fund for which they are seeking to raise capital. The lead members of the investment manager must clear a criminal and credit check with no felonies, OFAC or SEC violations. The investment manager must also invest in no less than 1% of the targeted value of the fund.

What is the structure of my investment?

You are typically investing in shares or membership interests in a limited liability company established by Flip2EarnTM. In turn, that LLC owns (directly or indirectly), along with the sponsor and other investors, a share of a joint venture entity that owns a specific investment property, like a specific apartment building. An LLC gives you liability protection, shielding your personal assets from the investment. Please find more detailed investment information and risk disclosure in the investment memorandum, presentation or operating agreement for your investment. Potential investors are strongly urged to read the complete set of closing documents in its entirety prior to investing.

What criteria does Flip2EarnTM look for in an investment opportunity?

Flip2EarnTM is focused on investing in real estate investments originated by strong sponsors. Strong sponsors may possess many of the following attributes: (1) verifiable track record of prior sponsored deals amounting to at least $10 million of transactions and 3 deal in last 3 years. (2) the sponsor’s current transaction must be in a similar geography and property type as their past deals, (3) the sponsor must possess strong property and asset management capabilities, (4) have reputable service providers (such as auditors, administrators, banking and financing relationships), (5) good relationships with prior limited and joint venture equity partners, (6) invest 10% of the equity of the deal, net of sponsor transaction fees, (7) clear a criminal and credit check with no felonies, OFAC or SEC violations. Regarding the sponsor’s property, it must have (1) financial reports indicating a history of positive cash flow performance, (2) strong indications that the property's positive performance will continue for at least the next five years related to geography, demographics or a value add component, and (3) the properties should produce a targeted preferred return of 6% to 10% with a targeted IRR of 10% to 20%.

Legal, Compliance and Tax

How do you keep my personal information secure?

We go to great lengths to ensure the security of all our members and our data and use Secure Sockets Layer. SSL is the standard security technology for establishing an encrypted link between a web server and a browser. We use 128-bit encryption, which is the same level of encryption used by top national banks. We are also regularly audited by third party security firms to ensure compliance with the most rigorous security standards. For added protection, we never store your banking information on our servers and we automatically log you out of your account after a period of inactivity.

What are the tax implications of investing in a Flip2EarnTM opportunity?

Investments listed on Flip2EarnTM will be structured as LLCs, which act as “pass-through” entities for tax purposes. This is done to avoid double taxation. Since the LLC pays no corporate income tax; profits, losses and depreciation can be passed through to the investors, as applicable. The significant advantage of an investment in real estate in a sponsored deal on Flip2EarnTM is that the investor will receive a tax deduction for their share of the depreciation which may reduce the tax liability on income received. So, the attractive return from investing in an income producing property may be even more attractive if taxes are reduced on some of that income. You should speak to your own accountant, attorney, or tax advisor to understand how a Flip2EarnTM investment will impact your specific tax situation.

What is your real estate investment evaluation process?

Flip2EarnTM maintains an extensive network of real estate investment sponsors who seek to finance their real estate acquisitions. Our team leverages this network to source and select only the highest quality opportunities for our investors.

Does Flip2EarnTM provide investment advice?

No. We and our affiliates do not make any recommendations or provide any investment advice.

What do I own when I invest through the Flip2EarnTM Platform?

You will own a membership interest or a share in a limited liability company. You're purchasing rights to a portion of the entity which will invest in the property acquisition company or in a real estate private equity fund.

All Questions

How do I invest?

There are 3 simple steps to investing:

1. Browse and Conduct Due Diligence - Review the offering materials, including the real estate investment presentation and investment documents.

2. Invest – If you see a deal you like and want to make an investment, you can move to a secure investment area by clicking on the “Invest Now” button then simply fill in the amount and other investment information.

3. Benefit - Fund the investment by wire transfer or send in a check.

How do I fund my investment?

After you have filled in your investment amount and gone through the electronic documents, you will be provided funding information. To fund an investment you will be provided with wire transfer instructions or you can send us a check for the amount of your subscription. The investment amount will go into the deal bank account. Once the closing is complete, Flip2EarnTM will send you a notification via email that we have closed and you will receive the fully executed documents.

How / when do I receive my distributions?

After an investment is made to acquire a property or in a real estate investment fund but prior to the sale or realization of the investment, your investment may earn a quarterly, semi-annual or annual distribution at the rate of 6% to 10% per annum of the investment amount. Some development and value add real estate investments may initially provide a lower annual distribution. Some real estate private equity funds may delay providing any distribution until after the first or second year of making the investment. An investor’s share of any distributions is generally transferred directly into the same bank account that was initially used by the investor for the contribution of the original investment amount, and typically occurs soon after Flip2EarnTM's receipt of such distributions. Please review the expected distribution schedule for each investment before making an investment. No distributions are guaranteed.

Where does my money go once I commit to making an investment?

A distinct bank account will be utilized for each investment. You can send your money via a wire transfer or mailing a check. Your money will remain in the bank account until the time of closing. Bank wire transfer instructions are provided on the Flip2EarnTM platform and in the Subscription Agreement.

When and how does my money get transferred from the bank account?

After signing and submitting all required documents digitally via Docusign, you can then fund your investment via wire transfer or check to a bank account. When we have received the minimum amount necessary, you will receive a confirmation from Flip2EarnTM that the closing process is complete at which point your funds will be released for the investment from the bank account.

How do I make money?

You can make money from a Flip2EarnTM opportunity in two ways: 1) distributed cash flow from each of your properties or funds and 2) profit when the property is liquidated. You may also receive certain tax benefits associated with property depreciation.

What is the target return of my investment?

The typical investment will seek to achieve a 10% to 25% rate of return over the life of the investment. This return may include an annual interest or other distribution from the investment, and sometimes this payment may include a preferred return structure. In addition you may get a payment of profits after the property is sold.

What criteria does Flip2EarnTM look for in a real estate private equity fund?

Flip2EarnTM is focused on real estate investment funds that have a track record of audited investment returns, strong property and asset management capabilities, reputable service providers (such as auditors, administrators, banking and financing relationships), and good relationships with prior limited and joint venture equity partners. We will generally only take on investment managers that are on their second, third or fourth fund and can provide detailed evidence of prior experience and capability in the geography and niche focus of the fund for which they are seeking to raise capital. The lead members of the investment manager must clear a criminal and credit check with no felonies, OFAC or SEC violations. The investment manager must also invest in no less than 1% of the targeted value of the fund.

What is the structure of my investment?

You are typically investing in shares or membership interests in a limited liability company established by Flip2EarnTM. In turn, that LLC owns (directly or indirectly), along with the sponsor and other investors, a share of a joint venture entity that owns a specific investment property, like a specific apartment building. An LLC gives you liability protection, shielding your personal assets from the investment. Please find more detailed investment information and risk disclosure in the investment memorandum, presentation or operating agreement for your investment. Potential investors are strongly urged to read the complete set of closing documents in its entirety prior to investing.

What criteria does Flip2EarnTM look for in an investment opportunity?

Flip2EarnTM is focused on investing in real estate investments originated by strong sponsors. Strong sponsors may possess many of the following attributes: (1) verifiable track record of prior sponsored deals amounting to at least $10 million of transactions and 3 deal in last 3 years. (2) the sponsor’s current transaction must be in a similar geography and property type as their past deals, (3) the sponsor must possess strong property and asset management capabilities, (4) have reputable service providers (such as auditors, administrators, banking and financing relationships), (5) good relationships with prior limited and joint venture equity partners, (6) invest 10% of the equity of the deal, net of sponsor transaction fees, (7) clear a criminal and credit check with no felonies, OFAC or SEC violations. Regarding the sponsor’s property, it must have (1) financial reports indicating a history of positive cash flow performance, (2) strong indications that the property's positive performance will continue for at least the next five years related to geography, demographics or a value add component, and (3) the properties should produce a targeted preferred return of 6% to 10% with a targeted IRR of 10% to 20%.

How do you keep my personal information secure?

We go to great lengths to ensure the security of all our members and our data and use Secure Sockets Layer. SSL is the standard security technology for establishing an encrypted link between a web server and a browser. We use 128-bit encryption, which is the same level of encryption used by top national banks. We are also regularly audited by third party security firms to ensure compliance with the most rigorous security standards. For added protection, we never store your banking information on our servers and we automatically log you out of your account after a period of inactivity.

What are the tax implications of investing in a Flip2EarnTM opportunity?

Investments listed on Flip2EarnTM will be structured as LLCs, which act as “pass-through” entities for tax purposes. This is done to avoid double taxation. Since the LLC pays no corporate income tax; profits, losses and depreciation can be passed through to the investors, as applicable. The significant advantage of an investment in real estate in a sponsored deal on Flip2EarnTM is that the investor will receive a tax deduction for their share of the depreciation which may reduce the tax liability on income received. So, the attractive return from investing in an income producing property may be even more attractive if taxes are reduced on some of that income. You should speak to your own accountant, attorney, or tax advisor to understand how a Flip2EarnTM investment will impact your specific tax situation.

What is your real estate investment evaluation process?

Flip2EarnTM maintains an extensive network of real estate investment sponsors who seek to finance their real estate acquisitions. Our team leverages this network to source and select only the highest quality opportunities for our investors.

Does Flip2EarnTM provide investment advice?

No. We and our affiliates do not make any recommendations or provide any investment advice.

What do I own when I invest through the Flip2EarnTM Platform?

You will own a membership interest or a share in a limited liability company. You're purchasing rights to a portion of the entity which will invest in the property acquisition company or in a real estate private equity fund.