Fund That Flip is a crowdfunded real estate investing platform that lets accredited investors passively invest in real estate online from $1k. Invest in Real Estate. Earn Passive Income. It's that simple. Invest in our individual Borrower Dependent Notes, or diversify by investing in one of our funds and earn up to 10.8% annual returns either way. They diligence and originate residential loans for experienced developers and rehabbers, secure those loans with a first lien and personal guaranty, and then allow investors to purchase fractional shares of those loans to earn income from the interest and fees. Accredited investors can sign up and start investing same-day. To date, investors on Fund that Flip have invested a Total of over $1 billion dollars on the platform.
How you make money
Fund That Flip's debt investment offerings offer fixed interest rates and term lengths, usually between 3 and 18 months.
Interest payments are made monthly, and investors have the option to receive income or reinvest it upon maturity of the investment.
Horizon Residential Income Fund pays equity investors quarterly distributions.
How Fund That Flip makes money
There are no fees charged on any debt investment offerings by Fund That Flip.
The Fund Manager fee for the Horizon Income Fund is 1% of net asset value plus 20% of net profits after the 8% preferred return has been paid.
Fund That Flip earns revenue from loan origination, in-term extension, and late payment fees, which are shared with investors.
Is it safe?
Fund That Flip’s risk mitigation begins with our relationship-based approach to finding the best developers within stable or growing markets. They specialize in rehabbing or constructing affordable homes that address the significant housing supply shortage caused by years of inadequate development. After vetting these developers’ creditworthiness and the project’s feasibility and profitability, originate just 6% of applications received, record a first lien against each property, secure a personal guaranty, and carefully monitor and manage project progression in-house.
Once originated, begin raising capital and invest alongside our investors to further align our incentives. Fund That Flip further mitigates risk through our regional Territory Managers who visit job sites, dedicated Account Managers who maintain personal relationships with each borrower, an experienced Construction Risk team that evaluates independent, third-party inspections verifying project progression and approve draws on the loans to repay for work already completed, and finally, Collections and Asset Management teams to manage payment or progression issues. All of this is fed to their Investor Relations team who communicate with our investors with best-in-class transparency through our Platform.