With all investments there is risk. However, as seen in the latest statistics, the Vacation Rental Property industry was unique in its ability to continue performing during Covid. Further, our portfolio purchase model follows very strict guidelines, both financial (ADR and historic occupancy), and in the physical location (Airlift, tourism level and longevity, internal and external amenities and attractions, etc). Not all properties make the grade with ResClub. Only those that perform above an 8.5 or above on our purchase scale (1 to 10).
The only agreement ResClub has with a 3rd party travel and services provider, and it is for 10 years. Advertising, CRM, IT, Mobile App, etc are also third party agreements and have various terms and conditions.
ResClub invests in Vacation Real Estate in proven, high demand markets with low seasonality as a growing hard asset-based portfolio. ResClub has an internal set of economic standards that must be met before an acquisition is considered.
12-month term 15% annualized return for US Assets, 18% annualized returns for International assets. Dividend payment is made the last month of each quarter. Final payment includes the original investment. These are held as Senior Debt and directly secured to the property package in each syndication. This is a Real Estate Debt Investment.
The ratio limit of members per unit within the ResClub system is 4 to 1. Residence rental occupancy is guaranteed to the Club by an international vacation rental property company. Risk from underperforming rental returns is therefore minimized. ResClub members reserve their desired weeks usage and dates, and the remainder of the available rental dates then have a guaranteed rental usage.
To ensure high occupancy, excellent vacation rental rates, and a guaranteed annual return for our investors, we partnered with the premier travel intermediary, an international travel and vacation rental property company. Their global reach and robust booking system help provide ResClub® with the scalability to expand into new markets across the globe. Better yet, Access guarantees rental occupancy, eliminating the risk from underperforming rental returns.
For those wishing vacation usage, member/investors need to make their reservations for their use weeks by August 1 of the year prior to the use year. Any booking of their time after August 1 will be based upon availability at time of booking.
The sources of income for ResClub are Vacation Rental and Rental Bookings. The value of the membership investment is held in the minimum 30% equity we maintain in each Club property. Five years is the average scheduled hold for most properties within the ResClub portfolio. Buyback is achieved by reserves from income and equity held in properties. Additionally, we carry a $50 million balance sheet reserve for emergencies.
During the investment process, you may be required to affirm that you are an accredited investor. Different offerings may require different levels of proof, and may have different methods to provide that proof. Review instructions carefully while you go through the investment process.
During the investment process, you will receive specific instructions about how you are to sign any documents. Each offering may use it's own method of signing, so review instructions carefully during the investment process.
During the investment process, you will receive specific instructions for that offerings method of payment. The method of payment is specific to each project, so carefully review each step of the investment process.
You may receive updates from the project issuer on the status and progress of the project. You will be notified directly of these updates, and they may be viewed on the project itself under the update section.
Different types of offerings allow for different investors. Some types of offerings require that you be an accredited investor, while others allow everyone the opportunity to invest. Some offerings may even require that you live within a certain area to invest. Knowing what kind of investor you are will help you understand in which offerings you may invest.
The amount of funding you can invest depends on your status as an investor, the governing regulation and limits the issuer has chosen to place. When you begin your investment, you will be shown both the maximum and minimum investment limits.
If an offering hasn't reached it's funding goal by the end of a funding round, the project will close and your committed funds will be refunded. You should expect to receive a refund within 10 business days.
No, you are not assessed any fees for your investment in any investment round. The fees associated with running the project, accrediting you as a qualified investor, placing the funds received into escrow and so on are paid by the issuer.