soft reserve is the focus of this guide for passive real estate investors. First, it highlights the main idea behind the topic. It also outlines the risks and questions worth reviewing. As a result, you can approach the discussion with a clearer framework.
What to know about soft reserve
Core ideas for soft reserve
What is a Soft Reserve?
Our offerings are released to you via email. Included in the offering email with the option to submit a soft reserve. You will click on the soft reserve button (or link) to submit your information in order to reserve your spot in the offering.
Risks and tradeoffs
The soft reserve is simply a way for you to reserve your spot in the offering early in the process. Our most recent offering that closed back in October 2019 filled up within 10 days. In addition, since that last offering we have added over 300 more investors to our investor roster. Yes, you heard that correctly.
Each month we are adding between 80-100 new investors and our offerings are filling up quickly.
Questions to ask
Moreover, this soft reserve option is just like it sounds. It is a “soft commitment” to let us know that you have the funds right now to invest. You would like to reserve a certain amount in the offering while you take additional time to review the documentation.
If you decide not to submit your soft reserve until after you have reviewed the documentation. Then you risk losing a space in the offering. In the offering we did back in October 2019. The project filled up so fast that we had over $2,000,000 in additional soft commits that had to be put on a waiting list.
Practical next steps
Submitting Your Soft Reserve
I would strongly encourage you to submit your soft reserve as fast as possible if you are interested at all in investing alongside us on our next offering. You will still have plenty of time to review the documentation prior to making your final decision.
Core ideas for soft reserve
Moreover, if you decide you do not want to invest in the offering after reviewing the documentation in more detail. Then you can simply send us an email to let us know so we can give your spot to another investor that is next in line on the back up investor list.
Three Strikes and You’re Out!
Risks and tradeoffs
One thing to keep in mind is that we do keep a spreadsheet of the investors that habitually submit soft reserves. Then back out after reviewing the documentation. In addition, if you back out of your soft reserve three times in a row. Then you will be automatically removed from our investor roster and will not be notified of our future offerings.
Backing out of three soft commitments in a row also tells us that you may not like the way we structure our offerings. In addition, we are not a good fit for each other. If you have any questions about the soft reserve process you can reach out to our investor relations team who is in charge of this process.
Key takeaways for soft reserve
- Start with the goal and timeline that fit your wider financial plan.
- Next, review the assumptions, risks, fees, and possible outcomes.
- Finally, compare the opportunity with other ways to use your capital.
Put soft reserve in context
Questions to ask
Every investment decision depends on the investor, the deal, and the market. Therefore, use the ideas above as a starting point for deeper due diligence. Review source documents, ask direct questions, and seek qualified advice when needed. For more guidance, explore our passive real estate investing education.
A clear review of soft reserve
soft reserve deserves a clear and practical review. These short checks can support a more informed decision.
- Start with a clear goal.
- Next, define the time horizon.
- Review each key assumption.
- Compare the likely outcomes.
- Test a less favorable case.
- Ask who controls each decision.
- Confirm the fees and incentives.
- Study the market and the deal.
- Check the supporting documents.
- Look for clear communication.
- Compare other choices.
- Keep the full plan in view.
- Write down the main risks.
- Review the source of returns.
- Check the exit assumptions.
- Understand the tax questions.
- Consider the need for liquidity.
- Match the choice to your goals.
- Ask direct follow-up questions.
- Confirm the reporting process.
- Review the operating plan.
- Check the team’s experience.
- Compare the best and worst cases.
- Keep expectations realistic.
- Use qualified advice when needed.
- Document the final decision.
- Review the decision over time.
- Watch for changing conditions.
- Stay focused on the long term.
- Finally, act with a clear reason.