FAQ

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Frequently Asked Questions

Navigating the world of Real Estate can be intimidating. We are here to help! But if you would like to do a little reading on your own, here is a list of frequently asked questions. Please contact us if you have any questions.

Am I eligible to invest?

Yes, our opportunities are available to both Sophisticated and Accredited Investors.  We invite you to schedule a call with our investment team to learn more about future opportunities and the minimum investment amounts for our upcoming investments. 

You can schedule a call with a REEP team member by clicking the Get Started link and providing a few details about yourself. Get Started

What types of accounts can I invest through?
Personal investment accounts, joint accounts, certain entity accounts, and self-directed IRA accounts can be used to fund an investment.
Can I invest through my retirement savings account?
Yes, you can invest through your self-directed IRA or solo 401(k). Please check with your IRA custodian to ensure they will allow you to place an investment and contact us at invest@reepequity.com for further assistance. We can also recommend custodians if you need help moving your IRA.
How does investing with REEP Equity work?

Once you create an account, you will be prompted to schedule a call with our team.  Through this call, we will be able to learn more about you and have the opportunity to tell you more about us.  After the call, you will be given full access to our investor portal, you will be able to review our investment opportunities, and sign up for future webinars. Once you’re ready to invest, our platform will prompt you with any questions necessary to complete your investment documents online. Then, we will notify you on how to fund your investments through our online platform. 

As an investor, you will have access to your portfolio details in the portal and you will receive quarterly updates on how your investments are performing. Each opportunity varies, distribution forecasts and other details will be provided during the webinar for each opportunity.

Schedule a call with a REEP team member by clicking the Get Started link and providing a few details about yourself. Get Started

What is my investment used for?

Investor funds are used to acquire and improve the property.  The total expenses include but are not limited to purchase price, acquisition fees, legal and transaction costs, capital projects, insurance and reserves.

How frequently can I expect to receive distributions?

The timing and amount of distributions will vary with each property.  Distributions typically occur quarterly, with some properties providing monthly payments.  The anticipated schedule for each property is provided during the introductory webinar for each investment.

How are distributions paid?

When you fill out your subscription documents you will be asked to provide your ACH information.  Distributions are sent electronically to the account you provide at that time.

What are your investment minimums?

Investment minimums vary by opportunity.   Some investments only require $50,000.

How are my investments protected?

We act as the decision-maker of the investment on your behalf, handling the day-to-day operations with our investors. Your investment is held in Single Purpose Limited Liability Company.  Your ownership is help as a Member Interests. 

General Tax Questions

Are there any tax benefits from investing in Multifamily?

Yes.  One of the distinct benefits Multifamily Real Estate Investments provide over other investment opportunities are the tax advantages.  Unlike stocks and mutual funds, investing in real estate tends to make your tax bill lower, not higher.  This benefit is due to how the IRS views stock market gains and the way they view real estate gains. There are multiple ways this benefits investors.  To learn more, please visit our blog section for articles on this exciting benefit.

What tax documents can I expect to receive?

You can expect to receive a Schedule K-1 for any REEP Equity property you are invested in.

How do I access my tax documents?

Your tax documents are available through the investor portal and are listed in the documents section of your dashboard.

When will I receive my tax documents?

We deliver K-1s in mid-March for the prior year.  If you have further questions, please email invest@REEPEquity.com.

If I reinvest my dividends with REEP Equity, do I still need to file taxes for my investment?

To the extent you receive an annual tax form for your investment(s), you are required to include any reported income in your tax return even if your dividends were reinvested. 

Will I need to file an extension on my taxes due to my REEP Equity investments?

Filing an extension is solely up to you the investor.

What is a Schedule K-1?

The Schedule K-1 is a tax document that reports your share of a property’s income, gains, losses, deductions, and credits.

Why did I receive multiple tax forms for my investments?

If your portfolio is allocated across multiple properties, you should expect to receive multiple tax forms. You will receive a Schedule K-1 for any property in which you invested in.

How do I access tax documents for my IRA?

Tax documentation for retirement accounts will be mailed to you separately by our third-party IRA custodian.

Will I receive tax documents for my investment through my IRA?

You may receive a Form 1099-R and/or a Form 5498. Tax documentation for retirement accounts will be mailed to you separately by our third-party IRA custodian.

What is a Form 1099-R?

Form 1099-R is used to report rollovers and/or distributions from qualified retirement accounts and IRAs.

When will I receive my Form 1099-R?

For IRA investors, we intend to mail Form 1099-Rs to your mailing address on file by January 31 for the preceding tax year.

What is a Form 5498?

Form 5498 reports contributions, including rollovers, made to an IRA for the current tax year.

Will I receive a Form 5498?

You may receive a Form 5498 if your qualified retirement plan was automatically rolled over to an IRA for you, or you made any other current year contributions. Form 5498 also is used to report the fair market value (FMV) of your IRA as of December 31 of the reporting year.

The commonly asked questions and answers are not meant to substitute for the advice of your CPA.  Please consult your CPA to understand your unique filing requirements for your portfolio and how they are impacted by your local state and federal tax laws.

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