FREQUENTLY ASKED QUESTIONS

Real Estate Investing Questions & Answers

Investing with Springshelters

We offer investment opportunities ranging from 5 days to 120 days. Many of our long-term rentals offer the option to continue your investment in five-year increments after the initial investment period.

The time frame starts on the day we get a property under contract and ends the day we close escrow on the sale of the property (or the day we close on the refinancing of the property).

The time frame for each project is listed on the details page of each investment offering.

NOTE: All time frames represent our best estimate of the time it will take to complete an investment. Time frames cannot be guaranteed.

Once you place your investment (s), you will be provided with instructions to complete your fund transfer to activate your investment..

NOTE: Withdrawals and deposits are done using Cryptocurrency (Bitcoin, Ethereum or USDT [TRC20]).

In most cases, we use the bank’s appraisal to determine the property value. In cases where the bank is not the appraiser, we use appraisers who are certified members of the Appraisers Association of America (AAA). AAA-certified members have at least 10 years of experience as licensed real estate appraisers. They have more experience, education, and expertise than other real estate appraisers, making them uniquely qualified to properly value our developments, renovations, and rental properties.

Coming soon investments offer a sneak peek at deals we will be offering in the future. You can view the property description and estimated financials for projects that will be coming available. You will be notified once these opportunities are open for investment.

At the coming soon investment stage, you’ll be able to view the estimated return percentage, time frame, and financials based on our track record of completed properties as well as projections for the upcoming project. Once a property has been selected, the return percentage and financials will be updated to reflect the specific property, and the status will change to “Open Investment.”

ROI does not consider any time frame; it only states how much return on investment a project made as a whole. The annualized return shows the ROI over a 12-month period. The annual return is useful when comparing investments because it allows investors to see how each investment performs over a standard one-year period.

You can review the projected timeframes on each investment opportunity’s details page before you invest. Some investment offerings come with the option to exit or continue after the initial investment period. However, you cannot exit an investment before the initial timeframe is complete.

Springshelters strategically purchases and builds properties that are in high demand, so it is very rare to have a unit empty for long. If a renter gives their notice to vacate, we can usually find a replacement tenant to move in within 30 days of the unit being vacated. In that case, you may only receive a partial disbursement from rental income during that period of time.

To calculate your ROI (Return on Investment), divide your net profit by the total investment amount for a property. Multiply the result by 100 to see your ROI expressed as a percentage.

Legals with Springshelters

The SRL will offer Class A Units to prospective investors in accordance with a Subscription Agreement. The economics and management of the SRL will be governed by an Amended and Restated Operating Agreement, to which each investor will agree to be bound when investing in the SRL.

Springshelters acts as the managing member and owner of Class B Units in the SRL (and has all voting rights), and the investors are the members and owners of Class A Units in the SRL. As a holder of Class A Units, you have an indirect economic interest in the single real property asset held by the SRL. The number of Class A Units issued to you is based on the amount you invest and the value of the equity in the underlying property at the time of investment.

As with any investment we guarantee a profit. You can, however view the returns from our track record to see our consistently profitable results.

If Springshelters SRL goes bankrupt, the operating agreement of the property holding SRL provides that Springshelters SRL may continue to be bound by said operating agreement as the managing member (and Class B Unit holder), or appoint a successor managing member, although a bankruptcy proceeding with respect to Springshelters SRL could, for example, lead to delays or reductions in distributions from the property holding SRL to Class A Unit Holders and result in insufficient funding of the property holding SRL and/or liquidation of the property holding SRL (and/or Springshelters SRL). Further, the rights and obligations of Springshelters SRL (and the Class A Unit holders of the property holding SRL) may be negatively impacted by the Romania Bankruptcy Code. For example, a court officer or representative could be appointed to take over Springshelters SRL’s rights to manage and control the property holding SRL. For additional information about the risks associated with Springshelters SRL ceasing to act as the managing member of the property holding SRL, please see the Risk Factor identified as “The Issuer has limited or no operating history and no employees of its own” in the Summary of Terms.

Yes. For rental properties, investors will benefit from the increase in value of the property over time.

The property holding SRL will be dissolved and liquidated. In settling accounts after dissolution, the property and other assets of the property holding SRL will be paid or distributed first to the creditors of the property holding SRL and then to the members of the property holding SRL in accordance with the terms of the operating agreement of the property holding SRL.

Who can invest with Springshelters

To invest with Springshelters, you need to be 18 or older and be verified as an accredited investor.

You can invest as an individual or an entity. You can also invest through a retirement account or a trust.

Springshelters offers investors multiple ways to invest:

  • General Investment
  • Retirement Investment

Learn more about investor options and how it works.

Non-Romania investors who meet accredited investor requirements are welcome at Springshelters!

NOTE: If you live outside Romania, it is your responsibility to fully observe the laws of any relevant territory or jurisdiction outside Romania in connection with any purchase of membership interests, including obtaining required governmental or other consents or observing any other required legal or other formalities. Unless otherwise expressly indicated by us, we have registered and qualified the offering of shares in jurisdiction outside Romania.

Yes, you can invest through retirement account.There are amazing offers that awaits those investing through retirement account.

Springshelters SRL

All of Springshelters’s properties are located in Europe, Asia, North and South America.

Yes, Springshelters is registered with the Romania Companies and files reports regularly.

Yes, Springshelters is registered with the SEC (Securities and Exchange Commission) and files reports regularly.

Springshelters offers several advantages over other real estate investment platforms, including:

Diverse Offerings: We are one of the few platforms that offer short and long-term investments with timeframes ranging from 5 days to 120 days. This flexibility allows you to tailor a real estate portfolio that meets your personal goals.

Ownership Stake in the Deal: The SRL structure Springshelters uses allows investors to own a stake in the underlying real estate. This is very different from most real estate crowdfunding platforms, which only offer debt-equity rather than ownership.

Experienced Team: We offer a unique approach and a management team with far-reaching industry experience.

Industry-leading Customer Service: We are committed to transparency, attentive customer service, and thorough asset management updates throughout the investments.

Deal-by-Deal Control: Our projects are offered on a deal-by-deal basis, which means that you choose exactly which property (or properties) you want to invest in.

100% Profitable Track Record: At Springshelters, we are proud of our track record! Since the start of the company, we have never lost money on a property.

A market crash would not have much of an impact on our rental properties since our intention is to hold them for the long term. During a recessed housing market, we might need to wait to raise rents or refinance the loan. But we would continue to collect rents as usual while the market dips and then recovers.

For the properties that are renovated or built to sell, we may decide to hold the asset as a rental in the event of a housing crash. If we find that it’s a bad time to sell, we can place the property in service and collect rental income until the market recovers.

Springshelters’s corporate office is located at Str. Privighetoarea nr. 47, Sat Valea Lupului, Iasi, Romania.

We are always happy to meet with investors. To schedule a meeting, please email info@urbanhomesrl.com.

Yes, view our registeration certificate by clicking here

Springshelters invests alongside the investors in every property.

In some cases, when we need to close a deal quickly, Springshelters purchases the property upfront before opening the investment to investors via the website. Then, as investment funds are received, we replace Springshelters’s original funds with the investor’s funds.

In other cases, Springshelters puts down the deposit only, then keeps the investment open on the website and raises the funds from the investors directly. If any amount is not raised within a certain time frame, Springshelters will then invest the remaining balance to fully fund the investment.

NOTE: All investments are prorated based on the time you invest in the deal.

Springshelters collects a fee for managing all stages of the real estate process. The percentage of the fees can vary for each property type and SRL. The services include location scouting, opening and managing the SRL, buying and selling the property, securing the loan, handling escrow, applying for permits, managing the construction team, interior and architectural design, stabilizing the property, overseeing the management company for rental properties, accounting services, investor distributions, etc.

Support

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