The frequency of any investor returns depends on the type of investment. Typically, equity investments have distributions on a quarterly basis, while debt and preferred equity investments involve payouts on a monthly schedule. An investor's share of any distributions is generally transferred directly into the same linked bank account that was initially used by the investor for the contribution of the original investment amount, and typically occurs within a few days of RealtyShares' receipt of such distributions.
On debt investments, the monthly payments of interest are dependent on RealtyShares having received the correlating payments from the borrower on the corresponding borrower loan. Preferred equity investments are designed to have "current" payments made on a monthly basis and then an "accrued" payout that is payable at the expiration of the investment period. Normal equity investments are usually designed to have investors receive quarterly distributions, dependent on cash flow and at the full discretion of the sponsor. In addition to quarterly distributions, investors are able to participate in any net appreciation realized when the property is sold. An investor's share of any of these distributions will be deposited directly into the linked bank account designated by such investor.
Payout schedules cannot be guaranteed, of course, nor can there be any guarantee as to return rates or the return of investor capital generally, regardless of the structure of any investment opportunity.