Invest in rental homes and vacation rentals
Invest in exclusive collectibles
Moderate Risk
3/5
Investing in Arrived carries risks including market fluctuations, economic factors, and property-specific issues. There's also the potential for loss, and investments are generally illiquid, meaning they can't be easily sold or exchanged for cash quickly.
High Risk
4/5
Investing on Timeless involves risks such as market volatility, liquidity constraints, regulatory changes, and asset-specific issues like authenticity. Additionally, platform-related risks such as data security and operational stability could affect investments. These factors highlight the importance of thorough risk assessment and consideration of personal risk tolerance before investing in collectibles through Timeless.
Minimum Liquidity
1/5
Arrived is designed for long-term investments with limited liquidity options. The Single Family Residential Fund offers share redemption after six months with restrictions. For individual properties, shares are held until the property is sold, typically after 5-7 or 5-15 years. A secondary market for shares is being considered but is not currently available.
Moderate Liquidity
2/5
While traditional collectible investments are illiquid, Timeless offers a level of liquidity by enabling trading among investors during the average holding period of 2 to 8 years. However, liquidity is influenced by demand within the platform and the collective decision to sell the asset.
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Low Return
5.5-15 %
Arrived investors may earn returns through monthly rental income dividends and property value appreciation upon sale, with historical annual return estimates ranging from 5.5% to 15%, depending on the property type and use of leverage.
High Return
40 %
Timeless cannot guarantee returns as the collectibles market is unpredictable. However, historical data shows an average annual return of 40% on their platform, with returns ranging from 9.1% to 93.1% per year. Investors should note that past performance is not indicative of future results.
Long-term Investment
5-15 years
Arrived targets a 5-7 year hold period for Single-Family Residentials and a 5-15 year hold period for Vacation Rentals, emphasizing a long-term investment horizon.
Long-term Investment
2-8 years
The typical investment time horizon on Timeless ranges from 2 to 8 years, varying by asset class. During this period, investors can trade shares for liquidity before a collective decision is made to sell the asset, subject to majority approval.
Who can invest
United States
U.S. citizens or residents who are at least 18 years old can invest with Arrived, and accreditation as an investor is not necessary.
Who can invest
European Union
To invest with Timeless, individuals must be at least 18 years old, possess a valid ID card or passport, have a SEPA bank account, and not be taxable outside the EU. Additionally, they must have a permanent residence. Importantly, US citizens and US taxpayers are excluded from using Timeless's services due to SEC restrictions and the implications of the FACTA, which targets tax evasion by US citizens abroad.
Moderate Volatility
3/5
Real estate assets on Arrived can be subject to market volatility influenced by economic shifts, interest rates, and local market conditions.
Moderate Volatility
3/5
The assets on Timeless, being exclusive collectibles, are subject to inherent volatility due to factors like fluctuating market demand, the rarity and exclusivity of items, condition and authenticity concerns, and broader economic and cultural trends. These factors can lead to significant price swings, making the value of collectibles unpredictable over short periods. While Timeless carefully selects collectibles with high potential for appreciation, investors should be mindful of this volatility and how it aligns with their investment goals and risk tolerance.
Regulation and audits
SEC Regulated
Arrived's offerings are regulated by the SEC, requiring compliance with securities laws and provision of detailed offering circulars to investors. Audits and financial reviews are conducted for transparency.
Regulation and audits
BaFin Regulated
Timeless is registered with the German Federal Financial Supervisory Authority (BaFin) as a contractually bound intermediary of CONCEDUS GmbH, under register number 80174023. This indicates regulatory compliance and oversight by BaFin in its operations.
Insurance
Yes
Arrived properties are insured against physical damage or loss, but insurance may not cover all risks and does not protect against market volatility, economic downturns, or other investment-related losses.
Insurance
Yes
Timeless stores collectibles in a secured German facility with insurance coverage, though it's crucial to note that not all damages, such as those from force majeure, may be covered. Additionally, there's no guarantee of compensation for losses, as there are no guarantee funds or deposit insurance for investors. This points to a risk of partial or complete value loss in certain scenarios.
Payouts
Dividends
Arrived pays out dividends monthly, with single-family residential properties historically averaging 45 days to lease and vacation rentals taking 3-6 months to start generating income. The first dividend payment for the Single Family Residential Fund is scheduled for February 25th for investments made by December 31st, and it may take up to 60 days to receive the first dividend after investing. Subsequent dividends are paid monthly, near the end of the month.
Payouts
No Recurring Payouts
Timeless does not provide traditional dividends. Instead, investors gain returns from the appreciation of collectibles, realized when these assets are sold for a higher value than their purchase price. Profits from such sales are distributed among investors based on their shareholdings, acting as a one-time capital gain rather than regular dividends.
Withdrawals
Investors can get their money back from Arrived after the property is sold or through share redemption options, subject to specific terms and conditions. Proceeds are distributed to the investor's Arrived wallet and can be withdrawn from there.
Withdrawals
Investors on Timeless receive their money back after the sale of a collectible by entering their SEPA bank account details on the platform. After the sale and distribution of profits, the funds are automatically transferred to the investor's bank account within 10 banking days, allowing for a straightforward return on their investment.
Extra Fees
Yes
For long-term rentals, Arrived charges an 8% management fee on gross rental income. Vacation rentals incur a 15-25% management fee. Additional fees include a one-time sourcing fee (3.5% for long-term, 5% for vacation rentals), and a quarterly Asset Management Fee (0.25% for the fund, 0.15% for long-term rentals). Other costs may apply for closing, renovation, and operating expenses.
Extra Fees
Yes
Timeless charges a one-time 2% service fee and a management fee at the initial purchase of fractions, covering costs like division of collectibles, documentation, transport, maintenance, and insurance, with management fees varying from 1% to 6% depending on the asset. Trading involves a 2% service fee for buyers, with no fees for sellers. There are no ongoing fees for the storage or operation of the platform, and no fees are charged to investors upon the sale of a collectible.
Taxes
Tax Form
Arrived sends investors a 1099-DIV form by the end of January for tax reporting, and state taxes are based on the investor's state of residence, not the property's location. Vacation rentals are taxed similarly but do not qualify as a REIT.
Taxes
Annual Statement
Timeless assists investors with tax reporting by enabling the download of an Excel spreadsheet that records their purchases and sales, simplifying the process of tracking transactions and preparing tax documents.