How I Received My First Dividend Check from TREF!
*Disclaimer: This is not investment advice and I am not recommending that you invest in this fund. This blog is for general informational purposes only and is based upon my experience. I cannot guarantee any results.*
Alright, this is how I saved for and chose this investment ... Oh, let's do it!
I currently have a sub-savings account for investments. A Sub-Savings Account is a savings account that you PLAN to use and has a SPECIFIC purpose. For example, I have sub-savings accounts for the following: car expenses, vacation expenses, daycare costs and more!
Every month, I deposit a set amount into my Investment Sub-savings Account (ISA). When my ISA reached ~$1,000 in 2019, I started to research how I wanted to invest those funds.
My research included stocks, REITs, ETF's and more. I was (and still am) new to this type of investing, so it was important for me to do my research. Why?… Because I wanted to thoroughly weigh the risks and make the best, informed decisions on where and how to invest.
Here are a few of the tips that helped me:
Review the company's financial statements, annual reports, quarterly updates and more.
Know how a company operates. How does the company make money? What products and/or services do they sell, etc.
Evaluate if the company has any competitive advantages. What makes the company stand-out/unique, etc.?
After doing research, I used some of the money in my ISA to purchase 3 stocks and 2 ETF's.
Fast forward a few weeks later, I ran across Jay Morrison, a real estate investor, on Instagram. He was talking about the real estate crowdfund he created called the Tulsa Real Estate Fund. The fact that the fund was named after one of the most prosperous black communities in history inspired me to look more into this opportunity.
Side note (but not really): I follow Instagram accounts that are aligned with my values and goals. I follow and engage with a ton of entrepreneurial, self-care, finance, healthy eating, mommy, breastfeeding, exercise and real estate accounts. With that, it would only make sense to come across an account like Jay Morrison's.
A quick tip: Engage with what you want to attract and eliminate distractions. It creates focus! 😉
Okay, back to it.
Here’s some info on real estate funds and, more specifically, the Tulsa Real Estate Fund(TREF):
At its core, a real estate fund pools money from investors to mutually fund a real estate investment. Typically, these funds are run as an LLC (or another type of entity) and are designed to achieve certain real estate and financial goals. Source.
According to Morrison, Tulsa Real Estate Fund, which is also called The People’s Fund, is a real estate crowdfund qualified by the Securities and Exchange Commission (SEC) that allows both accredited and non-accredited investors to collectively invest and own real estate projects around the country that are unique, diversified and yield a reasonable rate of return. Source.
The Tulsa Real Estate Fund is the first African-American, SEC-qualified, Tier II crowdfund and economic vehicle inspired by the historic Black Wall Street of Tulsa, Oklahoma. The Tulsa Real Estate Fund was created for the revitalization of urban communities and as a means for more people to own shares and equity in a portfolio of real estate assets that will combat gentrification.
So, after doing A LOT of research on Jay Morrison and the TREF, I decided that investing in this fund was aligned with my values and goals and I wanted in. The minimum amount needed to invest was $500. I only had about $250 in my ISA at this point, so I waited until December 2019 when I received my bonus to fund the last $250. As soon as my bonus hit my account, I went to their website, filled out the necessary forms, paid my $500, received my confirmation and BECAME AN INVESTOR in TREF.
So how did I receive my first dividend check from the TREF?
TREF Investors, like myself, are eligible for an 8% preferred cumulative dividend and the dividend is paid periodically based on the financials of the fund. You can find more information here.
To sum it all up, this is how I received my 1st Real Estate Fund Dividend Check:
1. I used my sub-savings account strategy to save $1,000.
2. I researched what I should look for when determining how to invest.
4. I made some investments based upon that research and got some confidence! (I receive dividends from these investments too 😆)
5. I discovered TREF by following Instagram accounts that are aligned with my values and goals.
6. I researched TREF.
7. I used a portion of my bonus to fund my initial TREF investment and became an INVESTOR!
9. TREF announced that it was dividend time and I RECEIVED THAT CHECK!
It’s also important to note that this is a long-term investment strategy, not a get-rich-quick scheme. I have short and long-term real estate investment goals and investing in this fund is just the start of my journey. I’m not only adding an investment to my portfolio, but I’m also GETTING PAID!
Oh and I just bought whole life insurance for myself and my daughter, but that's a blog for another day! :)
Was this breakdown helpful? Let me know in the comments below! #OwnYourCheck!