Like any investment, there are risks involved with investing in real estate debt. There are also mitigating factors to help cushion those debts. For example, the market value of the property could drop significantly, reducing opportunity for the developer to make a profit. However, the property is most likely located in a stable market and was purchased at a discount providing downside protection in a falling-price environment. In some cases, the developer may be unable to finish the property in the allotted term length. For this situation, Fund That Flip builds in an optional 3-month extension, approved only if the project is advancing at a satisfactory pace. The extension corresponds with an additional fee to be shared on a pro-rata basis with investors. Prior to investing, you should fully diligence each deal, as well as consult your investment, tax and legal advisors prior to investing. Additional risks for each deal will be outlined with the Offering Materials.