Fund program · In development
A single fund holding a small portfolio of Align homes, with a $50,000 minimum — so an investor can own a slice of several properties instead of all of one, or none at all.
Why it exists
Not because the asset is expensive, but because of what it takes to get into a single one with financing in place.
Figures drawn from an actual Align proforma on a four-bedroom home in the Little Rock market. Individual properties vary.
That's the real barrier. It isn't that investors don't want single-family rentals — it's that a serious position in one requires six figures of cash, and everything rides on a single roof, a single tenant, and a single street. The fund exists to change both halves of that.
What it does
Participation starts at $50,000 rather than the six figures a single financed property requires. The same investor can now start, or start smaller and add later.
One vacancy, one bad tenant, or one roof replacement lands across a portfolio instead of on the only house you own. It doesn't raise returns — it narrows the range of outcomes.
Buying and managing several homes at once costs us less per home than doing it one at a time. We pass a portion of that through, so fund investors carry lower fees than retail buyers.
Acquisition, renovation, leasing, management, accounting, insurance, and reporting are all handled in-house. No closings to attend, no manager to hire, no paperwork to chase.
How it would work
We identify six to ten homes that clear our acquisition criteria, across more than one market where the fund's strategy calls for it.
Participation begins at $50,000. The fund closes once it is fully subscribed.
Purchase, renovation, and tenant placement run on our normal process — the same one operating across more than 1,600 homes today.
Rent is collected, maintenance handled, insurance maintained, and the properties managed under one roof. Investors receive reporting rather than work.
Cash flow is distributed on the schedule set by the fund documents, with the exit horizon defined at the outset.
Total return
Most people evaluate a rental on the first one and stop. That's how a good investment gets mistaken for a mediocre one — and occasionally the reverse.
Rent, less taxes, insurance, management, maintenance, vacancy, and debt service. Whatever survives that list arrives as cash.
The catch: it's the only one of the four you can spend in the year you earn it — and early on it's the smallest of the four by a wide margin.
Every mortgage payment retires a little more of the loan, and it's the tenant's rent that pays it. Equity grows without you contributing a dollar, and it accelerates each year as more of the payment goes to principal.
The catch: it's equity, not money. You don't touch it until you sell or refinance.
What the house becomes worth. At 50% leverage a 4% rise in value is roughly an 8% rise against your equity, because the debt doesn't grow with the asset.
The catch: the largest of the four in our modeling and the least certain. Leverage works the same way in reverse.
Depreciation lets you write the building off over 27.5 years, sheltering income you actually collected. Money you keep instead of sending to the IRS.
The catch: deferred, not erased — depreciation is recaptured at sale. What it's worth depends entirely on your own tax situation.
Where the ten-year gain comes from across the four example portfolios below. The mix shifts a few points between them, never the ranking.
Both are true, and they describe the same portfolio. The first is what lands in your account this year. The second is an internal rate of return over a decade — annual cash flow plus a sale in year ten, net of selling costs and the remaining loan. It is stated before tax, so the tax savings above are not counted in it.
An investor who judges this on cash-on-cash alone concludes the returns are thin. An investor who judges it on total return alone assumes a liquidity that isn't there. Neither has it right.
The useful discipline is to hold both at once: evaluate the investment on all four, and evaluate your own liquidity on the first one only. The charts below break each portfolio into its four parts, year by year, so you can see which one is doing the work and when.
Example portfolios
Illustrative only — these are not homes currently for sale. Each is built from real Align proforma assumptions, with purchase price, rent, condition, and renovation cost varied the way an actual acquisition run varies. Click through to see what's inside each one.
Six homes, one market, almost all new construction. The simplest portfolio to assemble and the cheapest to maintain — new roofs, new systems, minimal renovation. It is also the most exposed: one local economy, one weather pattern, one tax authority.
| Home | Market | Condition | Bd/Ba | Price | Rent | Renovation | Cash required | Cash flow/mo | Cap rate |
|---|---|---|---|---|---|---|---|---|---|
| LR-01 | Little Rock | New build | 4 / 2 | $216,400 | $1,625 | $2,500 | $124,020 | $424 | 6.14% |
| LR-02 | Little Rock | New build | 3 / 2 | $209,900 | $1,600 | $2,500 | $120,445 | $428 | 6.24% |
| LR-03 | Little Rock | New build | 4 / 2 | $224,900 | $1,675 | $3,000 | $129,195 | $434 | 6.11% |
| LR-04 | Little Rock | New build | 3 / 2 | $212,500 | $1,620 | $2,750 | $122,125 | $435 | 6.25% |
| LR-05 | Little Rock | New build | 4 / 2 | $228,000 | $1,700 | $2,500 | $130,400 | $443 | 6.13% |
| LR-06 | Little Rock | Existing | 3 / 2 | $219,500 | $1,650 | $3,250 | $126,475 | $456 | 6.28% |
| Total | 1 market | — | — | $1,311,200 | $9,870 | $16,500 | $752,660 | $2,621 | 6.19% |
A $50,000 investment is 6.64% of this portfolio — roughly $174 per month before appreciation and principal paydown.
Eight homes split evenly between Little Rock and Ocala. Two markets in two states, with a mix of new construction and existing stock. Returns land within a few basis points of the concentrated portfolio — what changes is that no single local employer or storm season touches everything at once.
| Home | Market | Condition | Bd/Ba | Price | Rent | Renovation | Cash required | Cash flow/mo | Cap rate |
|---|---|---|---|---|---|---|---|---|---|
| LR-01 | Little Rock | New build | 4 / 2 | $216,400 | $1,625 | $2,500 | $124,020 | $424 | 6.14% |
| LR-02 | Little Rock | New build | 4 / 2 | $221,000 | $1,665 | $2,900 | $126,950 | $441 | 6.19% |
| LR-03 | Little Rock | Existing | 3 / 2 | $205,000 | $1,570 | $3,400 | $118,650 | $444 | 6.39% |
| LR-04 | Little Rock | New build | 4 / 3 | $231,500 | $1,725 | $2,500 | $132,325 | $451 | 6.13% |
| OCA-01 | Ocala | New build | 4 / 2 | $239,000 | $1,775 | $2,500 | $136,450 | $465 | 6.13% |
| OCA-02 | Ocala | Existing | 3 / 2 | $226,500 | $1,705 | $3,600 | $130,675 | $476 | 6.31% |
| OCA-03 | Ocala | New build | 4 / 3 | $244,900 | $1,820 | $2,500 | $139,695 | $481 | 6.15% |
| OCA-04 | Ocala | New build | 4 / 2 | $233,000 | $1,740 | $3,100 | $133,750 | $458 | 6.15% |
| Total | 2 markets | — | — | $1,817,300 | $13,625 | $23,000 | $1,042,515 | $3,640 | 6.20% |
A $50,000 investment is 4.80% of this portfolio — roughly $175 per month before appreciation and principal paydown.
Eight homes across four markets, deliberately mixed. New construction in Little Rock, Ocala, and NW Arkansas alongside older stock in Memphis, Oklahoma City, and Jonesboro. The existing homes cost more to renovate up front and return more on the money, which is what pulls the blended yield above the first two portfolios.
| Home | Market | Condition | Bd/Ba | Price | Rent | Renovation | Cash required | Cash flow/mo | Cap rate |
|---|---|---|---|---|---|---|---|---|---|
| LR-01 | Little Rock | New build | 4 / 2 | $216,400 | $1,625 | $2,500 | $124,020 | $424 | 6.14% |
| OCA-01 | Ocala | New build | 4 / 2 | $241,000 | $1,790 | $2,900 | $137,950 | $470 | 6.13% |
| MEM-01 | Memphis | Existing | 3 / 2 | $186,500 | $1,475 | $5,200 | $110,275 | $435 | 6.59% |
| MEM-02 | Memphis | Existing | 3 / 1 | $179,900 | $1,435 | $6,100 | $107,545 | $426 | 6.64% |
| OKC-01 | Oklahoma City | Existing | 3 / 2 | $198,000 | $1,535 | $4,300 | $115,700 | $441 | 6.47% |
| OKC-02 | Oklahoma City | New build | 3 / 2 | $207,500 | $1,585 | $3,200 | $119,825 | $425 | 6.25% |
| JBR-01 | Jonesboro | Existing | 3 / 2 | $192,000 | $1,500 | $4,750 | $112,850 | $435 | 6.51% |
| NWA-01 | NW Arkansas | New build | 4 / 2 | $235,000 | $1,745 | $2,600 | $134,350 | $455 | 6.11% |
| Total | 4 markets | — | — | $1,656,300 | $12,690 | $31,550 | $962,515 | $3,511 | 6.34% |
A $50,000 investment is 5.19% of this portfolio — roughly $182 per month before appreciation and principal paydown.
Six homes at the lower end of the price range, all existing stock. The highest yield of the four and the smallest raise — but every home needs real renovation work up front, and older houses carry more maintenance risk over a hold period. This is the trade being made, stated plainly.
| Home | Market | Condition | Bd/Ba | Price | Rent | Renovation | Cash required | Cash flow/mo | Cap rate |
|---|---|---|---|---|---|---|---|---|---|
| MEM-01 | Memphis | Existing | 3 / 2 | $172,500 | $1,400 | $6,400 | $103,775 | $425 | 6.75% |
| MEM-02 | Memphis | Existing | 3 / 1 | $168,900 | $1,375 | $6,900 | $102,295 | $418 | 6.76% |
| JBR-01 | Jonesboro | Existing | 3 / 2 | $181,000 | $1,445 | $5,500 | $107,550 | $431 | 6.65% |
| JBR-02 | Jonesboro | Existing | 3 / 2 | $176,400 | $1,420 | $5,800 | $105,320 | $427 | 6.70% |
| OKC-01 | Oklahoma City | Existing | 3 / 2 | $189,500 | $1,490 | $4,900 | $111,625 | $436 | 6.55% |
| OKC-02 | Oklahoma City | Existing | 4 / 2 | $184,000 | $1,460 | $5,200 | $108,900 | $432 | 6.61% |
| Total | 3 markets | — | — | $1,072,300 | $8,590 | $34,700 | $639,465 | $2,569 | 6.67% |
A $50,000 investment is 7.82% of this portfolio — roughly $201 per month before appreciation and principal paydown.
Assumptions across all four: 50% leverage, 6.5% interest on a 30-year amortization, 5% closing costs, 5% vacancy and repairs charged from year one, property taxes at 1.017% of price, $1,300 annual insurance, HOA dues on new construction only. Rents reflect $25 per month above the base figure in Align’s single-property proforma, held from year one and grown 3% annually thereafter. Management and acquisition fees reflect reduced fund-level pricing and are not final. Cash flow figures exclude appreciation and principal reduction. These portfolios are illustrative constructions, not homes currently offered.
Worth being direct about
A fund solves for entry and concentration. It does not remove risk, and anyone telling you otherwise is selling something.
Spreading across markets narrows the range of outcomes. It does not raise the expected one, and our own modeling shows the same returns whether homes sit in one market or two.
Acquisition decisions belong to us. An investor who wants to pick the street and approve the rehab should buy a single property instead.
This is real estate, held for years. Money committed to a fund is not money available next quarter.
Debt raises returns when values rise and deepens losses when they don't. Fixed debt service continues through vacancy.
Terms, fees, minimums, and eligibility are not final, and nothing here is an offer. If you'd like to be told when it is ready, get in touch and we'll keep you posted.
Email us 801-435-3550