What is a TIC: Call Agreement? - Part 3

Advantages and Risks

As with any other investment, there are certain advantages and risks that are going to be involved with a TIC: Call Agreement. A few of the advantages include pre-arranged financing, increased potential for cash flow, flexible size, professional management, and investment diversification.

The increased potential for cash flow is one of the most major and most favored advantages, as many investors have owned property for years and are still not earning a decent rate of return on their equity. Also, most of the sponsors of this loan have internal management departments, and property management services are a component of the offering.