Apple’s Siri on the iPhone amazes us all with her witty responses and incredible knowledge. IBM’s Watson Super Computer beat the best brains in the world at Jeopardy and is now tackling real world problems including medical diagnosis and underwriting. What do these machines have in common? They both learn from their mistakes. The promise…
How do Hard Money loans give opportunity to borrowers? I attended a breakfast meeting with Terry Donahue, former illustrious UCLA Head Football Coach, and he mentioned “Life is About Opportunity”. Terry currently give’s high school football players opportunity to receive a college football scholarship at his California Showcase. (http://cashowcase.org) In 2012 450 player athletes…
Multi- Family Rental Purchase Loan Funded in the amount of $138,000 in Taft, CA Download Full Summary Property / Loan Information Property Type Multi-Family 5 Unit Lien Position 1st Trust Deed Loan Amount $138,000 BPO Valuation $195,804 BPO/s.f. $48.95/s.f. LTV on Purch Price 62.72% Loan Type Rental Purchase Amortization 30 Year amort/due in 2 years…
Funded – Cash Out Refinance in Inglewood, CA. Duplex Property – Rehab, Cash Out Refinance Loan. 60% LTV, Note Rate 11.5%, First Trust Deed, Download Full Summary Property / Loan Information Property Type SFR Lien Position 1st TD Loan Amount $225,000 Est Valuation $375,000 Actual Rent $2,70 Interest Rate 11.50% LTV on Est Value 60.00%…
The nature of Fractional Trust Deed Investing creates the opportunity and the benefits of collaborative underwriting Ken Blanchard, the famous Author of the “One Minute Manager” mentioned that his favorite saying is, “None of Us is as Smart as All of Us”. I completely agree with this humble approach to business and believe that…
It’s been five years since Wall Street crashed and the financial crisis broke across the country. Many people lost their homes, their savings or their jobs. Financial plans were shredded. College funds and retirement accounts were drained. The economy has been slowly recovering over the past few years. The stock market is at new highs…
Sandy MacDougall is quoted in the OC Register Article “Homes sellers turn to private deals”…. see attached article on private real estate listings! Download OC Register Article 10-6-13 Home sellers turn to Private Deals
One of the many things I enjoy about the Real Estate business is that each property and loan scenario is unique. Real Estate is not a commodity as every property and borrower has different characteristics that impact value. A personal or trusted associate property visit before making a hard money loan always provides useful underwriting…
Projected Yield is nice but Current Income Yield is better. Assuming invested Capital is equally safe in both types of investments; this blog describes the nuances of receiving yield through a back-end loaded projected yield where interest is earned at the end of an investment term vs. interest earned through a current income monthly deposit.…
With Stock Prices at all-time highs and bond yields still near record lows, establishing a truly diversified portfolio makes more sense than ever. Financial planners have long built portfolios based on historical correlations, or the extent to which various investments have moved up and down together in the past. The theory is that when stocks…
The Wall Street Journal (WSJ) reported in June, 2013 that Insider trading and stock market fraud persists, perhaps at epidemic levels. That’s what WSJ’s MarketWatch found in a series of interviews with people convicted of insider trading and fraud. These felons, including Bernie Madoff who orchestrated the largest in history $50 Billion Ponzi scheme,…
Loan Amount: $250,000
As Is Valuation: $1,150,000
What are the important factors when choosing a hard money lender? Mortgage Brokers, Real Estate Investors and Borrowers should consider 7 factors when choosing their Hard Money Lender (HML): Experienced – Make sure the HML is specialized in private/hard money lending. There are increasingly complex origination, servicing and investor relations regulations that need to…
Hard Money Loan Servicing can determine the success of your Trust Deed Investment. Yes, the many factors involved with servicing a loan correctly can highly influence the ultimate yield. This Blog will describe 10 Best Practices for Hard Money Loan and Trust Deed Investment Servicers. Whether a Lender is a Master Servicer with an…
So what will become of our long-awaited housing boom? Are higher rates going to douse the housing recovery? The chart above and the reasons below tell me that prices for Single Family Homes have room to run in California. The basic premise on this graph is that while prices have risen recently in these…
loan amount: $300,000
Yield:
Loan Amount: $549,600
Yield:
The most painful issue in the mortgage process is cost, according to 66% of the consumers polled by Carlisle and Gallagher. More than half (56%) of those polled blame slow execution as one of the most frustrating aspects of the mortgage process. More than 30% said difficult communications and the inability to track the…
At Mortgage Vintage, Inc., we strive to make others successful . We want our innovation and refined origination process to transform our customers into something else; something more successful. Read more about it here: Download Making others Successful
What is “Protective Equity” and why is this Equity important for the Trust Deed Investor? Hard Money Loans are loans underwritten primarily on the underlying real estate collateral of the loan. Hard Money Lenders have varying guidelines on Loan to Value (LTV) Ratios which is defined as the Loan Amount/Property Value. A general rule however…
7 key steps a borrower or a mortgage broker will need to ensure a Hard Money Loan approval. Millions in Private Capital sits on the sidelines waiting to invest in secured and well underwritten Trust Deed Investments. These are the 7 key steps a borrower or a mortgage broker will need to ensure a…
Loan Amount: $132,000
Yield:
Why Focus on Hard Money Lending as opposed to other types of loans? When I first entered the Real Estate Business with Coldwell Banker Commercial (CB) in 1989, I heard a saying about focus that I still apply to our business today. “It’s Better to Be an Inch Wide and a Mile Deep…
How does an investor get income from their hard earned savings? How does an investor get a high yield return in today’s low interest rate environment? Well, there is one thing for sure: Don’t Fight the Fed! This mantra means that investors should realize that high yield is not going to come from traditional…
Cloud computing is the use of computing resources (hardware and software) that are delivered as a service over a network (typically the Internet). End users, like Hard Money Lenders (HML), access cloud based applications through a web browser or a mobile application while the software and users’ data are stored on servers at a…
Winston Churchill, one of the most famous Statesmen of all time who led England during World War II, once said “All Great Things are Made Simple”. During the Wars darkest days, Churchill successfully motivated the British Empire to fight vigorously and courageously through his succinct messaging and prose. Former Apple CEO and famous Entrepreneur…
Orange, CA Download Full Summary Property / Loan Information Property Type SFR (Cash-Out Refi) Lien Position 2nd Trust Deed Loan Amount $75,000 As Is Valuation $640,000 Appraisal/s.f. $259/s.f. Combined LTV 60.63% Loan Type Cash-Out Refinance Amortization 40 Year amort/due in 2 years Prepay Penalty 6 months
Which is the better investment: A Trust Deed Portfolio or a Mortgage Fund that invests in Trust Deeds? You have probably already figured out that you should add non-correlated Alternative Investment, current income producing Trust Deeds to your investment portfolio to be truly diversified and protected from the volatile world of Stocks and Bonds. This…
How can an investor profit from buying distressed properties? According to the Corelogic Home Pricing Index (HPI) Residential Real Estate prices have depreciated by as much as 59.11% from the peak in May, 2006. Prices have increased the last few months in 2012, but the overall decline in prices is substantial. There are many ways…
Download Reinventing Yourself with a Business Purpose Cash-Out Loan Like many people Grady got hit hard by the Great Recession in 2008-2012. He owned his own business brokerage company where he helped Car Dealers buy and sell their Dealerships and Real Estate Holdings. Car Dealers suffered huge losses as uncertainty, and deleveraging pummeled Car Sales. …