Investors with capital to lend have never had a better opportunity to capitalize on yields available through private real estate equity financing.
As a private equity lender, we are positioned to:
Why consider private equity lending today?
Private real estate financing effectively fills a glaring need in the lending marketplace. Conservatively underwritten first-position trust deeds provide borrowers locked out of traditional loan programs access to much needed capital and investors the chance to earn some of the highest current yields available.
Disclamer: As economic conditions change, the rates and terms offered for certain type of loans , including trust deeds, may also change.
- The mortgage-induced credit crisis has caused most lending programs to vanish, leaving less and often onerous options available to borrowers.
- Property values have dropped significantly with further downside risk.
- Today’s challenging economy has led many owners of quality real estate to tap the remaining equity in their properties for capital requirements.
- Equity markets have been severely rattled.
- Bond markets have been shaken and the appearance of safety lifted.
- Residential and commercial property owners have lost significant portions of their equity.
- Aggressive interest rate cuts have left current income yields at historical lows.
As a private equity lender, we are positioned to:
- Capitalize on the dislocation in the credit markets.
- Provide a source of capital in a vacuum of credit.
- Fill the tremendous void left by traditional bank financing.
- Offer an alternative investment solution with a consistent source of high current income.
Why consider private equity lending today?
- Property appraisal are based on today's value not the market peak.
- Loan-to-Value (LTV) ratios are very conservative at a 65% maximum vs. 75-80% over the last several years.
- We primarily secure first-position loans vs. second and third position.
- We are able to provide more attractive yields (generally 9% and above) to our investors with relatively stronger protective equity positions.
- We favor short to medium term loans of 1-5 years with an average loan duration of 18-36 months.
Private real estate financing effectively fills a glaring need in the lending marketplace. Conservatively underwritten first-position trust deeds provide borrowers locked out of traditional loan programs access to much needed capital and investors the chance to earn some of the highest current yields available.
Disclamer: As economic conditions change, the rates and terms offered for certain type of loans , including trust deeds, may also change.