Over the past five years, I have invested my portfolio heavily in private money financing consisting of 1st and 2nd TDs on properties in the Orange County / Los Angeles area. I've stayed out of the distressed debt market and instead have focused on the fact investors can have a great return on ivestment due to banks no longer lending to people even though the transaction makes sense. Properties with a LTV under 60% in an already depressed market. I basically put people who need money(through loan brokers) in contact with those who have money(who I represent). I've written approximately $45,000,000 in notes through that time. I am starting a new phase over the next couple of months actually setting up a Reg D fund.
There's a lot of opportunity out there. Protect your money and more importantly, protect others'.
Industry Overview:
The Capital Markets are paralyzed due to recent regulatory changes, poor underwriting, inflated home prices and a global recession. The mortgage industry is experiencing high delinquencies, legacy issues, archaic technology, inadequate workflow and capital restrictions.
The new lending environment is an ultra-conservative one, where financial institutions are reeling over past indiscretions. The majority of borrowers can’t qualify for the government-sponsored loan programsneeded to obtain real estate financing today. With the MBS and CMBS markets frozen, direct portfolio lenders are left to fill the void.
The financial crisis has created a tremendous opportunity for a portfolio lender to generate high yielding conservative loan-to-value loans that are not high cost and are in compliance with the new Dodd-Frank (H.R. 4173) Wall Street Reform and Consumer Protection Act; but do not qualify under any Fannie Mae, Freddie Mac and FHA guidelines.
There's a lot of opportunity out there. Protect your money and more importantly, protect others'.
Industry Overview:
The Capital Markets are paralyzed due to recent regulatory changes, poor underwriting, inflated home prices and a global recession. The mortgage industry is experiencing high delinquencies, legacy issues, archaic technology, inadequate workflow and capital restrictions.
The new lending environment is an ultra-conservative one, where financial institutions are reeling over past indiscretions. The majority of borrowers can’t qualify for the government-sponsored loan programsneeded to obtain real estate financing today. With the MBS and CMBS markets frozen, direct portfolio lenders are left to fill the void.
The financial crisis has created a tremendous opportunity for a portfolio lender to generate high yielding conservative loan-to-value loans that are not high cost and are in compliance with the new Dodd-Frank (H.R. 4173) Wall Street Reform and Consumer Protection Act; but do not qualify under any Fannie Mae, Freddie Mac and FHA guidelines.
