Blog
How are we able to provide significant returns
How are significant returns provided to investors? When we purchase a distressed mortgage, that mortgage has a face value. That face value could be $200,000 but the bank may sell us that mortgage for $75,000. When we purchase that mortgage for $75,000 it is significantly lower than the actual face value of the mortgage note itself. That gives us tremendous leveraging power, to reduce the homeowner's payments, to offer them a variety of options to make payments to us and to get back on track. But it also allows us to resell the mortgage at a higher price for a larger profit and here is the key in a very short period of time. So in that short period of…
Why Distressed Mortgage Notes
I saw a huge opportunity in distressed mortgage notes over more than a decade ago before we actually had the crash of 2008. What I began to see very clearly was that a property can be acquired through its actual debt obligation. It seems really simple to understand in one aspect, and in another aspect, it seemed totally impossible. When a property is reclaimed by a bank, that property is foreclosed on, and the bank recovers the property. Well, how can an average company reclaim a property that it does not own or have access to? That seemed like, to me, an impossible feat, until I understood that I could do so by being the bank. Well, how could I…
Opportunities in Opportunity Zone Funds
I want to update you on the current state of affairs, and what's happening in the marketplace, and I wanted to just make this really quick. I met with a gentleman this morning, it's like every day I meet with someone: Panera Bread, Starbucks, someplace: we get together, and we just have a cup of tea with no sugar, and we just talk about the market, networking opportunities, how we can come together, how we can collaborate, and one of the things that we were talking about this morning was what's known as an Opportunity Zone Fund. And essentially, there have been 8,700 Opportunity Zones across the United States that the government got together and said, "These, areas need improvement."…
Connect with Us
