A Safe Way To Invest In Real Estate

The Most common practice in investing in Real Estate is for you, the investor, to purchase real property, put up a “for rent” sign, and hope that you get a qualified renter that doesn’t destroy the property and pays the rent on time.

The disadvantage that most may find is that you will encompass indirect costs that many do not realize i.e. 

	The cost of the loan, factoring in closing costs and commissions.
	Higher interest rates on investment properties are charged a much higher rate than owner occupied properties.
	Higher insurance premiums as investment properties are charged a much higher rate than owner occupied properties.
	Vacancy factors. 25% of the time you own the rental property it will not have a renter.
	Market volatility. As local rents decrease in rents, you will need to match those decreasing rents thus lowing your cash flow
	Maintenance and repairs
	Taxes

Through our parent company, Mortgage Tree Capital, we can provide you an alternative to investing in real estate.

We offer our investors the ability to purchase from an assortment of 2^nd (Second) Mortgages, which are already seasoned and earning capital. Importantly, they have a payment history that you can verify. These Mortgages range in value from $5,000 to as much as $650,000 with rates from 3% to as much as 20%.

WHAT $10,000 WILL BE WORTH IN 25 YEARS COMPOUNDED AT:

How much do you need to Invest?

Most mortgages are from $10,000 to $50,000. You and only you own the mortgage and you are in complete control. The closing will take place either at a title company or at your attorney's office, it's your choice and of course you should get title insurance, an independent property appraisal and other pertinent documents needed. Your investment will go directly to the Title Company or your attorney.

Is it safe?

Mortgage loans are rated among the SAFEST investments you can make. That's why home interest rates are so much lower than credit cards rates. Mortgage loans typically are based on the value of the real estate itself, as much as the individual borrower's credit. You will be provided with the following items from the borrower(s):

1.        Loan Application

2.        Current credit report

3.        Payment history

4.        Current interest rate and loan terms.

5.        Appraisal and or a current market analysis of the property.

6.        Title report

Owning a mortgage is a steady steam of income.

A mortgage requires the borrower to make regular payments to the mortgage owner (lender, mortgage, investor) at predetermined rates and terms thus giving you a monthly return on your investment much higher than any other vehicle.

With T-Bills, mutual funds, stocks, savings accounts, a money market fund, or a CD you typically receive annually interest payments of 3% based on the entire term.

With most mortgages the payments you receive are part interest and part return of your principal then the mortgage is said to be “fully amortized"

Contact us today for a complete list of available investment opportunities.