How does an investor get involved in the private mortgage financing market?

Mortgages As Investments

How does an investor get involved in the private mortgage financing market?

Many private investors wish to realize a larger return than investing in traditional mortgage mutual funds. At DeFranco, we manage private investor groups. These groups lend money to purchase Real Estate. Since Real Estate, unlike other kinds of investments, always has a value, many investors will be comfortable lending a portion of the value of the property.

What are the Risks and Benefits?

Since the typical loan will be for 50-60% of the property value, the property "secures" the loan. Sharing the risk this way, both the lender (or investor) and the borrower have a very secure financial transaction. The lender gets a good return and the borrower has a substantial investment in his property.

As a result these private financing deals provide a good way for both lenders and borrowers to participate in the American Dream of owning a home.

We have been specializing in this kind of financial partnership and have been very successful. Though not a common approach among traditional mortgage houses, we find that with the right level of service, we have established an excellent source of funding for the right projects.

If you are listing, buying, or financing, call us to show you how we can help you achieve your Real Estate Goals.

Call me personally in Niagara Falls - Carl DeFranco at 716-990-3228.