Our specialty is 1st lien position loans collateralized by both residential and commercial real estate in Texas. We only consider loans that have a low/conservative Loan to Value (LTV), typically between 65-70%, providing an important equity buffer.
We lend primarily to property developers and investors who buy and renovate properties. Loans are usually to purchase and renovate a property. At pay-off, borrowers will either be selling the property for a profit (a “flip”) or refinancing the property to keep and add to their rental portfolio.
Borrowers make monthly interest payments. Our Capital Partners begin receiving their monthly interest payments usually within less than one month.
In addition to the 1st lien position backing each loan, all of our borrowers provide a personal guarantee on the loan.