Expert Access:
Private Mortgage Note Investing

EquityBuild Finance

<p><br>There are two methods of getting started in private
mortgages; <strong>Mortgage Pools and Direct Lending</strong>.<br><br>
Mortgage pools are like the mutual funds of private
mortgages. Each investor's money is pooled with the other
investors participating in the pool and the money is used
for private lending.<br><br>Over the years there have been
some notable benefits to investing in a mortgage pool.
Because a mortgage pool is pooling the money of all
investors, the pool manager is able to reduce risk by
diversifying over many different properties.<br><br>Of
course, the trade-off to mortgage pool investing is reduced
returns. The mortgage pool manager draws their pay directly
from pool profits. This substantially lowers profits and
cuts deep into investor's pockets. However, many investors
have leaned toward the mortgage pool option over the direct
lending option because it was easier and incurred less risk.<br>

<br>The EquityBuild Finance strategy of investment overcomes
the former downside of direct private mortgage lending,
giving direct private mortgages the advantages of mortgage
pools without the historical challenges typically associated
with direct private mortgages. Direct lending is typically
reserved for seasoned real estate professionals due to the
level of expertise that is needed to identify undervalued
properties and go through the appropriate steps&nbsp; to protect the investment and assure a top return on
investment. In return, however, they are&nbsp; able to gain direct
access to the collateral provided in the direct lending
model.<br><br>The direct lender typically has an appraisal
done on the property, analyzes the value of the property and
the upgrades it will need, works the numbers to determine a
break-even point, and then calculates what kind of offer on
the property will be feasible to earn a good return on
investment. Once that's done they find a qualified buyer to
purchase the property and draw up paperwork that protects
them against the possibility of the buyer defaulting on the
mortgage.<br><br>It's actually, in our opinion, very
satisfying work. However, it does take a great deal of
expertise. EquityBuild Finance has made direct private
mortgage lending a real possibility, even for the average
investor. You don't need any expertise in the real estate
market to take advantage of the combination of,&nbsp;
<strong>good returns
and stability</strong>, that private mortgages offer.
EquityBuild Finance does all the ground work for you. All
you need to do to take part in direct private lending is invest the
money.<br><br>As a direct investor, you'll be able to take
advantage of higher returns than you would get if you
invested in a mortgage pool without any of the expert
knowledge required.</p>