This posting is an update of my status and contains information of a release of two new programs. This is from an email that was targeted towards mortgage broker contacts I had while a Mortgage Wholesale Account Executive. You are likely aware that I left SunTrust Mortgage back in mid-December. I did not leave for a new job with another lender; rather, I took some time and spent the balance of December with my family, particularly with my son. He is a Marine and was home for the holidays on a pre-deployment leave. In early January, he was deployed to Asia and is currently on a Marine Expeditionary Unit (MEU) for 6 months.
I’ve also taken time to contemplate my next move. This is where you come in. I am not that interested in going back into the mortgage industry. 27+ years seems like enough. Yet, I have always been interested in real estate. I formed a real estate investing company a few years ago, but wasn’t active until last year. I’ve determined that NOW is the right opportunity to ramp up that business.
Part of my complete business model can benefit you as a mortgage broker/banker. There are two opportunities to partner with me for you to make some money. Allow me to outline both of these methods.
Partners in Profit
Our Partners in Profit program is where we fund our property acquisitions with private money. Not hard money, but from people with under-performing IRA’s or other investment accounts. People you know.
I am not interested in financing my property acquisitions through traditional bank or mortgage company financing. Rather, I am looking for private investors who are looking for returns better and/or more stable than what they may get elsewhere. As you may know, the IRS allows people to hold real estate or notes secured by real estate in their IRAs. I look for people with IRAs that are not comfortable with the volatility in the stock market, perhaps they don’t have the time to actively watch their investment accounts, and have an interest in passive income through real estate. My company would borrow money from the IRA, secured by a note and trust deed on the house being acquired, and pay a monthly interest payment for the duration of the note, usually 24 – 48 months.
I have a relationship with a local company that can assist with initiating the proper self-directed IRA to use for this purpose. You may know of one as well. They handle all the particulars, and I never have my hands on the money. It gets disbursed through escrow, the loan is secured by a Trust Deed and note, I set up and pay for a monthly contract collection account, and the investor receives passive income deposited directly back into their IRA account. Since I generally acquire these properties at a significant discount, their loan is secured in a high equity position. If anything goes sideways, they could take the house back at generally a 65 – 70% LTV, dispose of the property at market value and receive back there original investment plus the additional equity amount. It’s really a no-brainier for someone that isn’t happy with their current IRA performance and desires passive income. These notes are generally written for a 2 – 4 year period. They are not used to finance flips or short term holds, although sources for that type of funding are welcome.
Your opportunity is to source these Partners in Profit private investors and connect them to me. I am confident you have at least one client in your database that has an IRA that could work for this purpose. When I acquire a property and use funds from your referral, I pay you a 1% fee of the amount borrowed paid through escrow. You get paid simply for the referral; no loan application to process, no appraisal to order through an AMC, no loan package to submit to a lender and manage conditions. Sound Good?
The Perfect Tenant Program
I’m sure you have a drawer full of clients that are looking to become homeowners, but are not quite within the parameters required for approval of financing within the current lending restrictions. These are good people, deserve a home and might be eligible for financing if there was some sub-prime or Alt-A loan programs available. In 2 – 4 years, they could qualify for a standard loan program.
What we do is match these clients with the properties that are financed under the Partners in Profit program described above or another property I have in my inventory. We then draw up the appropriate Lease with Option to Purchase document for that client on that house. You continue to work with that client during the Lease Option period, making sure they are ready by the end of the Lease Option term, and handle the financing when they exercise the option to purchase. You get paid again!!
When the client exercises their option to purchase and we pay off the private lender, then we do it all again, and you get paid 1% again on the new use of the private funds. It becomes a repeated cycle of income for you.
This is a niche alternative for your clients that you would previously put into a sub-prime or Alt A type product. Today, we are all looking for a unique niche that sets us apart from the standard vanilla loan products available.
Now, a few things. First, if you have any questions, please call me or email me back. If you have any suggestions, I welcome the feedback. If you have no interest in this, let me know and I will remove you from further mailings. Most importantly, if you are interested in the programs outlined above and have candidates for either the Partners in Profit program or the Perfect Tenant Program, let’s talk. You can contact me through any of the avenues listed below.
Thank you for this opportunity to once again bring you a viable program that can prove profitable to all parties.
Cody Cox
Northwest Property Options, LLC.
503-682-1946 Office
503-784-1417 Mobile
503-685-6339 Fax
Email: northwestpropertyoptions@gmail.com
Website: www.northwestpropertyoptions.com
Blog: http://northwestpropertyoptions.blogspot.com
I’ve also taken time to contemplate my next move. This is where you come in. I am not that interested in going back into the mortgage industry. 27+ years seems like enough. Yet, I have always been interested in real estate. I formed a real estate investing company a few years ago, but wasn’t active until last year. I’ve determined that NOW is the right opportunity to ramp up that business.
Part of my complete business model can benefit you as a mortgage broker/banker. There are two opportunities to partner with me for you to make some money. Allow me to outline both of these methods.
Partners in Profit
Our Partners in Profit program is where we fund our property acquisitions with private money. Not hard money, but from people with under-performing IRA’s or other investment accounts. People you know.
I am not interested in financing my property acquisitions through traditional bank or mortgage company financing. Rather, I am looking for private investors who are looking for returns better and/or more stable than what they may get elsewhere. As you may know, the IRS allows people to hold real estate or notes secured by real estate in their IRAs. I look for people with IRAs that are not comfortable with the volatility in the stock market, perhaps they don’t have the time to actively watch their investment accounts, and have an interest in passive income through real estate. My company would borrow money from the IRA, secured by a note and trust deed on the house being acquired, and pay a monthly interest payment for the duration of the note, usually 24 – 48 months.
I have a relationship with a local company that can assist with initiating the proper self-directed IRA to use for this purpose. You may know of one as well. They handle all the particulars, and I never have my hands on the money. It gets disbursed through escrow, the loan is secured by a Trust Deed and note, I set up and pay for a monthly contract collection account, and the investor receives passive income deposited directly back into their IRA account. Since I generally acquire these properties at a significant discount, their loan is secured in a high equity position. If anything goes sideways, they could take the house back at generally a 65 – 70% LTV, dispose of the property at market value and receive back there original investment plus the additional equity amount. It’s really a no-brainier for someone that isn’t happy with their current IRA performance and desires passive income. These notes are generally written for a 2 – 4 year period. They are not used to finance flips or short term holds, although sources for that type of funding are welcome.
Your opportunity is to source these Partners in Profit private investors and connect them to me. I am confident you have at least one client in your database that has an IRA that could work for this purpose. When I acquire a property and use funds from your referral, I pay you a 1% fee of the amount borrowed paid through escrow. You get paid simply for the referral; no loan application to process, no appraisal to order through an AMC, no loan package to submit to a lender and manage conditions. Sound Good?
The Perfect Tenant Program
I’m sure you have a drawer full of clients that are looking to become homeowners, but are not quite within the parameters required for approval of financing within the current lending restrictions. These are good people, deserve a home and might be eligible for financing if there was some sub-prime or Alt-A loan programs available. In 2 – 4 years, they could qualify for a standard loan program.
What we do is match these clients with the properties that are financed under the Partners in Profit program described above or another property I have in my inventory. We then draw up the appropriate Lease with Option to Purchase document for that client on that house. You continue to work with that client during the Lease Option period, making sure they are ready by the end of the Lease Option term, and handle the financing when they exercise the option to purchase. You get paid again!!
When the client exercises their option to purchase and we pay off the private lender, then we do it all again, and you get paid 1% again on the new use of the private funds. It becomes a repeated cycle of income for you.
This is a niche alternative for your clients that you would previously put into a sub-prime or Alt A type product. Today, we are all looking for a unique niche that sets us apart from the standard vanilla loan products available.
Now, a few things. First, if you have any questions, please call me or email me back. If you have any suggestions, I welcome the feedback. If you have no interest in this, let me know and I will remove you from further mailings. Most importantly, if you are interested in the programs outlined above and have candidates for either the Partners in Profit program or the Perfect Tenant Program, let’s talk. You can contact me through any of the avenues listed below.
Thank you for this opportunity to once again bring you a viable program that can prove profitable to all parties.
Cody Cox
Northwest Property Options, LLC.
503-682-1946 Office
503-784-1417 Mobile
503-685-6339 Fax
Email: northwestpropertyoptions@gmail.com
Website: www.northwestpropertyoptions.com
Blog: http://northwestpropertyoptions.blogspot.com
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