The Fund pools capital from many investors and spreads those funds over several loans at any time. This provides exceptional diversification for all investors.
Borrowers and projects are vetted using strict underwriting criteria to emphasize safety.
Projects are closely monitored, and rehab or construction funds are distributed as work completes.
The targeted overall annual return to investors is between 8% and 12% - however, these returns are not guaranteed.
Investors must be accredited, meaning that they meet certain requirements set by the SEC.
Are you looking for a way to grow your wealth or generate monthly passive income? Investing through real estate loans is an attractive opportunity for many investors. Investing in high interest, short term real-estate-secured loans provides exceptional diversification to your portfolio. Here’s how investing through real estate loans compares to other types of investing:
Bank CDs and Treasuries are very safe but often don't keep up with inflation.
Stocks and bonds can provide very high returns, but they can also be volatile.
Hard money investing provides high returns, the safety of an asset-based investment, low volatility and reasonable liquidity.
Investing in commercial real estate through commercial and construction lending provides protection from inflation as well as high returns.
The value The Investor’s Source provides to real estate investors starts with the due diligence performed on both the borrowers and the project to ensure that the loan has the highest chance of success. Our screening process includes:
In-house property valuations
Visiting the property and meeting the borrower whenever possible
Running a thorough deal analysis to ensure sufficient profitability & cash availability to close
Formally evaluating the value of the project using an Appraisal or Broker Price Opinion
Thoroughly analyzing budgets and a comprehensive budget meeting for rehab, construction & land development loans, to ensure sufficiency to complete each project
Requiring full underwriting documentation, including multiple references, the loan application, credit report, tax returns, income documentation, proof of insurance, and all construction documentation
Other loan functions provided by The Investor’s Source include complete loan servicing & construction draw processing and working with title companies in securing title insurance, closing instructions & payoffs. From hard money loans to commercial mortgage loans and construction lending, everything we do helps ensure the success of the loan and the investors.
In short, The Investor’s Source follows a lengthy set of underwriting requirements that focuses on a strong borrower and a well-structured real estate loan project.
Ready to get started with real estate loan investments? Learn more about our Private Lending Fund #1 or trust deed investing with us, and how you can get involved today!