Showing posts with label funding. Show all posts
Showing posts with label funding. Show all posts

Friday, July 27, 2018

How To Approach A Defaulting Second Mortgage


Default happens, hopefully not often, but it is a fact of lending. Upon default, however, a holder of a second mortgage must find an objective, value-driven manner in which to evaluate its options. Unfortunately, in many instances second position lienholders opt for one of two extreme approaches—accepting a nominal amount in exchange for the release of the lien or demanding an unreasonably high sum for satisfaction of the lien. Both approaches are harmful for different reasons. Despite such prevalent behavior, with proper management, a defaulting second mortgage can provide a lienholder with a number of options.

Wednesday, July 25, 2018

Real Estate Crowdfunding

Real estate crowdfunding has been a hot topic for the past few years and continues to gain notoriety. Praised for its flexibility and low barrier to entry, crowdfunding enables investors to directly invest in real estate properties without having to amass the funds necessary for a mortgage down-payment. For an amount as low as $500, in some instances, investors can contribute to a pool of investor capital that will enable a real estate entity to acquire a property. Open to both accredited investors and the public at large, crowdfunding offers access to the risks and rewards of direct real estate ownership in a passive manner with relatively little out-of-pocket costs.