FIXED INCOME DEED OF TRUST INVESTMENTS
We continue to build our investor base and our portfolio using sound investment practices, a thorough review of each property, and our knowledge and experience in a real estate market where we have extensive expertise.
We are dedicated to paying the highest possible yield with the lowest possible risk.
Our success is based upon the use of our proven, long standing investment principles:
- We manage your money as we would our own.
- We review each property and screen each loan applicant in great detail to insure success.
- We use conservative underwriting criteria.
- We require excellent safety margins to insure that each investment is backed by solid property values and equity.
- We will turn down a loan before risking a foreclosure.
Roza Real Estate Loans, Inc. offers investors, also referred to as “Lenders”, the ability to invest in an individual Note, secured by a Deed of Trust. Investors must meet certain investor criteria, specified by the Department of Real Estate (DRE). The minimum investment amount into an individual Note is $150,000. Investors are encouraged to diversify their financial real estate portfolio by making investments into multiple Notes.
We work with a wide range of investors, including but not limited to:
- Revocable Family Trusts
- Individual Retirement Plans (IRA)
- Self Employed Retirement Plans (SEP-IRA)
- Profit Sharing Plans (PSP)
Diversification and Security
We believe well managed commercial mortgage investments are an excellent way to achieve a balance between above average returns and below average risks. That is what you will get when investing with Roza Real Estate Loans, Inc.
Please review the information in the following table for additional information regarding investments into Deeds of Trust.
|What are they?||Investments in loans which are secured by deeds of trust. These alternative investments are either used for direct transaction financing through escrow or to replace a warehoused investment. Approved for IRA funds.|
|Advantages of these real estate investments:||Consistent monthly income
Defined investment period
Higher yields than traditional fixed income investments
|How do the borrowers use the loan funds?||“Business Purpose” uses only. We do not fund loans for “consumer” purposes (personal, family or household use).Examples: Real estate investment, expansion, debt consolidation, acquisition and operations, income-producing commercial properties (multi-family, office, retail, light industrial).We do not allow these loans to be used for purchase of primary residences.|
|Geographic Restrictions:||State of California only. We are located in Northern California.|
|Loan Amounts:||$100,000 – $2,000,000. Average loan size is $500,000. Investments are in individual deeds of trust and “pools”.|
|Loan-To-Value:||Up to 65% market value, as determined through in-house market research and/or appraisal.|
|Minimum Credit Score:||Borrower credit report shall be reviewed and priced accordingly.|
|Loan Type:||1st and 2nd only on approved real property security, interest only or partially amortized.|
|Terms:||12 months – 3 years individual loan terms, depending on borrower’s needs|
|Occupancy of collateral:||May be secured with primary residence, (Business Purpose Only), or investment properties.|
|Note Rates:||Ranging from 8% to 10%, based on position, equity and level of perceived risk. (Call us for current rates)|
|Investor Yields:||Starting at 7% (Call us for current rates)|
|Prepayment Penalties:||None, but we typically include 4 months guaranteed interest from borrower.|
|Late Charges:||Yes, beyond 10 day grace period, based on loan amount|
|Explanation and Exit Strategy:||Every file contains required disclosures and payment guarantees, from which we perform our in-house due diligence. Files also contain a letter of explanation from the Borrower regarding their current situation, the use of funds, the personal benefit derived from the loan and their anticipated exit strategy from our loan.|
ALL INVESTMENTS HAVE RISKS, PLEASE CONSULT WITH YOUR ATTORNEY OR FINANCIAL ADVISOR BEFORE INVESTING