Advantages Of Private Investing
We collect late fees that both act as a deterrent and a source of income should the payments be late.
AN INVESTMENT YOU CAN TOUCH
This is an attractive feature for investors. Stocks and bonds tumble all over the place and are controlled by some faceless “expert”. You can never really touch your investment. There is an inherent sense of stability people relate to tangible assets such as land and buildings. Values fluctuate, but not as wildly as stocks and bonds and real estate virtually never goes to zero; thus, there is less risk of losing your principal investment.
The principles of Equity Build Finance are seasoned real estate professionals and only use other seasoned real estate professionals as third party vendors when conducting transactions. This adds another layer of safety and security for the investor.
This can be a completely passive investment leaving more quality time for you and your enjoyment. You’ll leave the particulars of underwriting, closing and servicing of the loan to the real estate professionals. With this type of investment, you won’t have to worry about midnight calls from tenants or lie awake wondering if your stock portfolio will crash the next day.
Many “standard” investments such as high-yield CD’s compound one time per year. Our hard money model allows us to compound investor money sometimes up to 3 times per year, thus dramatically increasing investor ROI. Read How Your Money Grows to see examples of compound interest v.s simple interest.
You can choose when to invest and how much to invest.
People like the idea of being a bank which, in essence, is what you’re doing. Why not make a fortune in real estate lending, like banks do, if you have the resources available to do it?
Branching out into other asset classes enhances investor security.
EASY TO UNDERSTAND
You don’t need to be a rocket scientist or need a PhD to understand this investment model. It’s simple. Earn 8%-12% on your money that is backed by a property worth more than what you invested in it.
Your returns are not dependent on the whims or daily mood of the stock market. They are determined at the time the loan is written, so you don’t need to monitor charts or the daily news to know what your returns are going to be.
PROVEN, SOUND INVESTING
This type of investing has been around longer than the stock market, longer than the United States – even longer than paper currency!