Fed Cuts Rates, Investors Seek Private Mortgages
For the past 7-10 years, I have been an early investor in Affordable Housing. I worked out the kinks and many investors now benefit from the path I cutout.
I have collaborated with big banks and small banks, and I have partnered extensively with private lenders.
Today the Federal Reserve cut the rates to delay a market crash. Money is the least expensive it has ever been in 5000 years of recorded history. There are two massive takeaways from this decision:
The Federal Government sees the need to stabilize the markets to sustain expansion
Everyone has some level of market insecurity as the 2020 elections approach. It is more important than ever for investors to invest in debt secured by affordable housing.
The Wall Street Journal reported today, “The Fed’s rate-setting committee had said in June, July and September it would “act as appropriate” to sustain the economic expansion.”
Investors can no longer make money from Wall Street Banks
In volatile times such as these, the need for Private Mortgages comes into the picture.
I know what your thinking, “Who needs a private mortgage when they can get loans for 1.25%, right?”
As I mentioned, I have been in the Affordable Housing arena for the past 7-10 years. The biggest question I get asked on a daily basis and the biggest struggle with this property category is how to finance Mobile Home Parks, Section 8 Apartment Complexes and similar properties.
The answer remains the same: Walls Street Banks don’t want to touch them.
Because of that fact, these properties will always need Private Mortgages that yield investors higher interest rates because of the presumed risk factors.
Do you wanna know what’s laughable? Affordable Housing is economy proof!
When the economy is up, Affordable Housing is in demand because average people cannot afford to live where they work. When the economy is down, the demand for affordable housing increases exponentially.
Because of these truths I have put together an exclusive Fund. I do not see anyone fulfilling the need for this type of financing and, in light of that fact, I have brokered one of the most significant collections of mortgages that accredited investors can be a part of.
I’m taking on a very select few, and most will not qualify for this opportunity. If you have an interest in finding out more, reach out to me for next steps.
CALEB J. WALSH