Equity is a term used in the fields of accounting and finance, showing the difference between the value of an asset compared to its interest, and the cost of a liability of something owned.
An equity investment refers to money that is used buying and holding of shares of common stocks from individuals and firms. These shares are used within the stock market in anticipation of income from dividends and capital gains, based upon the value of the stock rising and are not used within the normal course of business. Investors only get this money back when they either sell their shareholding or when the assets of the firm are liquidated and those proceeds are distributed once the firm’s obligations are satisfied.
Equity holders receive voting rights, which allow them to vote for candidates for positions such as the board of directors. Alternatively, large private investors and pension funds can hold shares directly. This method is used for clients that have their own portfolios and have what is referred to as segregated funds, that can work in conjunction with pooled methods of mutual fund alternatives.
When it comes to finding the best investment deal, whether it’s within the Las vegas valley or nationwide, RealCap Funding is a one-stop destination to making your financial dreams a reality. However you choose to contact us, whether it’s by phone: (702) 951-5600, by e-mail: firstname.lastname@example.org, or by the website: http://www.realcapfunding.com/ – RealCap Funding provides services that are dedicated to getting its clients the best value for their money.
A personal guarantee is a form of collateral in which a person, organization or corporation promises to accept responsibility as a guarantor for another party’s debt (also known as the debtor) if there is a failure to pay. In this instance, the individual that makes this guarantee is known as a co-signer of a loan’s note. Guarantors also have to have a credit history, which also applies to an individual or organization.
Personal guarantees are established to allow organizations or people to obtain credit for those that lack, or how low/insufficient credit histories. In the instance of small corporations or limited liability companies, managers and/or stockholders will guarantee liability for debts in the event that an organization has a failure to pay.
Most common examples are that of corporate credit cards issued to borrowers of small organizations. These issuances have the individual accept a personal responsibility for the debt as well as the organization in the event that a debt is not paid. In more personal instances of backing, parents of their adult children have also been known to provide personal guarantees in the case of minimal credit histories.
In addition, subordinate (secondary and tertiary) lien holders will still receive repayment after liquidation until the funds are either fully used or there are no more unpaid liens.
For the soundest advice when it comes to personal guarantees, contact RealCap Funding at (702) 951-5600, e-mail us at email@example.com or visit our website at http://www.realcapfunding.com/. Based in the Las Vegas valley, our services provide support and assistance for companies nationwide.
First liens are an important aspect of mortgage and property transactions. To properly understand first liens, however, one must understand the concept of the lien itself.
Liens are a legal security interest in the property. These properties range from real to personal, and are created and publicly recorded until the debt or mortgage has been satisfied. As an encumbrance on the property, a lien can keep a property from being transferred. A first lien position is for lenders that are in the first (or priority) position of benefit from the liquidation of collateral that secures a loan. This is done when a loan is in default and a property is due to to be sold. Most lenders require a first lien in order to provide financing on a collateralized loan to determine any previous liens against a property.
Liens can be placed on a variety from personal properties, ranging from vehicles such as cars or boats to property such as land, homes or businesses. A lien is only valid as long as it is publicly recorded in a proper manner in the jurisdiction where the property is.
An example of a first lien position would be the bank which holds the original mortgage on your property. The term primary lien holder refers to the lender who retains the first lien position.
When a loan defaults, the secured loan collateral is liquefied, and the lender of record for the first lien position receives a repayment of that amount, as long as collateral secured the outstanding loan balance.
If funds remain after liquidation, subordinate (secondary, tertiary) lien holders will receive repayment until either all of the funds are liquidated, or there are no more unpaid liens.
A discounted payoff (or DPO) is a loan repayment in an amount less than the outstanding principal balance. This payoff serves as an alternative available for resolving a problem debt situation for commercial real estate transactions. This type of debt occurs when real estate assets decline significantly value-wise, resulting in a greater loan amount than an amount that can be refinanced.
Writing off part of the loan results in financial hits to the lender. At this stage, a discounted payoff will only be considered if all other money recovery resources are exhausted in order to get the full amount of the outstanding principal.
Lenders use a discounted payoff when the borrower does not have the capacity (or willingness) to refinance the asset via additional equity. This is done when a foreclosure and subsequent asset sale do not result in an outstanding loan amount’s full recovery.
Once a borrower and lender negotiate a discounted payoff, it is up to the borrower to raise capital and pay off the loan. In many instances, the borrower will have to opt for a bridge loan, as a new lender will finance a payoff made by a previous lender until conventional refinancing is available. Discounted payoff amounts form new cost bases for the property. Once established, bridge lenders require the borrower to place substantial equity into the asset, providing a sufficient margin of safety on bridge loans.
When it comes to discounted payoffs, RealCap Funding excels in providing guidance throughout any potentially complex financial transaction. To help get your next business deal off the ground, contact RealCap Funding at (702) 951-5600, e-mail at firstname.lastname@example.org, or visit the RealCap Funding website at http://www.realcapfunding.com/.
The process of cash-out refinancing allows property owners to refinance their mortgage for more than what is currently owed and then have the option to retain the difference. Many homeowners today are all too willing to turn the equity of their property into cash and credit. With cash-out financing, a mortgage can be refinanced for more than what is owed, getting a better rate on the property, as well as getting extra money to pocket.
Cash-out refinancing has several differences in comparison to a home equity loan:
* Cash-out refinancing replaces the property owner’s first mortgage.
* Closing costs are not paid for a home equity loan.
* Closing costs can amount to large amounts of money, ranging from hundreds to thousands of dollars.
* Closing costs are paid by a property owner when a mortgage is refinanced.
* Home equity loans are a separate loan on top of your first mortgage.
* The interest rates on cash-out refinancing are usually lower than home equity loan rates.
For investment reasons, refinancing a higher amount at a higher rate isn’t a good practice, especially if the current mortgage is at a lower interest rate than by refinancing. In that instance, it is better to research a home equity loan.
Ultimately, cash-out financing is the correct investment path for those want to save each month and have a solid plan to spend the excess financial resources.
RealCap Funding offers dedicated service for transaction types such as cash-outs. When you are ready to start ensuring a sound financial future, give us a call at (702) 951-5600, e-mailing us at email@example.com, or visiting our website at http://www.realcapfunding.com/.
Third party title companies help ensure that a mortgage investment is being professionally administered at all times. As such, third party title companies should be licensed and bonded organizations. A bond is considered a deed for contract in which the purchase price is paid in installments. Once completed and paid in full, the title will be transferred to the borrower. These bonds for deeds are also known as a Contract for Deed or a Land Contract.
In these contracts, all of the terms set are negotiable between the seller and purchaser, where the interest rate is set between the seller and purchaser, and appraisals and inspections are optional at the parties’ discretion.
Bonds are used for deeds in the following scenarios:
Material Down Payment
Mortgage Not Assumable
Purchaser/Property Doesn’t Qualify
Title for bonds re-establish ownerships before that property can be sold or transferred to another individual or company. This is done when property ownership is unclear. Third-party bonds protect businesses against intentionally wrongful acts (like theft) committed by people working for them on a contract basis such as consultants or independent contractors.
RealCap Funding is a Las Vegas-based company that assists clients throughout the entire investing process from beginning to end. Based in the Las Vegas valley, RealCap Funding not only serves the southwest but also helps investors nationwide. When you are ready to make your investment process in motion as a Las Vegas investor, contact RealCap Funding by e-mailing us at firstname.lastname@example.org, calling at (702) 951-5600, or visiting our website at http://www.realcapfunding.com/ for the best investment recommendations in the industry.
When it comes to funding an investment, there are several steps that need to be done in order to complete the process in a proficient and secure manner. Part of that process ensures that a loan is able to be recommended as a suitable investment. This process is referred to as due diligence and helps to contribute to the most informed decision making possible.
Due diligence is a process where a person takes reasonable steps in order to satisfy legal requirements that deal in the business of buying or selling something. While usually part of a legal obligation, these can also be voluntary as they are a means to establish its assets and liabilities and evaluate its commercial potential. Due diligence is known as a comprehensive appraisal of a business that is undertaken by a prospective buyer.
Due diligence originated as part of the United States’ Securities Act of 1933 in which the defense could be used by broker-dealers when inadequate disclosure of material information with respect to the purchase of securities were presented to investors. This procedure helps in the process of business transactions and corporate finance procedures.
RealCap Funding is a Las Vegas based company that serves clients within the Las Vegas valley but have the expertise to help investors nationwide. When you are ready to make all of your investment dreams a reality, contact RealCap Funding by e-mailing us at email@example.com, calling at (702) 951-5600, or visiting our website at http://www.realcapfunding.com/ for the best investment recommendations in the southwest and beyond.
A trust deed mortgage is a unique aspect when it comes to securing a mortgage. In a standard mortgage, this type of agreement consists of just two parties: the borrower and the lender. With a trust deed mortgage, there is an additional third party that is added to the agreement. This third party is referred to as a “trustee.” The trustee holds the bare or legal title of the residential property until the loan is repaid in full.
The breakdown for this trifecta is as follows:
The trustor (aka borrower)
The beneficiary (aka lender)
This is considered a security measure in regards to the loan. If a borrower fails to make monthly payments, then it is the trust deed mortgage that allows a lender to foreclose and is given permission to sell the property at a public auction if the borrower has payment defaults. In instances of nonjudicial foreclosure, however, the lender can foreclose without going to court if the deed of trust states that the lender can foreclose via the contract containing a power of sale clause.
Being one of our specialties, RealCap Funding excels at trust deed mortgages. With decades worth of experience under their collective belts, we know the best decisions to make in order to ensure that our clients receive the best financial service possible both in the Las Vegas valley and beyond. When it comes time to set an appointment with RealCap Funding, contact our office by calling us at (702) 951-5600, e-mailing at firstname.lastname@example.org, or visiting the RealCap Funding website at http://www.realcapfunding.com/ – RealCap Funding works to provide fast, quality results to get the financial resolution that you deserve.
Managing a portfolio is an important service component of the RealCap Funding experience. Portfolio management is the management of one (or more) portfolios that centralizes on several different factors: authorization, control, identification, managing and prioritizing projects in order to reach specified and strategic business goals.
These operations are managed as a group in order to find the best strategies and are not necessarily defined as being interdependent or related. This type of management is defined as finding the portfolio’s strengths and weaknesses, opportunities and threats.
Portfolio management is simultaneously an art and a science that mix investment and policy. There are other factors that have to be considered as well, as the choice between debt versus equity, the difference between domestic vs. international markets, finding a balance more aggressive growth vs. a more protective safety and matching investments to objectives. Asset allocation for individuals versus institutions as well as balancing risk against performance are considered in addition to several other tradeoffs that clients may encounter when attempting to make the most return at a given appetite for risk.
When it comes to quality portfolio management, the experienced staff of RealCap Funding is on hand to best serve the needs of our investors. Our staff has truly “seen it all,” and have the know how to best guide our clients to the best and most sound investment decisions. When you are ready to set an appointment with us, contact RealCap Funding by calling us at (702) 951-5600, e-mailing at email@example.com, or visiting the RealCap Funding website at http://www.realcapfunding.com/.
When acquiring a commercial property, there are a few key factors that need to be taken into consideration in the commercial real estate acquisition business.
Investors have their preferred commercial acquisitions when it comes time to make a purchase. Investors can specialize in residential buildings or retail, but whatever their preferred property choices, each investor has a different type of strategy choice for different properties in different markets.
For industrial properties, real estate ranges from manufacturing, processing, technology and warehousing, which makes the market appealing to commercial investors. For this type of strategy, understand how zoning laws work is beneficial.
Residential properties primarily focus on apartment buildings and condominiums, as existing tenants in the buildings are a constant source of cash flow.
Retail properties are easier than residential properties, as there are no maintenance or rental issues. If situated in a well-strategized area and managed properly, they can benefit from the demographics and economy of the area.
Office buildings offer single and multi-tenant office buildings, making it a popular acquisition for commercial real estate. As long as there is a proper understanding of opportunities and risks, this makes it easier to lease the commercial property to investors.
Finally, Investment acquisitions require financial and mathematical expertise as these transactions are sizable but rewarding. It is necessary to thoroughly research the market, examining all the potential risks and rewards of each deal before making a decision.
When an investor is ready to benefit from the various services that RealCap Funding can offer, RealCap’s in-depth experience can be used in order to secure funding for your commercial investments within the Las Vegas valley and throughout the country. For that reason, investors can contact RealCap Funding today at (702) 485-6437, e-mail at firstname.lastname@example.org or visit the company website at http://www.realcapfunding.com.
As private money lenders, we have one of RealCap Funding’s experienced loan and investment team accommodate any debt and equity requests while getting the best rates possible. Contact RealCap Funding today to get the best investment value within loan parameters for the most secure loan requests in Las Vegas and beyond.