Does Secured Investment Lending Corporation pool money?
No, SILC does NOT bring investors together or take money to invest, SILC simply sells and services existing Whole Loans to the single entity it is assigned to.
What is the APR for Secured Investment Lending Whole Loan Investments?
The APR is 8% secured only with first position liens.
What is the typical amount invested for each individual mortgage note from Secured Investment Lending?
SILC’s Mortgage Notes range from 50K to 500K
When do we receive our monthly interest payments from Secured Investment Lending?
Interest payments are released to investors on or before the 20th of each month.
Is my Whole Loan Insured?
Yes, all of the mortgage notes from Secured Investment Lending are insured with a Lender’s Mortgage Title Policy. This policy is transferred to the Mortgage Investor when they purchase the mortgage note. The property is also insured with an Owner’s Title Policy and a Property Insurance Policy.
What is the term of the Whole Loan Investment?
All of the Whole Loan Investments from SILC are 12 month bridge loan’s, however we do lend up to five years to borrowers who have a buy/rent strategy.
What happens when one of my mortgage investments pay off?
When your Whole Loan Investment pays off you will receive the principle and any interest accrued for that month. SILC will also inform you of the payoff well in advance so that your investment capital can be re-invested for you with very little if any down time between mortgages to ensure that you receive the maximum APR on your investment. SILC always has Whole Loans Investments available, ready to be purchased by our investors.
What if a property depreciates over the term of the loan?
The mortgages do not have a pre-payment penalty, which allows the borrowers to pay them off sooner than 12 months without any penalty. This allows the Mortgage Investor to cycle their investment capital through multiple loans and always have an updated appraisal with each new mortgage investment. Essentially, ensuring that the valuation of each Whole Loan Investment is accurate and does not have enough time to depreciate like longer term mortgage investments.
Can I get my Investment returned prior to the term of the loan?
If the Whole Loan Investor has an emergency we will make every effort to resell the Whole Loan investment to another SILC investor with no fees to the Mortgage Investor.
Why are these Whole Loan Investments safe?
The loans are underwritten and originated by SILC at a very low LTV (Loan To Value) to ensure ample security for the Mortgage Investor. Our loans are a maximum of 65% LTV and the borrowers must have sufficient income and reserves to support the loan amount being provided by SILC.
What type of documentation will be provided by SILC?
SILC uses Sharefile by Citrix which is a secured cloud storage platform for your documents and allows you to access of documents at your convenience. Assignment of Mortgage, Master Loan Servicing Agreement, and Copy of all inspections performed on the property (appraisal, home inspection, termite report & survey), copy of borrower’s credit report, copy of the Land Trust Agreement & copy of insurance policies will all be available.
What are the responsibilities of Secured Investment Lending?
SILC is a full service loan servicing company. The responsibilities of SILC are to collect monthly payments, disburse interest payments to the Mortgage Investors, manage the escrow accounts, disburse rehab draws to the borrower’s, manage insurance policies, coordinate pay off and closing with title company and borrower & help the Mortgage Investor manage his investment capital to ensure the highest APR possible. The Mortgage Investor has no responsibilities in the servicing of the loan.
How is my investment Secured?
There is a first lien position mortgage on every property. That mortgage is assigned to the Mortgage Investor at the time of purchase from SILC. It is also secured with a Promissory Note from the borrower and the property is titled in a Land Trust.
How much money does a typical borrower have invested in these Loans?
The borrowers have a minimum of $7,500 or half of the rehab escrow amount whichever is greater. This is typically around a 15-20% down payment from the borrower.
How is the property titled in a SILC Whole Loan Investment?
SILC properties are titled in a Land Trust. This allows for the Whole Note Investor to be completely protected and ensures for maximum control of the investment property.
What if the borrower fails to make his payments as agreed in the Mortgage?
This does not happen very often, but when it does the process of collection or a remedy for the situation is part of the servicing of the mortgage provided by SILC. Our staff will communicate with the borrower by phone, email, and certified mail to ensure that every effort is made to bring the loan current. We also offer alternative remedies to the borrower if necessary such as having another Real Estate Investor buy out the delinquent borrower and finish the project themselves. We have also been successful with finding the delinquent borrower a partner to join up with him to carry the mortgage payments until the mortgage is satisfied in full.
What happens when a borrower is in default by 60 days?
The Mortgage Note Investments that Secured Investment Lending is servicing are all titled in Land Trust. The Land Trust agreement executed by all parties at closing is tied to the mortgage and note that are executed by the borrower for the security of the Lender. The trust agreement states that the borrower will forfeit their beneficial interest in the trust if they fall 60 days or more delinquent with their mortgage payments. This allows the Mortgage Note Investor to control the property immediately upon a 60-day default without a foreclosure process.
Secured Investment Lending has a relationship with licensed builder, Engineer and 2 real estate brokerages that can immediately liquidate the property for the Investor and create an additional profit for the Whole Loan Investor.
What happens if the Borrower defaults?
Secured Investment Lending can manage the resell of the property, complete any repairs, if needed, that would need to be finalized, sell the house and get the Whole Loan Investors principle investment back Immediately along with any additional profit that would be recognized by the Investor. Secured Investment Lending cannot guarantee return of capital investment or additional profit.
What are the additional benefits to Investing with Secured Investment Lending?
Secured Investment Lending is a “One Stop Shop” when it comes to Real Estate Investing and Mortgage Investing. On the Mortgage Investing side we provide the Mortgage Investment opportunities, loan servicing & investment protection with our local knowledge. On the Real Estate side we provide our Mortgage Investors with access to renovation experts and local real estate experts to ensure the fulfillment of the Mortgage Investors expectations.
How do we get started investing with Secured Investment Lending?
It is very simple. Contact us by email or by phone and we will answer any questions you may have and find a Whole Loan Investment opportunity that fits your investment criteria. We look forward to working for YOU.