Description

Description of Secured Mortgage Deposit

Secured Mortgage Deposit is one of the most common of all lending agreements.

With this type of contract, the loan is backed or secured with some type of ​real estate as collateral. These real estate items are placed by the fund on its books at a discount of 35-50%. In the event that the debtor defaults on the loan, the lender has the right to seize control of that collateral as a means of offsetting any losses resulting from the failure of the debtor to settle the outstanding debt.

Conditions

Conditions

Term 3 years to 15 years
Minimum amount $500,000 U.S. dollars
Interest distribution Monthly
Additional deposit Available from $100,000 U.S. dollars over the new term
Early withdrawal Allowed
Secured obligation Yes
Tax on interest US Tax Bracket
Reporting Monthly
Online access Yes

Advantages

Advantages of Secured Mortgage Deposit

  • Low risks (low LTV, conservative underwriting)
  • High sustainable rate of return (as compared to other instruments)
  • Monthly interest distribution
  • Optimal investment term
  • Reliable jurisdiction (transparency and regulation under the U.S. laws)
  • Diversification of investments

How it Works

How to Invest in Secured Mortgage Deposit

  • Determine the term and amount of investment
  • Execute an investment agreement with the fund
  • Transfer funds into your capital account
  • Earn investment income

Legal Aspects

  • The investor shall be entitled to assign the account to any third party, by submitting a relevant application to the Fund, and subject to approval by Fund Manager
  • The rights to income can be transferred to any successor or preliminarily indicated beneficiary
  • The owner can transfer its agreement into trust management