In the popular press today, almost every time you see the label “fixed income” it goes with a negative story – often about retired people trying to live on an income that’s basically fixed to the amount of social security they receive each month.
However, in the investment world, enjoying a fixed income can be a huge bonus, especially considering how some other investment options today are delivering such unpredictable returns.
Hard money loan ROI
Of course, a fixed-income investment is only good if it offers an attractive rate of return, and that’s where hard money loan investing excels. At Evoque Lending, our investors are currently enjoying double-digit returns on the hard money loans they are funding in Los Angeles, Orange County, San Francisco and other areas of California.
Finding a rate of return that high somewhere else that’s backed by anything as secure as California real estate, is virtually impossible. This is why so many local investors are turning to hard money loans via First Trust Deeds to boost their investment portfolios.
Adding First Trust Deeds through Evoque Lending makes sense in a wide range of scenarios. Since I started this article talking about the relationship between retirement and “fixed income” let me elaborate on that point just a bit.
An attractive ‘fixed income’
Many retirees depend on a steady stream of income from their retirement accounts to maintain their standard of living. This is extraordinarily difficult with most investment strategies today. However, with First Trust Deed/hard-money-loan investing, you can probably achieve the monthly income level you require.
When you fund a First Trust Deed for a qualified borrower, you receive a monthly check or direct bank deposit for the amount of interest of the loan. This is the ideal situation for virtually all retirees.
However, I know that retired individuals must also carefully manage the safety of their investments, so let me quickly share how we build safety into all the hard money loans we facilitate at Evoque Lending.
Rely on experience
Through more than 15 years in the California hard money loan investment business, we have developed a solid system to help assure the safety of our investors and it is built on two fundamental principles:
– We insist on some 40 percent of “protective equity” in every First Trust Deed, and
– We insist that borrowers have the financial ability and willingness to meet their monthly obligations.
When those two important elements are in place, we find that savvy retirees are able to enjoy the high rates of return available to them by funding hard money loans on quality California real estate.
Of course, what is true for people currently enjoying retirement is also true for those of you whose retirement may be a few years (or more) in the future. The recent fall of the stock market has hit many retirement accounts hard.
Did you know that First Trust Deeds (hard money loans) can be included in all of the popular retirement accounts? If you want to bring some “fixed income” stability along with a double-digit return to your retirement account, Evoque Lending can make it happen.
I’ve only given you a brief introduction to how hard money loan investing can breathe new life into your investment portfolio. Please give me a call or drop me an email and we can take the conversation further. You owe it to yourself, your family and your future to see if First Trust Deeds are the right fit for your situation.