At Songbird & Leaf we are always on the lookout for unique spaces that have been overlooked. Often these spaces require renovation to bring them up to the high standard that our guests expect when they stay with us. When this is the case, we are able to renovate and then recoup our capital through refinance on completion, allowing us to preserve capital and reinvest into our next property.
This is commonly referred to as the BRRRR (Buy, Renovate, Rent, Refinance, Repeat) method of real estate investing. We are well-experienced in this area having executed this strategy in London, Canada. Now, we are expanding our horizons and widening our search in an effort to expand Songbird & Leaf. This experience is an asset to your next project.
A private loan from us will allow you to complete renovations in a timely manner while preserving your long term capital to secure additional properties.
Learn more about how we can help you finance your next project.
What is Private Lending?
Private Lenders are private corporations where money from a group of investors are pooled together to fund mortgages. Typically, these mortgages are priced at a higher interest rate, include an administration fee and typically shorter terms than your traditional institutional mortgages. Private mortgages serve a purpose to bridge a borrower’s immediate need with a lending solution. These are meant to be a temporary solution before transitioning to your traditional lender.
Who are the typical borrowers?
Borrowers of private lending generally have a credit score that is subprime or are unable to provide sufficient proof of income to be qualified through your traditional lenders. These could include your Newcomers to Canada, Self-Employed or Real Estate Investors who have the capital for down payment and mortgage payments but do not have the ability to show sufficient income on required documents to qualify through the traditional stress test and mortgage process.
Is Private Lending the right investment solution for me?
As with any successful investment strategy, diversification in different asset classes in your investment portfolio will help reduce risk and fluctuations. Private lending can be a part of your overall investment portfolio, providing you diversification in fixed income and real estate backed investments. It provides an excellent stream of cash flow generated from the interest paid by the borrower. Contrary to the stock market where there are higher levels of fluctuation, Private Lending provides a predictable schedule of payments and return. With Benjamin, we can provide you access to highly vetted private lending opportunities that will help you generate passive, predictable income with quarterly investment payouts!
Learn more about how we can help you finance your next project.