Private Lending
with Atlantic Bayside, LLC
Dear Investor,
Atlantic Bayside, LLC. buys several houses each month and has been since 2002. However, I have been investing in real estate for over 30 years.
When we pay cash for a house, we use private lenders instead of using our own funds or bank loans. Since we get a very high return on our own cash, we can offer our private lenders a high yield when using their money to fund our deals.
Maximum loan to value is 80%. That means we will borrow up to $80,000 on a $100,000 property. The money we borrow is secured by a 1st mortgage. Our investor gets 6.00% interest. Monthly payments include principal and interest, or interest only, depending on your desires.
Interest only payments keep 100% of your principal working for you. Most loans have a balloon payment due in 1 to 10 years. The term is decided by the you, the investor.
Sometimes we borrow offering a 2nd mortgage. For example, if there is a first mortgage for $50,000, then we can offer our investor a second mortgage of (up to) $30,000. In the case of a second position, we pay 8.00%.
All private lenders get:
- Promissory Note
- Mortgage recorded against the property
- Added on to the hazard insurance as the mortgagee
- Copy of an appraisal or market analysis report
We pay all costs involved to close the transaction. There is no cost to the investor.
To invest, we would first find out how much you are looking to tie up and for how long. We would then look for a deal that will met your criteria. Once located, I would call you, give you all the details and then you would decide to participate or not. There's never any obligation until after you approve the deal.
We never co-mingle or pool funds together. One investor... one note and mortgage.
When you decide on a deal, you’ll send your funds directly to the local closing attorney when we’re ready to close. We'll never accept your funds directly.
For some investors we can offer buying existing notes secured by real estate at a discount to yield 8-10%. These types of deals are less common but opportunities to buy discounted notes occur now and then. Discounted notes would require further explanation regarding risks.
Most of the houses used as collateral will be located in Onondaga County. Occasionally, we buy houses in Owego, Cayuga and Madison counties.
A majority of my private lenders currently include many of my family members, seasoned business contacts and previous sellers I bought property from. Only recently have I opened this up to others visiting our website.
If you have funds in a retirement account, you can use them to invest. The IRS requires the use of an approved custodian to qualify for tax deferred or tax free gains. I recommend to create a self-directed real estate retirement account. I will be glad to discuss this with you futher.
To learn more, or to be added to our private investor list, please call (315) 436-0500 or submit this form. Your questions are always welcome.
Sincerely,
Steven Essig
Atlantic Bayside, LLC
Clay, New York
www.cnyresults.com
sessig2@twcny.rr.com
(315) 436-0500
