How To Finance Your Viable Real Estate Project Today
I just returned from an International Hard Money Conference that was held Thursday, February 25th. My flight was delayed because of the inch of rain that fell in two hours in the San Francisco Bay Area Friday. I was told that wind gusts of up to 50mph were felt.
There were 160 attendees from the USA, Canada, and Costa Rica.
It’s clear that getting Real Estate funded is more difficult than ever.
It is not unusual for Hard Money Lenders to offer LTV’s of 20% to 25% on land and 40% to 55% on Real Property depending upon location.
Traditional Lenders (if they are willing to lend) require 740+ FICO scores, 65% to 70% LTV and cross-collateralization plus a DDA banking relationship.
I shared this information with two of my mentors in two separate calls that took an hour this morning. Here is what I learned:
Lisa has a program that requires a current investment of $665,000. That money is returned within seven to 10 banking days. The resulting series of trades should provide funding for your viable project.
This came from Chris:
| Joe, This program from Lisa will produce very good results for you and clients. Chris
DO YOU HAVE A REAL ESTATE PROJECT THAT NEEDS FUNDING ?
We can help. We have 5B in bank guarantees available for projects in Real Estate or Venture Capital for projects. No start ups Good for acquisition targets or company roll up. Public or private companies. We have been funding projects since 1990. We can provide monthly project draw down within 20 business days. THIS IS GOOD FOR EQUITY CAPITAL/ START UP CAPITAL/ ANGEL CAPITAL: If you have a profitable opportunity/ project, this Collateral Structure can guarantee the investment made by any type of investor or lender.
This is an excellent structure that can be used for many transactions. The Funding Source prefers this structure because it is able to lend funds and get a Bank Instrument from a Top 25 Bank guaranteeing repayment of the principal and interest. This is a RISK FREE transaction to the lender and the Client (borrower).
The Bank Instrument will guarantee the return of principal, one years worth of interest and any fees back to the lender. Client’s Funding Source will determine the “type” of Bank Instrument, the amount of interest, and their requirements to proceed with the Client’s loan. All Bank Instruments are Cash backed, CD’s BG’s all from top 25 World Banks. At the end of the loan term (one year and one day), the Funding Source receives the principal from the issued Cash backed Bank Instrument (Collateral), this is a self liquidating loan. Turn around time: WE CAN FUND IN 30-45 DAYS. Amount of financing between 60M to 600M. Must be in the USA based ONLY and ready for funding. Looking for a seasoned management team. If you know how to make money we can help. PLEASE SUBMIT EXECUTIVE SUMMARY. I HAVE ACCESS TO A DIRECT FUNDING GROUP WHO WILL USE A CASH BACK SBLC OR CD IN A TOP 10 BANK OF YOUR CHOICE.. |
GET YOUR PROJECT FUNDED !! LEASED CASH TRADE- V2
OMEGA EIGHT MASTER New LEASED Cash Pricing 2-22-2010
Leasing CASH is fairly simple as a Escrow and Set Up Fee of $655,000. This is the ONLY fee paid up front.
OMEGA provider will post a CASH Backed Financial Instrument from a Top World Bank or a Top USA Bank in the form of a Bank Guarantee (BG), Bank Cash Backed Bond, Certificate Of Deposit (CD) for the OMEGA- 8 Lease Cash Trade- V2 on Euro Clear only. Omega is given the ISIN/Cusip numbers on all financial instruments in advance from the Provider.
Within a 24 hour period of verification of the proof of funds for the Escrow and Set Up Fee of $655,000, the LOI- Term Sheet for the financial instrument and Trade Contract is given to the Omega Joint Venture. The $655,000 is immediately forwarded to Omega Attorney Escrow. Omega attorney receives the escrow agreement from Escrow Agent and the Escrow and Set Up Fee will be forwarded immediately. The instrument will be issued for a maximum term of one year and one day.
LEASED CASH PROCEDURES 2-22-2010
1. Escrow and Set Up Fee will be reimbursed from the proceeds of the loan payable within the first 10 days before Trade commences. Client then enters the trade with no money out of pocket.
2. This is a Joint Venture between the Client – Party “A” and Omega
3. Client- Party “A” submits a CIS and Passport and Proof of funds for the Escrow and Set Up Fee of $655,000 USD.
4. This includes $5,000 LLC formation and $3,000 Escrow Documentation Fee.
5. Joint Venture Agreement will be drawn and submitted for Client-Party “A” and Omega signature.
6. All paperwork will be in the JV name of Omega.
7. Omega will review the Lender Documents. The term sheet (the LOI) is issued from the Provider after verification of the POF within 24 hours. Omega receives the term sheet (LOI) for the financial instrument.
8. Omega will review and sign LOI-Term Sheet.
9. Escrow and Set Up Fee of $655,000 must be wired from Client- Party “A” to Omega attorney. No exceptions.
10. Omega attorney will confirm with Escrow Agent Commercial Bonded Escrow Services (www.commercialescrow.com) and verify the ISIN/Cusip number on the screen.
11. Provider issues financial instrument contract and is provided proof of funds.
12. After the signed LOI Term Sheet Omega Attorney will then automatically forward Escrow and Set Up Fee to Commercial Bonded Escrow Services for the benefit of the Provider
13. Escrow is opened and Commercial Bonded Escrow Services issues the Escrow and Account Agreements .
14. Omega returns the signed Escrow Agreements.
15. Omega signs financial instrument contract.
16. Provider issues trade agreement.
17. Omega reviews and signs trade agreement.
18. After the contract is executed, financial instrument will be placed and issued on Euro Clear screen only, and no other methods shall be used for this purpose. Copy of Euro Clear screen shot is provided to Omega..
19. After Escrow and Set Up Fee of $655,000 has been successfully paid, it takes 5-10 days for the Provider to monetize the financial instrument. Financial instrument is monetized in the amount of 200m. Provider fees of 50M (equals 10% of the face value of 500m), is paid immediately prior to the Trade beginning. Failure to do so will result in the cancellation of the contract and removal of the financial instrument ,and the outstanding principal balance of the loan, if any, will be immediately due and payable.
20. It is important to mention here that the actual Lender who will “monetize” the transaction (that is, loan against the 500M financial instrument) has already pre-selected and pre-approved the financial instrument. Such lender is experienced in such transactions and has worked previously with the original financial instrument Provider. We believe that the loan against the pre-selected 500M instrument will be a successful outcome for both Party “A” and Party “B”. The same Lender will “seamlessly” place the monetized cash on behalf of Omega JV into Trade.
21. Lines of Credit are available against the financial instruments follows: The 500M face value Lender will monetize at cash amount of 200M. Broker Fees of ($8,500,000) and Reserves of $845,000 in the Master Holding Account. Omega opens Master Holding Account with the $140,000,000.
22. Omega-JV enters into the Trade with $140,000,000.
23. The Omega-JV is responsible to repay in full the principal of 200M loan. Repayment is in ten equal payments and will be deducted on a monthly basis before splitting Trade profits. After monthly deductions listed herein, Party “ A” and Party “B” will split equally the trading profits on a monthly basis.
24. Client- Party “A” can receive their net profits in any bank of their choosing.
25. Trading will begin within 21 day from the Master Holding Account after clearing compliance.
26. No personal liability. All activity run through a LLC
**NEW Escrow and Set Up Fees EFFECTIVE 2-22-2010**
Below is a list of BGs Omega has available for the Leased Cash Trade-V2. Joint Venture Omega-8 will go immediately into a seamless Trade for 40 weeks and can be renewable for up to five years.
An LOI can be issued in 24hrs. after Client provides POF of 655K , CIS and Passport. .
| XS0043041879 | HSBC HOLDINGS PLC | GBP | 250,000,000 |
| XS0068009637 | BARCLAYS BANK PLC | GBP | 200,000,000 |
| DE0003933735 | DEUTSCHE BANK AG | EUR | 100,000,000 |
| US638585AN94 | BANK OF AMERICA | USD | 350,000,000 |
| US638585BF51 | BANK OF AMERICA | USD | 400,000,000 |
| US061194AB21 | BANK OF CHINA | USD | 100,000,000 |
| DE000BC1BG41 | BARCLAYS BANK PLC | EUR | 25,000,000 |
| DE000EH0AY69 | EUROHYPO AG | EUR | 100,000,000 |
| US16161ABY38 | JPMORGAN CHASE | USD |
Note: Escrow and Set Up Fee rates are subject to change. Fee effective date 2-22-2010
THIS IS A NO RISK CASH TRADE. Client receive $655,000 contribution from the reimbursed from the proceeds of the loan payable within the first 10 days before Trade commences. Client then enters the trade with no money out of pocket.
Provider Fee of 10% fee of face value 500M ($50,000,000) is due from the proceeds of the loan and is paid to the Provider immediately within the first 10 days prior to Trade beginning. No exceptions.
Here is the allocation of the $200,000,000 gross loan as follows:
500M instrument
200M is monetized
Joint Venture receives $200,000,000. Joint Venture is expected to earn 25% a week
-$655,000 Escrow and Set Up Fee, LLC formation and Escrow paperwork Client will receive from the line of credit within the first ten days prior to Trade commencing.
-$50,000,000 (10% of face value of 500M is payable immediately to the Provider
-$8,500,000 (Broker Fees)
$59,155,000 paid from the 200m loan proceeds
$845,000 Reserve in the Master Holding Account
$140,000,000 goes into Omega Master Holding Account for Trade.
Collectively Party “A”” and Party “B” will put the $140,000,000 into a 40 week trade. For this example, we are assuming an estimated return of 25% a week or estimated 100% return a month. There is a likely possibility that the returns could be greater, or lower and neither Party makes any representations regarding expected trading returns,
BASED ON A MONITIZED LOAN FROM THE LENDER:
Total loan paid back $200,000,000 over 40 weeks
Month One through Ten Estimated Monthly profit of $60,000,000 for Party “A” and Party “B”
$120,000,000 in trade Collectively Party “A”” and Party “B”
– $20,000,000 monthly set aside toward repayment of principal of $200M (1 of 10 payments)
– Total payments before distribution $20,000,000
– Balance for distribution is $120,000,000 then a 50/50 is split each side $60,000,000
Each Party estimated return is ** FOR 40 WEEK $600,000,000 USD **
Note: All monies are taxable and each Party should consult with its tax advisor.
Either Party can enter into another trade during the on-going trade or at the completion of the initial 40 week trade for two additional trades.
Terms of the financial instrument will be for one year and one day with options to renew at 10% leasing fee per year plus the Escrow and set up Fee. No other procedures will be honored.
Chris has a program that requires $1,000,000 in a blocked account. The resulting series of trades should provide funding for your viable project.
This came from Chris today:
Hi Team, THIS IS THE TRADE MANY OF YOU HAVE BEEN WAITING FOR, VERY PROFESSIONAL AND VERY SUCCESSFUL… GREAT TRADE THAT HAS BEEN PAYING OUT FOR YEARS…
See attached the PROCEDURES for the INTERNAL BLOCK.
They are trading in Zurich; and Dallas.
The minimum is for $1M and maximum is $500M.
They start with one BULLET PROGRAM that pays in 14 calendar days historical 400%.
There is one chance that the client can be invited to do one more *(second) BULLET PROGRAM for additional 14 calendar days historical 400%.
Then, the client will be offered to a ONE YEAR ONE DAY TERM – 40 WEEK PAYOUTS with minimally the original amount the client started with and maximally all the profit and the original sum.
Standard submission documents; POF; and Passport. Thanks,Chris
“Most great people have
attained their greatest success
just one step beyond
their greatest failure.”
– Napoleon Hill
PROCEDURES
Bank Compliance INTERNAL BLOCK –
Minimally: $1Million USD to Maximally: $500M
Step 1:
Client will prepare a set of current standard set of submission documents and 5 day old or less dated tear sheet showing cash on deposit; plus color copy of Client’s Passport.
Step 2:
Due Diligence will be done on Client and funds background.
Step 3:
The Client will be notified 24 hours prior to a Telephone Call from Compliance or the Trader to confirm that the Client issued the submission documents and is aware of the Proof of Funds being submitted.
The Client will be given the name of who will be calling. The caller will ask for the history of how the paperwork got to the trade group. A simple script will be provided to the Client to prepare them for the Telephone Call.
Step 4:
After the Telephone Call occurs, the Contract will be issued to Client in 24 hours or less to be duly executed and returned.
Step 5:
The transaction begins within 5 banking days or less – depending on the day of submission and National/International Holidays.
PROCEDURES
INTERNAL BLOCK –
Minimally: $1Million USD to Maximally: $500M
Continued
There will be Two (2) Tiers for this Transaction.
First Tier:
The First Tier will be a BULLET PROGRAM.
The BULLET PROGRAM will payout in 14 calendar days – historical 400% of original amount slotted.
There will be a second option to repeat the BULLET PROGRAM for one more term of 14 calendar days – again for an additional historical 400% that will be offered to the Client.
Second Tier:
Then, the Client can re-enter into a standard 40 Trading Week Payout – One Year and One Day term.
Special Note: Please – no side agreements.
If you have a viable project and the funds to move forward I will personally introduce you to my mentors.
—
Joe Tufo, Certified Cash Flow Consultant, Certified Capital Specialist
CASH FLOW SPECIALISTS, INC.
P.O. Box 844
Alamo CA 94507
925-691-8200 Direct to my desk
800-669-2700 Business
206-984-2853 Fax
joe@joetufo.com
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