Why Invest in First Mortgages?

Here is a comparison of 4yrs CD vs 4yr First Mortgage:

4yr Jumbo CD
at 2.3% compounded daily
(example)

4yr First Mortgage
Simple Interested Paid Monthly

Value: $100,000 $143,000
Investment: $100,000 $143,000
Monthly Payout: $0
(yearly number – 0)
$416.67
(yearly number~$5,000.04)
Your Investment: $100,000 $100,000
Your Gain: $9,636.13 $20,000.16
Final Payout: $109,636.13 $120,000.16

TOP Reasons to Invest:

Retired Investors looking for consistent monthly income from their investment

Real Estate Investors looking to expand their investment portfolio

Loan to Value 70% – i.e. App 143,00 – investor lending: 100,000 (you have a safety net of 43,000)

20% return of investment

Secured investment by the first mortgage on the property

This is great way to diversify your portfolio and creating an efficient investment portfolio

© Tiger Real Estate Opportunity Fund I, L.P.