Q:What type of trust deed investments
does Sterling Pacific Financial offer?
A:Currently, Sterling Pacific Financial
offers trust deed investing via two programs: a traditional fractional
note and deed program and a mortgage pool program.
Q:What is a mortgage pool?
A:A mortgage pool is a fund of notes
secured by deeds of trust. Investors invest in membership interests
in the mortgage pool and receive monthly income derived from payments
on the underlying notes. By spreading the investment across many
different trust deed investments, mortgage pools offer more diversification
than investing in a single note.
Q:What types of assets will Sterling Pacific Financial arrange loans on?
A:We prefer to underwrite loans
on the following assets: condos, multi-unit residential (non-owner
occupied), entitled lots, commercial buildings, unimproved land,
and non-owner occupied single-family residences. Our loans include
purchase money loans, refinance loans, construction loans, rehab
loans, and bridge financing loans. We do not underwrite unsecured
business loans or personal loans.
Q:Is Sterling Pacific Financial a Real Estate Investment Trust (REIT)?
A:Sterling Pacific Financial is not a REIT. By comparison to REITs — which offer investors mutual-fund-style ownership of a real estate portfolio, usually generating income through rents — our investments are simpler and more transparent. Our primary business is to make high-yielding mortgage loans to owners and developers of real estate. Our investors are able to participate in these lending opportunities, and can even choose which specific projects they'd like to fund.
Q:As an investor, what are my liquidity options?
A:Depending on what investment
program selected, liquidity will vary. If you choose to fund a fractional
note or an entire note, you must hold the note until payoff. However,
if you are investing in the mortgage pool program, withdrawals can
be made after the initial lock-up period. There are no penalties
FOR MORE INFORMATION, DOWNLOAD OR VIEW OUR COMPLETE FAQ HERE.
These investor guides are a great place
to start learning about trust deed investments.
9 Things to Consider provides a broad overview,
while the Due Diligence Guide provides more micro level details.