Frequently Asked Questions (re: Mortgage Ventures)

Can they be compliant with RESPA and other related rules & regulations?

Yes.  With the assistance of our team of legal advisors, we are able to structure ventures that fit within your organizational needs and remain compliant with the many complex rules and regulations.  We have invested an enormous amount of time (and capital) researching this very concern.

Can in-house financing be profitable?

The profitability of each venture is dependent upon numerous factors including, but not limited to, transactional volume, capture rate, overall agent support, cost containment, etc.  In general, it is estimated that successful ventures can generate upwards of $100,000 in annual gross revenue.  We can tailor financial projections specific to your company.

What is the time commitment?

The incremental time commitment is generally quite minimal due to the numerous synergies which can be leveraged.  Specific time estimates will vary based on the ultimate structuring.

What is the cost?

The costs will vary based on the final structure set forth for your organization.  The most common structuring that our clients implement does not require any start-up capital.  Additionally, at the present time, there are no fees charged during the up-front consultation process.  These costs are typically recovered only when your venture begins to generate a profit.

We will ensure adequate due diligence is performed prior to moving forward with any type of venture.  All ventures will need to be allowed adequate time to develop and succeed.  Most of the structures we implement are very easy to dismantle should you wish to exit.

Is in-house financing right for my company?

Generally, aggressive real estate companies with strong client relationships that close 50 or more buyer transactions per year are strong candidates for in-house financing.  Other factors will contribute to the liklihood for success.