LX  Investor Network                                             201-918-5443
Mortgage Investments
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Investment information
MORTGAGE LOANS 
Hard money loans up to 80% loan to value. The risk/return grades are bank grade and higher, with interest rates in the 9-14% range. Current investment.



MORTGAGE LOANS WITH PROFIT SHARE BONUS

Hard money loans for the purchase and renovation of distressed properties, which are then resold, or bank refinanced. Common terms are: 12 month term, 12% interest rate. The first 6 monthly payments are postponed, and paid at time of exit together with a "profit share" in the form of a 5% bonus. Current investment.

Investment strategy
Project viability and risk avoidance come first - return on investment second. Our investment rarely exceeds 65% of the after repair value. The exit is either a refinance or re-sale. Prospective buyers are often identified early on. Our investment criteria include:

  • 2-4 family properties in strong (and still undervalued) real estate markets within NYC commuting range.
  • Solid cash flows to support our payments, and prevent property value decline.
  • A capable developer who has the experience and delivery skills to handle the project.
  • High profit margin. The intrinsic equity validates the investment, and provides additional security.
  • Resale viability. The property must be marketable, with the right rehab, pricing, and resale strategy.
  • Cash flow. Ability to make our payments, long-term if necessary in case of a delayed exit.
We're a network, not a fund 
Each investment stands on it's own, with first mortgage security for each participating investor. Investors send funds to the closing attorney, and upon conclusion receive funds directly back. LX Financial does not handle investor funds, payment processing excepted.

Flexible investment amounts
We can often accommodate investments for less than the full amount needed with a pari-passu structure. In this case multiple investors fund a portion, and still each receive first mortgage security. It allows you to match your investment amount with your available cash.

LX Financial role and co-investment

We originate the investments and handle the loan servicing and management. LX Financial LLC is a co-investor in every project, receives no upfront income, and gets paid out at the same time all investors are.