Funding Rehab Flippers and making a fair return with lower risk

[Buddy Holmes]

An Hard Money organization in Charleston has been offering funding for 1st mortgage security to Flippers with good plans for several years now.   Another group of RE investors thought that if they teamed with the former group they could provide additional funds to the Hard Money lender.  They set up a semi-liquid investment fund that could provide a fare return for fund investors with a short term (90 day) ability to have investment funds returned upon request.  The investment could provide additional funds to aid the Lender to grow. 

Hard money lender has had a sterling record on no foreclosures for their 10 yr history. They have accomplished this through careful vetting of the rehab/flipper's plan, 1st mortgage security position, short term loans of 6 mo or less, and careful validation of ARV.

I think this is an excellent example of a finding a solution to short term cash investment at an attractive rate and benefiting the renewal of our neighborhoods via seasoned flippers. A True win-win-win solution.