Growth Equity Group

[Mark S.]

Has anyone here done business with Growth Equity Group?  I received a BP email from a gentleman, stating he is with Growth Equity Group.  It looks like they allow for non-recourse financing and their clients utilize self-directed IRAs.

Any feedback on them, good or bad, is much appreciated.  Thanks in advance.

[Tim Gurr]

I'm new to investing in real estate.  I have been talking with Growth Equity Group (GEG) about a SDIRA on single family rental home/properties.  They seem dedicated to helping clients, but I would like to know if anyone out there has actually bought property through them to know if it is working out OK.  Returns on paper look really good.

They have provided "Condition Reports" conducted through the property managers that indicates everything is "OK".  However, they do not have any photos of the interior of the dwellings (which seems strange to me, since photos are always available on properties for sale).  They said they would take photos on the next walk-thru (after I have purchased properties).  Another concern is that the 5.5% non-recourse financing jumps to 8% in years 6 & 7, then a balloon payment is due.  They indicate that I could sell one or two properties around year 5 or 6 and then secure a new loan on the remaining.  They highly recommend putting any income stream towards paying down principal in the first 4 or 5 years to increase cash return on selling the home.  So a concern is being able to sell in 5 or 6 years without facing a balloon payment or figuring out how to secure a new loan. 

Another concern is that they have only been in business as GEG since July, 2013, however, the owners have 10+years of previous experience in the business.  The problem is, that it seems it would be better to have had them in GEG for a longer period to show that there 'Model' really works.

I've seen some comments from others, but most are older posts (more than a year ago). Would really appreciate some input.  Thanks.