Joint Venture (JV) Investing
The Mann Group offers the opportunity to JV with us on the purchase of these assets and share in the profits.
Trust Deeds and mortgages, when purchased and managed knowledgeably, are great investment vehicles for any investor seeking an income producing type of investment. They can also be a very attractive alternative to more conventional investments such as stocks and bonds. Additionally, they are ideal investments for IRA funds that are languishing and achieving less than stellar returns utilizing conventional investment strategies.
Mortgage and Trust Deed investing can provide another level of diversification and stability in an investment portfolio. The return on these investments can easily offset the negative returns on other types of investments during periods of downturn in the market.
With this type of investing, an individual investor fully funds one or more loans on one or more properties. Our focus at this time is non-performing, second position, residential mortgage notes.
This type of investing is ideal for investors that have the funds available and want to get involved in the note business. They typically don’t have the time, knowledge or possibly even the temperament to actually work and administer the notes or just simply don’t want to be involved in the actual process.
This type of investing requires a great deal of due diligence and analysis by the Mann Group on both the actual underlying property and the borrower. Additionally, when one asset pays off, the money will just sit dormant until another asset can be acquired and the capital can be redeployed. This type of investing requires constant sourcing of new assets by the Mann Group so that the funds can quickly be reinvested in additional notes.
One of the risks associated with mortgage note/trust deed investing is the lack of diversification. Therefore, we highly recommend that rather than invest in only one asset, enough funds are made available to purchase a minimum of four or five assets to spread out the potential risk over several properties.
Under this JV arrangement, the investor will contribute the purchase price of the assets, legal expenses and other expenses associated with administering, working, and servicing these assets. The Mann Group will contribute our time, skill, knowledge, expertise and experience in working with these assets for the duration of the joint venture to ensure its success.
All Legal title to property acquired by the joint venture (JV), whether real or personal, shall be taken in the name of The Mann Group LLC & Investor. The interest of each party in such property shall be in accordance with the terms of our standard JV agreement.