Housing Industry Woes Means Opportunity for Investors with Access to Capital

The housing industry's got a full plate these days.  Foreclosure filings outpace sales 3 to 1. Government loan modification programs to keep millions of American in their homes have succeeded in helping only half a million. Mortgages cost more, and may require higher down payments.  And this is just the first course of bad news. The “double-dip” in home values as a result of banked-owned properties flooding the market looms, and Americans, for the first time, question the value of homeownership. But despite what appears to be dire news, smart real estate investors have found opportunity in the midst of the current turmoil.

The following are just a few issues perceived of as ills afflicting the real estate market that are creating favorable conditions for residential and commercial property entrepreneurs:

• Failure of government loan modification programs.  As a result of distressed homeowners failing to obtain permanent workouts through HAMP, many are opting for short sale options which put property on the market at steep discounts
• Increasing inventory of bank-owned properties on the market.  As the supply of homes for sale rises with the injection of more REOs, prices will continue to fall. Analysts have even predicted as high as a 25% drop by the end of 2011
• Increased demand for rentals.  As homeowners either lose their homes or strategically choose to “wait-and-see” on a home purchase, millions have decided to rent. Single-family home rentals are in high demand and the values (and rents charged) of apartment properties are soaring as a result of this increased demand.

Any increased activity in home sales in 2011 has been directly attributed to all-cash buyers entering a market that has excluded typical buyers due to stiffer underwriting guidelines and higher interest rates.  Current conditions favor the investor with available capital to take advantage of low prices and eager sellers.

Unfortunately, not all have the liquidity for cash deals, and often need flexibility and speed in obtaining financing for distressed or multifamily property opportunities --- factors usually absent if acquiring financing through traditional lending channels.  Direct asset-based lenders offer an alternative to the restrictive bank underwriting machine.  These “hard money” lenders allow prospective borrowers to leverage their existing portfolio of property investments as collateral toward financing of new property purchases.  Because an asset-based lender will evaluate each borrower as a unique relationship, it can craft underwriting guidelines and loan terms that allow fast decisions for faster closings for their clients. As an additional level of flexibility for select borrowers, hard money lenders may be able to offer asset-based credit lines toward the purchase of note and REO acquisitions. Hard collateral equates to fast access to capital that empowers investors to act quickly. 

If one believes the headlines, real estate could seem a risky investment.  But real estate, like the economy, is cyclical in nature.  Savvy investors are positioning themselves now for when conditions improve and property values rise. Having access to available, quick capital is the key to turning an economic downturn into a profitable advantage.

Bridgelock Capital / Peak Finance Company, a member of the Peak Corporate Network headquartered in Woodland Hills, California, provides fast, flexible, asset-based loans (also known as “hard money loans”) for borrowers and/or properties that do not meet conventional underwriting guidelines. As a direct lender, Bridgelock Capital / Peak Finance Company finds unique solutions to meet our clients’ nonconforming borrowing needs.

In addition to mortgage loan financing, the Peak Corporate Network offers loan servicing, residential short sale, 1031 exchange, trustee work, foreclosure services, and real estate sale brokerage services.  These services are available primarily throughout the Western United States for both residential and commercial real estate properties and loans.

Bridgelock Capital / Peak Finance Company

5900 Canoga Avenue, Suite 200

Woodland Hills, CA 91367

Toll-free: 877-623-4268

Website: http://www.bridgelockcapital.com

Peak Corporate Network Announces Re-branding of Key Business Entities

Woodland Hills, CA (via PRWEB released March 9, 2011)

The Peak Corporate Network announced today the re-branding of its group of related separate companies to promote a more unified message of the comprehensive real estate services it provides in the markets it serves. “We’ve made it our business to create companies to serve virtually every aspect of the real estate industry,” states co-founder, Managing Director and Principal of the Peak entities, Eli Tene, “We felt the time was right for a more cohesive brand strategy encompassing the depth of services we offer thereby demonstrating that we are a one-stop-shop for everything real estate.”

The Peak Network traces its roots back to 1991 with the creation of Peak Financial Partners, Inc. which purchases single family and portfolio assets nationwide, as well as providing bridge financing for commercial and industrial properties. To take advantage of emerging opportunities in related areas of the industry, a cadre of Peak entities were formed to include, but not limited to offer, residential and commercial loans, escrow services, short sale and foreclosure services, loan servicing, 1031 Exchange, and direct asset-based financing.

Many of these entities are changing their names to incorporate “Peak” as a brand identifier. The intent is to better highlight the services and benefits each company provides as well as further delineate the Peak Corporate Network as a leading authority and comprehensive provider of real estate services in the industry.

According to Peak co-founder and Managing Director and Principal of the Peak entities, Gil Priel, “While some of the names are changing, ownership, quality service and responsiveness to our clients remain the same and will continue to be the hallmark of how we conduct business.” Priel continued, “We not only bring creative ideas and solutions to our clients, we provide a shared culture of information thus allowing us to pool resources to personalize our service for maximum value.”

The Peak Corporate Network is not a business entity; the brand represents a group of related separate legal entities, each providing its unique set of real estate services.

Contact Person: Evon Rosen, Marketing Director
Telephone: (818) 591-3300
Fax: (818) 591-2990