EMPOWERING INVESTMENTS FOR TOMORROW.
Seize opportunities with a dynamic approach to funding. High returns, low risk – your path to financial growth starts here.
EMPOWERING INVESTMENTS
FOR TOMORROW.
Seize opportunities with a dynamic approach to funding. High returns, low risk – your path to financial growth starts here.
WHY WE ARE THE BEST
Communication – Quarterly Updates/Webinars
Tax Savings
World Class Team
OUR TEAM
Alex Gerhart
Alexis Gerhart
Sam Taggart
DeAnna Taggart
Kent Clothier
Greg Herlean
WHY OUR FUND
HIGH CURRENT INCOME
Professional commercial and single-family home renovators have special requirements, such as short funding timelines, that traditional institutional lenders are unwilling to accommodate.
This provides an opportunity for private lenders who cater to this market to command premiums on their capital.
A COMFORTABLE MARGIN OF SAFETY
Loans are secured by a first lien on an asset. Borrowers typically provide 20%-25% of the capital needed to buy the asset.
Additionally, professional developers often create equity at the time of purchase by buying assets at prices below retail value.
They further enhance the value of the collateral through renovations that they fund with their own equity.
LIQUIDITY
Due to the relatively short-term nature of the 9% unsecured promissory notes we must repay to our investors, our assets will, in turn, largely consist of short-term loans secured by first trust deeds.
DIVERSIFICATION REDUCES DEFAULT RISK
We intend to build a portfolio of secured loans from multiple borrowers, which reduces our risk should any particular borrower default.
SOLID RETURNS
We offer a fixed 9% rate of return, which is a significantly higher rate of return than what you’ll get with more traditional fixed income investments.
A CONSERVATIVE APPROACH TO UNDERWRITING
D2DFUND will only purchase loans from mortgage brokers and bankers that perform a consistent and detailed underwriting process on every investment they make.
Their underwriting processes will combine a deep knowledge of local real estate markets and their collateral value with strong relationships with borrowers and an understanding of their strategy and capabilities.
WHEN DECIDING TO PURCHASE A LOAN, OUR INVESTOR IS ALWAYS OUR FIRST THOUGHT.
We consider the following to ensure the safety of their investment:
LIMITED RISK
We would rather give up some of the “upside” of an investment in order to limit our risk. We are fundamentally risk-averse.
INVESTMENT STRATEGY
We prefer strategies that are difficult to execute for larger competitors because they allow us to earn above average returns.
Excessive amounts of capital can ruin good investment opportunities so we avoid highly competitive markets whenever possible.
UNDERVALUED ASSETS
We invest where we see undervalued assets (such as buying loans secured by first trust deeds in the wake of the financial crisis).
However, we do not pursue investments whose returns are based on the timing of a recovery in asset values, which we consider too hard to predict and too volatile.
EXPETISE IN NICHE
We seek investments in products, people, and markets we know well. This gives us a strong point of view on the risks, value, and potential rewards of each investment.
ECONOMIC TRENDS
We actively pursue a deep understanding of longterm demographic trends and seek to take advantage of these trends when we invest. For example, millennials are increasingly demanding homes in urban areas with shorter commutes than larger homes with yards and longer commutes.
Simultaneously, we see a limited supply of high-quality properties in very desirable urban neighborhoods where demand is strongest. Our point of view on these trends drives many of our investment decisions.
CUSTOMER NEEDS
We are willing to build out infrastructure and develop vertically integrated platforms when necessary to serve our customers.
This goes hand in hand with reaching out to niche markets and focusing on smaller investments.
NIMBLE APPROACH
We aim to remain nimble enough to change our investment strategy as the market changes. This may mean pre-paying the notes held by our investors in the fund as market opportunities disappear from one area and emerge in others.
