Deal of the Week

📍 Tuscon, AZ

Our asset management team was able to create a win-win solution with a borrower, while generating excellent returns for our fund! Here’s a summary of the actions taken and the outcomes achieved:

Actions Taken:

Acquisition: In May 2023, CWS acquired a loan from a borrower who was 15+ months behind on payments.

Servicer Outreach: Initial attempts by the servicer to reach out to the borrower were unsuccessful.

Legal Action: In response, an attorney demand letter was sent, and a foreclosure sale date was set for December 2023.

Borrower Engagement:

• Following receipt of the foreclosure notice, the borrower expressed interest in finding a resolution and requested a workout plan.
• The borrower took proactive steps and made a significant payment of $9,000 in October, bringing the loan current, which accounted for 15+ payments missed.

Current Status:

• Since October, the borrower has remained committed to making regular payments, demonstrating a positive trend towards loan rehabilitation!

Future Plans:

• Looking ahead, CWS intends to capitalize on the improved performance of the loan. We plan to explore opportunities to sell the performing loan in the second quarter of 2024.

Conclusion: The successful resolution of this loan reflects 7e’s dedication to proactive engagement and effective resolution strategies to create win-win solutions.

We appreciate your continued trust and confidence in 7e. If you have any questions, please do not hesitate to reach out!

Stats:

Total Balance: $65,000
Acquisition Price: $35,000
Property Value: $250,000