Donation Vs. Investment
7e Investment’s mission is simple: we provide investors access to one of the real estate market’s most demanding and resource-intensive sectors: distressed single-family home mortgages. We invest in single-family loans where the borrower is late or delinquent in making payments. Often, they stop making payments because of a temporary problem—a job loss, an illness, etc.—and it takes a thorough understanding of their situation and prospects, along with some creativity, to get them on track again. We aim to keep families in their homes via renegotiated mortgage terms beneficial to borrowers and investors.
If you are interested in supporting families, there are a few ways you can get involved. First, you can make a donation to a fund which supports struggling families by providing emergency financial assistance to help cover housing expenses, including mortgage payments. While a charitable donation might have certain tax benefits, donors only receive the knowledge that they are helping people.
Alternatively, 7e offers an investment opportunity for those looking to support struggling families and make monthly income. Your investment in 7e aims to generate monthly distributions and at the end of the term, return investors’ initial investments–all while helping struggling families stay in their homes.
As a recent investor put it, “what’s a better way to start off the month than receiving my first-ever distribution as a passive investor?”
7e purchases under or non-performing mortgage notes (meaning borrowers have fallen behind on their payments) typically at a 40-50% discount, assuming the role of the lender in the mortgage agreement.
With a thorough understanding of the homeowners’ challenges, current state, and prospects, along with purchasing the mortgage note at a large discount, we are in a position to negotiate a new, more reasonable monthly payment plan with the borrower.
We are making a profit from these homeowners. We are also helping them:
- Not be evicted.
- Rebuild their financial future.
- Build over the long-term, intergenerational wealth.
Our investment process supports all of these things, but realistically, not for every homeowner.
Many mortgage notes and homeowners do not pass our rigorous diligence process. Understanding which mortgage notes to avoid is as important as knowing which ones to purchase. Our first obligation is to our investors. In fact, we are investors in the fund ourselves.
Click here to view our latest webinar where we discuss two case studies where we kept families in their homes while they underwent a temporary hardship.
A frequently asked question is answered here
Income from investments with 7e is not dependent on the ever changing prices in the stock or bond market, or even the value of the underlying properties. Rather, it is based on the ability of borrowers to get back on a stable payment plan. We watch interest rate movements and the housing market, but by purchasing mortgage notes at 40-50% discounts, there is a lot of room for our security.
If you are ready to invest or simply want to learn more, please visit our offering page. For prospective investors who want to speak directly with one of our team members, click here to schedule a time.
Here you can also read our SEC-qualified offering circular.
As always, we welcome all questions you may have, just send us an email at invest@7einvestments.com.
