The Money Trust is Dead, Long Live the Money Trust

The Money Trust is Dead, Long Live the Money Trust

I´m a community bank guy.  Ok, ok yeah I worked for Citigroup for a bit in my 20’s, but at heart I am a community bank guy. I recently took a small long position in my personal account in County Bancorp, Inc. (ICBK).  Nicolet Bankshares, Inc. (NCBS) is...

Competing with the Big Boys

Institutional investors have become big players in the hard money business.  They bring with them a huge appetite to buy loans.  For example, Alphaflow purchases newly originated loans at up to 85% of the as is value, up to 90% loan to cost and up to 75% of the after...

Making Good Loans as LTVs Creep Up

In funding real estate loans with my partners over the last year, it’s been interesting to talk with hard money lenders around the country.  They have different models and very different costs of capital.   One broad trend that I’ve observed is that most hard money...
Defaulted Second Mortgages

Defaulted Second Mortgages

When I had a realtor drive by the house, prior to purchase, it looked like the owner was renovating it. In 2018 I started finding fewer investments that met my criteria.  I had pivoted from flipping houses to building houses and it wasn’t the right fit for...