Mortgage Investment Advice

HOS Financial: Your Go-to Investment Company for Mortgage Investment Advice

When your parents were putting together their investment portfolios, starting with a passbook savings account and then moving to some Certificates of Deposit before adding risk with stocks and bonds made some sense. It’s always smart to have a blend of the conservative in your portfolio, but now those passbook savings accounts aren’t even likely to bring in 2%, meaning that your savings aren’t even keeping up with inflation over time.

This is why so many people have been looking for another investment vehicle with more stability than the stock market or the commodities game, but with higher returns than government-backed savings accounts. At HOS Financial, we are a dedicated mortgage investors company looking to provide individuals and organizations with opportunities to put their money to work, earning above 7 or 8 percent, with only slightly more risk than what they would find in a savings account.

Let’s look at why HOS should be your one-stop shop for mortgage investment advice.

Mortgages are secure – but pay very well.

If you’ve never heard about private mortgages before, you’re far from alone. After all, when the vast majority of people take out mortgages, they do it from a bank, sometimes through a mortgage broker. For most Canadians, though, the experience involves either going to their own bank or having a mortgage service company find them a loan at a competitive interest rate. If they can go through a traditional bank and gain approval for a mortgage at one of those terrifically low interest rates you hear about on television, that means that they have pristine credit, have a lengthy income history and (more than likely) have at least 20% of the purchase price to put down at closing.

But what about the rest of Canada? Not everyone has the sort of credit score that will appeal to one of those “A” lenders (banks and other traditional lenders who only deal with people with ideal credit). There is another layer of lenders (called “Alt-A” or “B” lenders) who will provide mortgages to people whose credit scores are slightly lower, or whose salary history is a little more checkered.

That still leaves out a huge segment of the population, though. These people may have gone through a divorce five years ago that wrecked their credit so badly that they are still waiting for the seven-year reporting period on negative items on their credit report to elapse so that they can even think about a traditional mortgage. They also might have left the corporate world behind to start their own business a few years ago, and it’s taken them this much time to get their income steady – and large enough – to pay for the house that they want. They have even more than the traditional 20 percent saved up – maybe even 30 or 40 percent – to put down, but the traditional banks are still looking askance at their applications because the numbers don’t match their parameters.

Private mortgages – the HOS Financial advantage

This is where private mortgages enter the equation. When we at HOS Financial give our clients mortgage investment advice, we ask them if they want to make double figures in returns without substantially more risk than what they could get from a Certificate of Deposit.

How does it work? At HOS Financial, we screen every private mortgage application thoroughly. A private mortgage links a potential borrower with a potential investor – a person or an organization with money to invest that could fund some or all of a particular mortgage. The interest rates on these loans are often well over 10%, and while the terms are relatively short (one to two years at the most, although they are often renewable), that is a much better way to get secure returns than watching a CD statement tick up a few dollars each quarter.

HOS Financial is a mortgage investors company, first and foremost. Our job is to find investment opportunities for people who want to help someone else achieve the dream of home ownership – while making terrific returns at the same time. Why is it so secure? People pay their mortgages before they pay any other bills – because their home is their first priority.

Let HOS Financial find a terrific investment opportunity for you today.

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