NPC believes that it continues to be a good time to focus on hard money lending. 13% – 14% interest on senior loans at 50% – 65% loan to value is an attractive risk/reward for our investors in today’s market, and there are few investment opportunities that can provide the capital protection with monthly cash [...]

We are seeing a higher volume of loan opportunities and a higher percentage of deals that we want to fund. There are three main factors at play 1) banks are able to trickle out assets as they shore up their capital accounts, 2) GSE’s are stuffed to the rafters and are getting serious about disposing [...]

This is one of the better rebukes of the GSE’s and government promotion of massive consumer indebtedness. It has long been amazing to me how housing prices became so dissociated from rents. The article (link below) does a great job of breaking down the factors that have contributed to out of control housing prices, namely [...]

The article below is from a recent edition of the WSJ. The article is about Fannie and Freddie’s growing portfolio of single family homes and their efforts to manage the mess they are in. My favorite parts: 1) “[Fannie and Freddie] owned more than 191,000 homes at the end of June, double the year-earlier total. [...]

Dallas County CAD Tarrant County CAD Collin County CAD Travis County CAD Harris County CAD Bexar County CAD Fidelity Title Company Texas Property Code Texas Real Estate Commission Travis Street Partners Zillow Home Values National Association of Realtors, National Listings Realty Trac Department of Housing and Urban Development Housevalues Home Value Trulia Real Estate Search [...]

Real Estate Glossary ACREAGE  a 2 dimensional measure of land equaling 160 square rods, 10 square chains, 4,840 square yards, or 43,560 square feet. ADJUSTABLE RATE MORTGAGE  a mortgage with an interest rate that changes periodically, according to an index that is selected when the mortgage is issued. The initial interest rate is lower than [...]

Hard Money FAQ What is Hard Money or Private Money Lending? Non-institutional private money, primarily real estate asset based lending, short-term “bridge financing”. Hard Money is typically utilized in situations where speed in closing is critical, the property is unusual or the borrower has some blemishes on credit. What types of clients utilize these loans?Once [...]

Transaction volume is centered on residential properties. We have seen some lending opportunities for office, hotel/motel, and land, but the bulk of deal flow comes from the residential side. The reason for this is simple, people have to live somewhere. We believe that it is easier to predict future rent rates than future values, so [...]

Many commentators are using the term “new normal” to describe the current, stagnant state of real estate pricing and transaction volume. Some are even using this theory as the basis for a buying strategy on the belief that prices can’t possibly go down from here. While we believe that prices are getting more attractive, we [...]

The NPC Real Estate Blog is a forum for the Principals to share information about the real estate acquisition and lending markets.