Consolidated Mortgage

1
Trust Deeds and Real Estate Investing

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Disclaimer/Disclosure

• Money invested through a mortgage broker is not
  guaranteed to earn any interest or return and is
  not insured. Before investing, investors must be
  provided applicable disclosures. Past performance
  does not guarantee future results or success.
  Consolidated requires a 20,000 minimum
  investment.
• Nevada MLD284 Consolidated Mortgage, LLC.
• 1291 Galleria Drive, Suite 220
• Henderson, NV 89014
• P. 702.739.9090/877.739.9094

3
Company Overview

• Founded in 1977
• Over 2 Billion in real estate transactions
  closed
• Over 500 Million under management

4
What is a Trust Deed / Mortgage?
Definition of Trust Deed Private Notes - Public
Deeds 1st Trust Deeds Only
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Types of Trust Deeds

• Land Acquisition
• Land Development
• Construction
• Bridge

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Why Borrow from Consolidated?

• Speed

Flexibility
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The Art of Choosing Good Loans

• 5 Cs of Lending
• Collateral
• Capacity to borrow
• Character of the borrower
• Capital
• Conditions of the market

• Fact Sheets

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Risks Involved in Trust Deed Investing

• Borrower Defaults
• Illiquid or Non-liquid
• No tax benefits for non-qualified funds

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Why does a Trust Deed belong in your portfolio?

• Is your portfolio diversified?

Growth vs. Income (Example 100 Age
Growth Percent)
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Fixed Income Bonds vs. Trust Deeds

• Backed by company issuing bond

• Backed by borrower and collateral (real estate)

• Interest paid monthly, quarterly, semi-annually,
  annually

• Interest paid monthly

• Maturity Dates vary

• Maturity dates typically are 12 months

• Yield is traditionally
• 6 8

• Yield is traditionally 12 and higher

• Secondary market

• No Secondary market

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Fixed Income Annuity vs. Trust Deeds

• Backed by borrower and collateral (real estate)

• Backed by Insurance Company

• Typically interest paid annually

• Interest paid monthly

• Maturity Date of death

• Maturity dates typically 12 months

• Yield is traditionally
• 3 5

• Yield is traditionally 12 and higher

• Tax deferred if invested with IRA

• Tax deferred

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Why is there an opportunity to invest?

• State of the Market
• Credit Crunch
• Real Estate Bubble
• State of the Southwest
• Increasing Population
• Increasing Employment

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Clark County Population
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Southwest Regional Employment
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Local Hot Spots Las Vegas
The Palazzo
Palms Place
Capital 1.6 Billion Rooms 3,025 suites Opened
Jan. 2008
Capital 650 Million Expansion Rooms 347
Condos Opened Feb. 2008
The Plaza
Encore
City Center
Echelon Place
Capital 1.9 Billion Rooms 2,045
suites Estimated Completion 2008 This project
will make Wynn Las Vegas the fifth largest hotel
in the world.
Capital 5 Billion Rooms 4,100 Estimated
Completion 2011 Current plans are to create a
replica of the ultra luxurious New York
namesake.
Capital 8.4 Billion Rooms 6,650 Estimated
Completion 2009 This construction project is the
most expensive privately funded in U.S. History
Capital 4.8 Billion Rooms 4,713 Estimated
Completion 2010 The Echelon will be divided into
five partially separated towers.
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Have We Hit Bottom?

• Property Values
• Land, Development and Construction

Why Lend in Todays Market?

• Lending Opportunities
• Credit Crunch
• Bank Quality Loans Borrowers
• Lending at the bottom

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Example

• 2006 Value 5,000,000.00
• 2008 Value 3,000,000.00
• 2008 Loan 1,800,000.00
• 2008 LTV 60
• Would you make this loan?????

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What types of funds can I use to invest?

• Money in checking and/or savings account
• Roth IRA or IRA
• Corporate Funds
• (LLC, Inc, etc)

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Benefits of Trust Deed Investing

• Secured by Real Property
• Short Term Commitment
• Double Digit Annual Returns
• Interest Paid Monthly
• Portfolio Diversification

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Thank you for attending

• Q A