Private mortgage investments are investments secured on real estate, usually outside of the scope of what banks and major financial institutions offer. Because most major financial institutions currently offer mortgage financing along the guidelines of government-owned crown corporations that offer default insurance (such as CMHC) these investments are more difficult to fund and therefore receive a higher rate of return than that offered by banks and financial institutions.
All the Private mortgages offered on The PIXchange are secured on real estate, with terms of 1 – 3 years. They go through a thorough due diligence and underwriting process, which include third-party appraisals, and inspections on each property provided as collateral. All mortgages are underwritten by Obsidian Mortgage Corporation and are priced based on risk, allowing our members to select private mortgages that suit their personal investment goals and suitability.
If you are new to the concept of Private mortgage investing, we also suggest you spend time to consider the risks involved with investing in private mortgages, click here for more details.
All our private mortgages offered on The PIXchange, provide the following benefits:
Price Transparency of Fixed Income Investments: Today investors do not have transparency in prices when purchasing fixed income investments which range from bonds, mortgages, treasury bills, etc. Regulatory reform is about to change this providing investors with transparency of all fixed income investments.Today, The PIXchange is the first of its kind to offer full transparency of fixed income prices.
Fixed Income: The Majority of our Private Mortgage Offerings provide fixed income monthly.This money can be deposited straight into your bank account, or Self Directed RRSP/RRIF administrators.
Short Term Investments: Many of our Private mortgages have a term of 1 – 3 years which are relatively a shorter term to maturity when compared to other private investment products.
RRSP/RRIF Eligible: Many of these mortgages are RRSP/RRIF eligible and can be used to assist in further diversifying your retirement portfolio.
Low Volatility from Global Markets: As Many of these mortgages are based on local markets,by households,local businesses, and developers, in high density urban area, to which performance tends to be unaffected by the speculation of global markets, such as publicly listed stocks.
Secured on Real Estate: All of our Private Mortgages are secured on real estate. Our underwritten guidelines allow for a buffer of equity to be present to allow us to sell the collateral (to pay back investors) in the event of default. Our members also have the capability to decide the appropriate and acceptable size of that buffer of equity,by selecting those private mortgages with suitable buffers available.
Pick the Private Mortgage Investment that suits YOU: We all know that all Investments Carry Risks, (or they wouldn’t be investments right?) The PIXchange allows members to pick/purchase the private mortgage that best suits their investment preferences.
Full Disclosure/Information on your Selected Investments: All Mortgages come with detailed disclosure forms as well as provincially mandated investment disclosure forms, describing any and all fees,identifiable conflicts of interest, and additional risks. Appraisals and back up documents are also available for investors to review any of the fine details in regards to any particular mortgage investment of interest.
Mortgage Administration Services: All private mortgages services are provided with a MVC Mortgage Servicing program, provided by Merit Valor Capital, this program administrates the mortgage on your behalf, this service includes:
- The procurement of payment and the monthly deposit of income in the bank account of your choosing.
- Default notices, & high level receivable Activity
- Barrister demand Letters,
- Process/Bailiff Server Services
- Notices and power of sale procedures,
- Mortgage impairment insurance Coverage.
- Online Access to Statements and Investment & Mortgage Activity on the PIXchange.
- Legal Counsel Support
- and much, much, more…
Best of all, these services are provided at no additional cost to you!