Woodland Hills, CA (PRWEB) August 23, 2007
Peak Capital Group has increasingly become a multifaceted loan source for many real estate professionals. The investment fund started earlier this year, backed by $12 billion in financial strength, has continued to move forward expanding product offerings and services while many firms continue to lay off employees and shut their doors. Gil Priel, Managing Director and Partner, stated, "We see the volume of both performing and non-performing loan pools for sale at prices we have not seen for many years. As mortgage brokers and hedge funds are forced to sell into a panicked market, we are benefiting due to our liquidity position and our ability to portfolio our products. We have actively begun acquiring these pools but have also simultaneously increased borrower and lender financing in residential and commercial." Peak offers a strategic advantage due to its creative financing structures. Just recently, Peak funded a multi-million dollar loan in less than a week, crossing six commercial properties in three states to make the deal work for the borrower.
"We continue to finance creatively," says Priel. "While the majority of lenders have become much more conservative in their underwriting guidelines, thus pushing many mortgage brokers out of the industry, we have partnered with brokers to ensure client retention."
Peak has also come to the aid of many lenders who are experiencing the credit crunch. In a recent outbreak of anxiety, GMAC LLC, who finances warehouse lenders, rigidly tightened its terms last week sending a memo to its customers. "Our fund provides piggy-back financing to approved lenders nationwide. In cases where lenders may cap their LTVs due to 'scared money,' we will partner with them to take the stretch piece, ensuring they get the deal done," comments Eli Tene, Partner.
Helping lenders to finance will become more common for Peak Capital Group as the industry continues to spiral downward. On Monday, Capital One Financial Corp. announced it will close the lending unit it purchased less than a year ago, GreenPoint Mortgage. This comes on the heels of Wells Fargo & Co.'s, the second-biggest U.S. home lender, announcement in late July that they will be shutting a sub-prime wholesale unit.