Miami, FL (PRWEB) August 28, 2013
New York’s Apollo Financial Group sparks trend in alternative lending to real estate investors.
Apollo has been offering equity based investor funding and short term credit for commercial real estate investors eager for more liquidity. Now some of the world’s largest and most well-known private equity firms and hedge funds are following suit as they realize the superior advantages of distressed debt investing.
On August 22nd, 2013 Bloomberg broke the news of Colony, Blackstone Group, Cerberus Capital and Irvine based Johnson Capital announcing moves into the real estate lending arena. According to the Bloomberg coverage investment firms around the country are reporting lining up millions in working capital from these giant funds, with a goal of acquiring more rental properties.
Firms like Colony and Blackstone have scooped up tens of thousands of single family homes over the last year or two, yet reportedly still have billions to put to work. Of course some of these funds which tried moving into the REO to rental business have no doubt discovered the management and renovation challenges larger than anticipated, and see lending as more profitable, with the potential to deliver better net returns without the operational headaches of being on the front lines.
With American Banker and CBS News reporting big layoffs by mainstream banks including 400 Bank of America workers in Dallas, and 2,300 Wells Fargo mortgage related employees, and Fannie Mae restricting investors to 4 mortgages, there is a big need to be filled in the marketplace.
Both fix and flip and buy and hold investors see huge value and rewards from ramping up right now. Unfortunately with conventional mortgage credit so tight recently many have failed to find access to all of the leverage they would like.
Apollo Financial Group’s lead changes all this. Providing additional liquidity for investors and injecting new money into the market is exactly what analysts and industry experts have been calling for in order to fuel continued transaction volume and price growth.
Investors can find two types of funding available from Apollo. The first is hard money, or equity based loans for acquiring non-performing notes. These loans offer as much as 100% financing, depending on the deal structure.
The second program offers short term financing of down payments or initial stage funding for locking in exclusivity on attractive commercial properties. CEO and Founder of Apollo Financial Group Dean Anastos said “we have funded some exciting opportunities recently”, and suggested “those interested in taking it to the next level can view case studies of recent deals on our website."
Find Apollo online at http://apollofinancialgrp.com or see what thousands of others are saying about it on Facebook at https://www.facebook.com/pages/Apollo-Financial-Group/160585614049294