You gain Control without ownership ~ Enjoying benefits of real estate but not the hassles of owning the real estate.
You have Collateral ~ A fixed asset with a significantly higher value than the loan amount.
You have a Market Fluctuation Cushion ~ Equity being the key!
You have Security ~ Caveat against the property title.
You are a secured lender with special protection when dealing with Bankruptcy
There is Low to No maintenance ~ No Tenants, No Vacancies, No Repairs
You receive Stability & Predictability with monthly income payments
You have Insurance Protection ~ Against fire, flood and sewer damage granting a first mortgage and/or second mortgage loss payable. The Insurance company pays your money back directly.
You receive Assignment of Rents ~ Ability to directly intercept and collect tenants rent if Borrower doesn’t make their mortgage payments to you.
Fraud Insurance ~ Appraisers, Brokers and Lawyers all carry Professional Services Insurance protecting you from fraudulent dealings.
Your own Legal representation ~ Paid by the Borrower.
Title insurance at closing ~ Protecting your investment and paid by the Borrower.
Foreclosure ~ Legal costs and interest arrears can legally be charged and collected from the Borrower until paid from sale proceeds
Liquidity ~ You can buy and sell private mortgages.
RRSP and TFSA Accounts ~ Both are first and second mortgage friendly with the ability to Self Direct PLUS delaying taxes allowing you to compound returns.
Local Files ~ Lending opportunities against homes primarily in Edmonton/Area and Calgary/area