Our Offerings
Residential Hard Money Loan

Elba, AL

This 1,195 square foot home is located on approximately 3 acres in a quiet, country setting. Recently remodeled to include tile flooring, upgraded kitchen cabinets and countertops, and a more modern paint scheme. There is a covered front porch and patio area where you can relax and enjoy the sounds of nature. The property includes a 30’x60′ storage barn perfect for housing a RV or boat.

Annual Interest Login for details
Term Remaining 3 Months
Payment Monthly
Offering Size $75,000

Elba, AL Details

Structure

Tax Document
1099-INT
Offering Structure
BPDN
x

SENIOR BPDN - PROMISSORY NOTE SECURED BY COLLATERAL SECURITY AGREEMENT

THIS PROMISSORY NOTE IS SECURED BY THE ISSUER'S PLEDGE OF THE RELEVANT UNDERLYING COLLATERAL LOAN (AS DEFINED BELOW) TO THE LENDER (AS DEFINED BELOW) UNDER THE COLLATERAL SECURITY AGREEMENT AND PROMISSORY NOTE. HOWEVER, EXCEPT TO THE LIMITED EXTENT PROVIDED IN THE PROMISSORY NOTE WITH RESPECT TO THE UNDERLYING COLLATERAL LOAN, THIS NOTE IS NON-RECOURSE TO THE ASSETS, FUNDS AND ACCOUNTS OF YIELDI, LLC (THE "BORROWER", "COMPANY" OR "ISSUER") OR ANY OF ITS AFFILIATES, EMPLOYEES, AGENTS, STOCKHOLDERS, PARENTS, OR SUBSIDIARIES EXCEPT TO THE EXTENT OF THE VALUE OF COLLATERAL LOAN NET PAYMENTS ACTUALLY RECEIVED IN RESPECT OF THE UNDERLYING BORROWER LOAN.

Example Return on Investment

Investment Amount:

Annual ROI:

$0

Why We Like This Opportunity

investment-property-highlights

Elba, AL Highlights

This 1,195 square foot home is located on approximately 3 acres in a quiet, country setting. Recently remodeled to include tile flooring, upgraded kitchen cabinets and countertops, and a more modern paint scheme. There is a covered front porch and patio area where you can relax and enjoy the sounds of nature. The property includes a 30’x60′ storage barn perfect for housing a RV or boat.

About the Neighborhood

Elba, Alabama is a vibrant riverfront community flowing with homegrown values that have created an enduring legacy connecting the very best of the past, present, and future.  The City’s rural setting allows residents to enjoy the benefits of lower crime rates and costs of living, while its close location to larger cities gives inhabitants access to additional amenities. Its great location with proximity to Pea River, several local and state parks, the nearby Gulf Coast beaches, and major transportation routes makes the City of Elba a perfect choice for businesses and individuals looking to relocate. Elba is a perfect small town.

First Priority Mortgage Lien Position

Seniority

The first-priority mortgage lien position is the most senior and highest priority within the capital structure. In the event that a borrower defaults, the lien priority determines the order in which lenders are repaid. Senior lenders are always repaid first. All subordinated positions, including the amount held by the Originator and its investor syndicate, act as a buffer in the event of a deterioration in the Properties’ value.

Personal Guarantee

Personal Guarantee

The Loans are personally guaranteed by the borrower, spouse, and all principals in the LLC. Additionally, the Sponsor and/or Guarantor are obligated to contribute monthly payments to maintain a tax and insurance reserve. Failure to adhere to reserve contribution requirements would lead to the triggering of a debt service and operating expense/shortfall guarantee.

Upfront Reserve

Upfront Reserve

The Loan is structured with interest reserve for further protection.  12 months of debt service payments will be collected at closing.

What Should I Consider When Investing in Elba, AL?

Borrower Risk

The Borrower may not have represented itself accurately.

Risk Mitigation

  • The Originator checks the Borrower's credit history via a third-party credit reporting company.  The Borrower has a 700 credit score.
  • The Originator considers the underlying asset to be the primary source of security.
  • If the Loans are not fully repaid after the Lender has exhausted other sources of repayment, the Borrower has provided a personal guaranty to fulfill any deficiency.

Default Risk

The Borrower may default on his financial obligations.

Risk Mitigation

  • If the Loans are not fully repaid after the Lender has exhausted other sources of repayment, the Sponsor has provided a personal guaranty to fulfill any deficiency.
  • In the event of a default, a direction letter signed at closing by the Borrower will be sent redirecting the Tenant to make rent payments into an account controlled by the Originator.

Investment Summary Of Elba, AL

Investors have an opportunity to invest in borrower payment dependent notes, the cash flow of which is dependent on the payment of interest and principal repayment on the Loans. Investors are scheduled to receive an annualized monthly interest payment of Login for details over the Loans' estimated remaining term of 12 Months. Principal is expected to be returned on or before maturity through a refinancing with a traditional bank loan. It is important to note that the Loans are eligible for prepayment, and principal may be repaid prior to the 12 Months estimated remaining term. If the Loans are paid off before maturity, investors are expected to receive at least three months of interest payments in addition to return of principal.

How Do I Get Paid?

This loan had an initial term of 12 Months with an option at Yieldi's discretion to extend. As of September 22, 2023 there are 12 Months remaining. Investors will immediately receive monthly interest payments at an annualized rate of Login for details on the principal balance over the life of the loan. If you invest in this loan in the middle of a month, you will receive a prorated interest payment for your investment for your first investment month and then full monthly payments thereafter. All payments are made automatically via ACH on the 1st of each month and investors all paid by the 10th of the month.

Additional Resources

Using Hard Money Lending for Construction: Unlocking Opportunities for Builders

Introduction In the ever-evolving landscape of real estate, construction projects require significant financial backing. Traditional financing options often come with stringent requirements and prolonged approval processes, making them less suitable for many builders. Hard money lending has emerged as a viable alternative, offering flexible, faster funding solutions. This article delves into the intricacies of hard…

How Do I Know if My Hard Money Lender is Legit?

Introduction Hard money lending can be a valuable resource for real estate investors needing quick financing. However, navigating this terrain requires vigilance to avoid fraudulent lenders. If you’re asking, “How do I know if my hard money lender is legit?” you’re taking a crucial step towards safeguarding your investments. This article will guide you through…

Exploring Yieldi: A Comprehensive Guide to Private Debt Funds for Accredited Investors

In today’s diverse financial landscape, accredited investors are constantly seeking alternative investment opportunities that promise stability and attractive returns. Yieldi, a private debt fund, stands out as a premier option. This article delves into what private debt funds are, the distinctions between private credit and private debt funds, and why private debt funds, such as…

Question?