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"The confidence which we have in ourselves gives birth to much of that which we have in others." |
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Welcome to Harvest's Premiere High Yield Investing Service
Harvest offers high-yield, predictable, short-term investments secured by residential and commercial property. Historically, these investments have been 40-50% higher than other interest-bearing investments.
Harvest fills a niche in the marketplace to give borrowers the fast access to the cash they need for real estate projects. Traditionally, our borrowers need money faster than banks can get it to them. Banks cannot react as quickly because their underwriting criteria is more stringent, it requires more documents and analysis. Since Harvest is privately funded, we have the flexibility and access to loan money because Harvest is an asset based lender. Looking primarily to the collateral package, to supplement other specific underwriting criteria, allows Harvest the flexibility to loan money quickly.
Harvest offers investments in real estate transactions that generate a foreseeable high-yield return. For example, Harvest would make a first mortgage of $60,000 based on a property valued at $100,000 after repair or construction, thus providing an investment with a 40% equity cushion. This means that if the borrower defaults, the property could be sold for as little as $70,000 to cover the investor’s principal and interest.
How It Works
Who can invest? - Anyone can invest. Harvest Mortgage provides an investment vehicle for your Individual benefit, IRA, Pension and Profit Sharing Plan, or any other custodial or trust situation you might have.
What are the terms of the investment? - Harvest has provided creative financing opportunities for its borrowers. These opportunities are usually short term, interest only loans with a maturity date of twelve (12) months to thirty-five (35) months. Historically, most loans have been paid off within ten (10) to twelve (12) months with an average loan size of $90,000.
How much can I invest? - Investments can be structured to fit your individual needs. We can accommodate any amount ranging from $50,000 to $2 million. For example, if you have $100,000 in an IRA that you want to rollover, we can assist you with that process.
How am I paid? - Harvest mails a monthly check to each investor on the 20 th of the month. A check can be mailed to a Trustee with a copy to the individual investor if the account is a fiduciary one. Each check indicates the monthly payment, investment (borrower) name and property address and other pertinent information.
End of the Year Accounting - Harvest Mortgage issues 1099-Int's to investors for the income earned during the prior year.
What is the catch? Unlike a certificate of deposit (CD) or other marketable security (e.g. stock or bond) that can be readily available for cash, a mortgage investment is not liquid until the loan is paid off.
When can I access my investment? - When a borrower's loan is paid off, a Harvest representative calls the investor (or investor's designees) to advise them that a payoff is forthcoming. At that point, the investor may request his investment to be returned to him or rolled into another similar investment.
Recent LOAN TRANSACTIONS
Borrower is a Florida-based family business with outstanding credit. The principals purchase, renovate, and operate convenience stores with gas islands. Local banks in Georgia will not lend to out of state residents for acquisition and renovation – Harvest will. Once the renovations are complete, the borrower gets traditional instuitional financing from their Florida resources. The loan terms on these transactions are usually 15 – 18 months. Average loan size is $225,000 to $300,000. (Latest transaction borrowers owned the center free and clear, Harvest loaned renovation dollars only.) |
Borrowing entity is a real estate developer and property manager who puts acquisitions together. Harvest lends usually at 50% loan to value on these transactions, borrower pledges additional collateral to compensate for any risk in the transaction. Personal guarantor on the loan has outstanding credit and reserves to support the loan. Loans are usually on the books for 18 to 24 months and average $250,000. |
Borrower bought a parcel of land to develop into a small subdivision. He paid cash for the land and wanted to get some of his cash back while due diligence on the project was being completed. As he had done some development work on the project, a local institution would not consider the transaction. He completed his due diligence and obtained refinancing for construction – loan was paid in full in 7 months. |
Borrower was an airline employee with great job stability, good credit and reserves. He found a single-family home in a strong neighborhood in Atlanta, which needed renovation. The purpose of the loan was purchase and rehab of the property. His goal upon completion was to refinance and hold the property as an investment. Loan was paid in full in 13 months. |
Borrower’s development process of one acre, luxury residential subdivision lots extended longer than anticipated. He had been operating out of cash reserves; his bank was unwilling to make him a loan since he had already begun his due diligence process. Harvest made the loan, which on a per lot basis, was less than 40% of finished value thus giving us a significant equity position. Harvest’s exit: we showed a couple of local developers the project, both expressed interest in completing the project in the event of a default. |
Harvest funds bridge loans, also known as mezzanine financing, from 5 million for the acquisition, construction, renovation and refinance of apartment and condominium buildings and retail, industrial and office properties in the Southeast. |
Forms & Documents
What Others Are Saying
“I am a retired businessman and have been investing with the principals of Harvest since 1989. I’ve been receiving regular monthly payments with great reliability and I’ve never lost a penny of interest or principal in any investment.”
“I
am a businesswoman and have been investing with Harvest for over 10 years.
Sometime ago I commented that my monthly checks and monthly reporting
lacked clarity. Harvest responded by investing in new technology and improving
personnel. This has provided me with better service, clearer monthly reporting
and overall has simplified the bookkeeping of my mortgage portfolio.”
“We have been investing a portion of our Pension Plan in mortgages with Harvest Mortgage for over 7 years – results have been predictable as promised. Where else can you get a yield like this without market risk? Our monthly checks are mailed directly to the Plan Administrator and we receive copies with makes it easy to keep up with!”
“Our firm has purchased over $1.5 million dollars in non-recourse mortgages for our investment portfolio over a 6 year period. On one occasion, we had a default where a builder stopped performing on his loan, Harvest stepped in and within a few months, we were made whole – the only inconvenience was a few months interruption in cash flow.”
Contact Info
Call Us
770-421-8082
800-972-LEND (5363) - toll free
Fax Us
770-425-7266
Mail Us
Harvest Mortgage
1800 Parkway Place
Suite 130
Marietta, Georgia 30067
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