CIRCLE OF LIFE Investment Options:
Passive Investors
These parties provide private financing through personal loans and mortgages to enable the overall business to grow and develop affordable rental housing units. These folks enjoy attractive rates of return (either fixed or variable) and reliable monthly or annual payments. This would be an appropriate option for investors who need predictable and regular payments, such as seniors and retirees. Typical investment terms would be between 1-5 years for this option.
Participating Investors
Participating Investors can be either partial or fully participating. As a Partially Participating Investor, the payments are comprised of a fixed rate of return (but slightly lower than a passive investment) plus an annual bonus based on the overall business performance. Payments are made annually. Potential total returns are greater than for passive investors. Typical investment terms would be 5 years for this option.
The Fully Participating Investor (a.k.a. Joint Venture Investor) entails the shared ownership (you are named on title, as a Tenant in Common) and joint management of a property under a partnership agreement, whereby the returns and risks are shared. To qualify as a Joint Venture Investor you must have sufficient funds available for the initial down payment on a property and/or any development projects that may be part of that property, and have sufficient credit to qualify for conventional bank mortgage/LOC financing if required. This requires you to have a solid credit rating and sufficient current income net of other encumbrances. Typical partnership terms would be between 5 to 10 years for this option.
Whichever option you go with, you can rest assured that the agreement will be fair to all concerned. And you can also take pleasure in knowing that your investment is helping to provide a valuable service to our tenants and the local community too.
The table below, summarizes the key features of each level of Circle of Life investment.
These parties provide private financing through personal loans and mortgages to enable the overall business to grow and develop affordable rental housing units. These folks enjoy attractive rates of return (either fixed or variable) and reliable monthly or annual payments. This would be an appropriate option for investors who need predictable and regular payments, such as seniors and retirees. Typical investment terms would be between 1-5 years for this option.
Participating Investors
Participating Investors can be either partial or fully participating. As a Partially Participating Investor, the payments are comprised of a fixed rate of return (but slightly lower than a passive investment) plus an annual bonus based on the overall business performance. Payments are made annually. Potential total returns are greater than for passive investors. Typical investment terms would be 5 years for this option.
The Fully Participating Investor (a.k.a. Joint Venture Investor) entails the shared ownership (you are named on title, as a Tenant in Common) and joint management of a property under a partnership agreement, whereby the returns and risks are shared. To qualify as a Joint Venture Investor you must have sufficient funds available for the initial down payment on a property and/or any development projects that may be part of that property, and have sufficient credit to qualify for conventional bank mortgage/LOC financing if required. This requires you to have a solid credit rating and sufficient current income net of other encumbrances. Typical partnership terms would be between 5 to 10 years for this option.
Whichever option you go with, you can rest assured that the agreement will be fair to all concerned. And you can also take pleasure in knowing that your investment is helping to provide a valuable service to our tenants and the local community too.
The table below, summarizes the key features of each level of Circle of Life investment.
Three Levels of Investment Available
How We Compare to Other Investments
The chart below compares the Affordable Holdings & Associates Circle of Life program with other investment vehicles in the market. Our program aims to provide solid returns with managed risk, and without the red tape. We have found that due to the turmoil of the current market conditions, a lot of folks have been burned. What really makes us different is we offer a superior return, your capital is truly protected by our investment in low risk property, and you can rest assured about getting your capital back too. A special feature for seniors is our flexible 'emergency' payout option, which means you can get your capital back early if you have a sudden downturn in your health, for instance.
Our personal opinion of the market place (more stars = higher)
Unique Safety Features
Our Circle of Life investment program also provides several unique safety features. For instance, for folks that are concerned about the need to redeem an investment early, say for emergency health reasons in the case of a senior, we offer an early redemption feature that is simple, fair, and expedient. Also, every dollar invested via the Circle of Life program is backed by real estate that has no higher than 80% debt to equity ratio (in fact many of our properties will likely be significantly lower than this). In addition, private investments will often be supported by existing Lines of Credit with the commercial banks. And with the option to register a mortgage on a specific property, you can rest easy that your capital is being well protected.
Which CIRCLE OF LIFE Investment Option is Right For You?
This depends on whether you are looking for a reliable and very low risk monthly payment now, or you prefer to participate in the longer term growth of the business. For most seniors, we would recommend the Non-participating loan or mortgage. For folks that have less need for regular monthly payment and prefer to take on more risk/return over the long term, we would recommend the Fully Participating option that a Joint Venture would provide. Maybe your preference is somewhere in between these two poles, so a Partially Participating plan is for you. Or for that matter, some of each, to create a balanced portfolio.
Rates of return for Passive investments are based on the published mortgage rates of the major chartered banks. These range from 3.5% to 4.5% (as at January 2012). Actual rates of return will vary based on whether your investment is variable or fixed, the length of the term, and whether it is secured by promisory note or registered on title as a mortgage. Rates of return on Participating investments are more subject to future market conditions.
To find out which Circle of Life investment option is right for you, please take a few minutes to complete and submit the Relationship Questionnaire. This will better assist us in providing guidance to you, and we can tailor a plan just for you. If you'd first like to learn more about some of our actual projects, please click here.
Rates of return for Passive investments are based on the published mortgage rates of the major chartered banks. These range from 3.5% to 4.5% (as at January 2012). Actual rates of return will vary based on whether your investment is variable or fixed, the length of the term, and whether it is secured by promisory note or registered on title as a mortgage. Rates of return on Participating investments are more subject to future market conditions.
To find out which Circle of Life investment option is right for you, please take a few minutes to complete and submit the Relationship Questionnaire. This will better assist us in providing guidance to you, and we can tailor a plan just for you. If you'd first like to learn more about some of our actual projects, please click here.
Together We Can Make A Difference.......
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