Receive Asset Data - the acquisition process starts with the analysis of a data file provided by the seller, which offers basic descriptive and financial data on each asset.
Asset Valuation - using Equigrowth's proprietary comp analysis software, a valuation is determined for each mortgage note's underlying property to compare against those provided by the seller as a base to bid the asset.
Pricing Model - the data file is uploaded into Equigrowth's proprietary pricing modeler which utilises a non-linear solver engine to achieve a minimum return on investment threshold based on varying exit scenarios and weighted probabilities on the occurrence of each. This can occur in as little as a few hours upon receipt of the data, depending on the completeness of the information received.
Checklist - Equigrowth has an exhaustive checklist for each individual asset that we thoroughly vet during the due diligence process.
Loan File Review - all pertinent origination and servicing documents are reviewed to obtain a clear picture of the borrower and the property.
Pay History/Servicing Review - all key information from the servicing of the asset, including the pay history, is reviewed and key data is collected.
Asset Valuation - Equigrowth will perform a more rigorous valuation of the asset securing the loan when applicable. This may include broker price opinions, site inspections, automated valuations and other methods.
Final Pricing And Contract
Final Pricing - all information collected during the due diligence process is entered into the pricing modeler and reviewed to derive a final price. This price is communicated to the seller for final acceptance.
Final Contract - based on due diligence and the original commitment letter, Equigrowth works with the seller to develop a mutually acceptable final Purchase and Sale Agreement.
Closing And Servicing Transfer
Collateral Files - the loan files and legal documents are reviewed by Equigrowth and/or its legal team for any ambiguities prior to the funding of the transaction.
Servicing Transfer - Equigrowth works with the seller to transfer all files to our servicer as soon as possible to begin our borrower outreach and loss mitigation efforts.
Closing - Purchase and Sale Agreement is executed, purchase price is wired, and collateral files are shipped.
DISCLAIMER The information on this website is suitable, intended and available for accredited investors who are familiar with and willing to accept the risks associated with private investments. Equigrowth Capital Inc. does not endorse any specific investment opportunities nor do they make any recommendations regarding the appropriateness of particular opportunities for any investor. Nothing on this website is intended to constitute an offer by Equigrowth Capital Inc. to sell, solicit or make an offer to buy any investment interest or to give any business advice, investment advice, tax advice or legal advice. All prospective investors must certify that they: are accredited investors, suitable for this type of illiquid investment; understand that all direct and indirect purchases of real property involve significant risks, including market risks and risks specific to a given property; realize that these investments are NOT insured by the FDIC or by any other Federal Government Agency and are NOT guaranteed by Equigrowth Capital Inc.; understand that fluctuations in the value of the asset are to be expected and there is a potential for loss of part or ALL of investment capital.