ABOUT THIS GUIDE
Please carefully consider investment objectives, risks, and associated costs or expenses before investing. Real estate investments are not guaranteed or insured and past performance is not a guarantee of future performance.
Please ask questions and ask for more information before considering any investment.
We are not a law or tax firm, and we do not provide legal or tax advice. Please consult professionals for these types of services. The materials in this guide should be used for general guidance and informational purposes only.
DISCLAIMER
This guide has been written by Cross Lakes Property Exchange, LLC with the intent of providing useful information, tips, and strategies to individuals who are considering entering into private lending transactions secured by real estate. This guide assumes a basic level of understanding of the terms, processes and documents involved with private lending transactions.
INVESTING�STRATEGY
We borrow private money over a 60 - month term to purchase very low loan-to-value properties.
We then sell houses as-is to lease option buyers
who are interested in our owner-financing program.
Our company offers homeownership programs to credit challenged buyers who cannot qualify for a bank loan on their own. This service allows families to become homeowners today when they could not have otherwise. This provides instant profitability, and equity cushion in the case of further market downturn, and automatic wealth building.
INVESTING STRATEGY EXPLAINED
Acquisition: We negotiate with a
seller to purchase their home at a
discount and begin our due diligence on the property.
Presentation: We send a New Opportunity Announcement to all our Private Lenders explaining the specifics of the deal including interest rate, term and our intentions for the property.
Commitment: The Real Estate Purchase Contract (REPC) is sent to my title company. Then the title search and property inspection report are completed and the necessary documents are prepared. If you decide the deal is right for you, you start making the necessary arrangements to have the funds delivered to the title company before the date of closing.
Funding: Your funds are wired or delivered directly to the title company and you are given a receipt for your deposit. You start earning interest that day.
Closing: The title company ensures that all documents needed to close the deal have been submitted by the seller, buyer, and private investor. The transaction is recorded at the county recorder’s office and funds are disbursed. You will receive copies of the promissory note, deed of trust, title insurance policy, and hazard insurance policy from the title company.
HIGHER RETURNS
We pay you 112% interest on your investment. Often, we borrow small chunks of cash to buy investment properties so there is less risk involved.
FIXED RATES
We’ll give you an interest schedule showing exactly how much you’ve earned at any given time during the investment term. Even if the market fluctuates, your rate of return does not change.
SECURED BY REAL ESTATE
When you become a private lender, your investment is secured by a standing, physical, home that we all could technically drive by, see, and touch.
KEY
BENEFITS
How do you benefit from private money lending?
FREQUENTLY ASKED QUESTIONS
Absolutely, in fact that is what some of my investors do. You must be in control of where your investments go from your IRA or 401k, and you can take any IRA or 401k that you own and roll it over into a self directed IRA. There is no penalty for doing this because you are not taking a distribution, you are simply changing the Administrator to one that allows you to self-direct where the funds go. Doing it this way, you can make all of your gains tax deferred without counting on someone else, and earn 8%-12% fixed returns day in and day out. The company we use and most people use is Equity Trust Company. You can get a FREE Information Packet via their website at www.trustetc.com to learn how easy it is to do. You simple fill out a form and send them your last statement. They do the rest and transfer your funds to your new account. The entire process only takes approximately two weeks.
CAN I USE MY IRA OR 401K TO LEND FROM?
In my opinion it is much safer than the stock market because you have no ups and downs to worry about. You might make money in the stock market one month or one year, and then get wiped out the next. When it’s all said and done, most people get returns that barely keep up with inflation. By investing in real estate, you won’t be gambling on companies that you have no control over or know little about who is running them. Your investment loans are safely secured by real estate, you will get fixed returns that never change, there are no fees or commissions, no early withdrawal penalties, and there will be large spreads or hedge factors of equity versus your investment. You’ll just need to use common sense and take a look at what the property is worth, what’s owned and what you’re lending. Remember, you do not have to put all of your investment funds into real estate; but it’s a great place to get consistent, predictable and reliable returns.
IS PRIVATE LENDING REALLY A SAFE INVESTMENT?
AMORTIZATION SCHEDULE
Source: Investopedia Amortization Calculator
AMORTIZATION SCHEDULE
Source: Investopedia Amortization Calculator
AMORTIZATION SCHEDULE
Source: Investopedia Amortization Calculator
Cross Lakes Property Exchange, LLC
2026
PRIVATE LENDING PROGRAM GUIDE
HOW TO EARN 12% FIXED RETURNS
SAFELY SECURED BY REAL ESTATE
Contact Information: Regina Smith, President
Email: drsmith@clpropertyexch.com
Visit: www.crosslakespropertyexch.com