| Investing in collateralized mortgage loans is more | | | | carries legal protections and rights. Although |
| profitable and risk-free with guaranteed annual | | | | investments in mortgage loans generate handsome |
| earnings of 8 percent and as much as 13 percent | | | | interest payments the money sunk into does not |
| paid on a monthly basis. On the other hand, | | | | appreciate under any market conditions. |
| investment in regular stock market offerings such as | | | | There is a floating rate set for mortgages which may |
| stocks, bonds and annuities never yield earnings | | | | goes up but never down. If the prime rate rises, the |
| higher than 5 percent annually and are usually paid | | | | mortgage investment rate also increases, but if the |
| quarterly or even twice a year. | | | | prime rate goes down the initial mortgage investment |
| Interest earnings from shares of stock and bonds | | | | rate never declines. |
| also come only when the companies involved are in | | | | Going into private mortgage investment may be |
| such good financial position to declare a cash dividend | | | | difficult for the uninitiated. But this can be easier with |
| for shareholders. Thus, such investments are highly | | | | the right brokerage firms specializing in mortgage |
| vulnerable to market volatilities. In order to protect | | | | investment that makes owning a mortgage for |
| their money, the investors should be well-informed | | | | private investor as simple as can be. They simply |
| and on their toes, ready to buy and sell at the | | | | helps the investor purchase or fund a mortgage, and |
| appropriate time. | | | | then the investors sits back and collect the monthly |
| There is no need for this kind of vigilance in private | | | | interest check. Private investors can invest anywhere |
| mortgage investment because interest earnings are | | | | from $50,000 to $150,000 and earn up to 13 percent |
| stable and recession-proof. Private mortgage is a | | | | annually. |
| debt obligation secured with liquid assets that yields a | | | | With a firm handling your investment, they must |
| regular and predictable stream of income to the | | | | allow you to diversify your portfolio to make your |
| investor. Since it is a mortgage lien, the investment | | | | earnings more stable and recession-proof. They must |
| enjoys all the security, protections and recourse that | | | | have a finance counsellors available to help shape |
| such a financial instrument enjoys. | | | | your decision. |
| A mortgage lien is as secure as a land title that | | | | |