Fix & Flip
Vincent Pitts Media Expert
Vincent Pitts Media Expert


“Fix And Flip Buy & Hold Manifesto” 


 Become a Private Investor:

“Fix And Flip Manifesto”

 The Truth About Private $$$:

What Financial Planners Don’t want you to Know:



I will give you the most important (KEYS) And Answer the 10 most Critical Questions That Will lead to Your Private Money success:

Steps To A Lucrative Future With Unlimited Possibilities:

This is Global:  NETWORKING:

 “Fix And Flip Manifesto”

Here’s the big problem Pitts Enterprises Inc Can Solve!  ” Unresolved foreclosure cases” Piling up in Cook County! Lower-income to Middle-Class Homeowners.  There have the highest numbers of affected properties, study says!

January 22, 2014,|By Mary Ellen Podmolik, Tribune report

As many as 8,000 residential properties in Cook County, including 4,000 in Chicago, have been in foreclosure for at least three years without resolution, new data show, a situation that could further deteriorate already scarred communities.

Many of those properties that seem to get stuck — or abandoned — in the foreclosure process are in lower-income areas where annual household income is $49,000 or less, according to a study by Woodstock Institute.  

Some of the at-risk houses, condos and apartment buildings are vacant, and the lenders have likely abandoned the foreclosure cases. Some continue to be inhabited while in foreclosure. Others are still in foreclosure while lenders consider short sales.

“You’re stuck in this situation where nobody really has a long-term interest in the property,” said Spencer Cowan, a vice president at the Chicago-based public policy and research group and one of the report’s authors. “The titleholder knows it may be taken at any time. The servicer doesn’t own it and may never own it. They may release the lien or just let it sit.”

Mortgage servicers filed foreclosure cases against about 228,400 houses, Condos, and apartment buildings in Cook County between 2008 and 2012, according to Woodstock. Its research, though, looked only at the roughly 135,000 cases filed between 2008 and 2010 because of the long time it typically takes to process a foreclosure case through the county’s court system.

Press The button!
Press The button!…….

Moody’s Analytic’s



Successful Investor understands the use of IRA Money For Real Estate:

Successful Investor talk with the right advisor:

Let’s talk Self-Directed IRA

 A self-directed IRA is an individual retirement account that gives you complete control over your investment choices. Unlike other IRAs, you’re not limited to stocks, bonds, or mutual funds.

 “Fix And Flip Manifesto”

Are you ready to move forward:

DSCN1299Self-Directed 401K:

A Self Directed 401K, referred to after this as “one.K”, is a 401K plan setup for your company. As the Manager of the company, you can act as the Trustee for the Plan’s monies. Like a self-directed IRA, the one.K enables you to self-direct your investments, but in this case, it is on behalf of your 401K.

Self Directed 401k Rules & Self Managed 401k Rollover


“Fix And Flip Manifesto”


Pitts Enterprises Inc (P-E-I):


(PEI) and its subsidy is a loan origination center, originate private money loans secured by non-owner occupied residential and commercial properties. All (PEI) loans are evaluated with asset-based standards as opposed to conventional standards utilized by banks and other institutions. As a private money lender working with other Subsidies (PEI) we provide you the opportunity to review our entire due diligence packet on the borrower and the subject property. This allows you to make a fully informed lending decision prior to funding a particular loan.



What is a deed of trust or mortgage?

Staff Personnel Linda:
Staff Personnel Linda:

A deed of trust or mortgage is a legal document that provides a lender with a lien on real estate. The connotation of “first” position deed of trust or mortgage signifies that the lender’s lien on the property has a first priority status, which means the lender has the primary right to collect in the event of foreclosure.

Are we Private Money Lender?

Private money is capital lent by private citizens or companies throughout the United States. Private Money usually has shorter terms and a clearly defined repayment schedule. Terms will vary from lender to lender and will depend upon the experience level of an investor, as well as the value of the asset securing the loan.

“Fix And Flip Manifesto”


 What if the borrower stops making payments?

Ultimately, if the borrower defaults, the lender’s remedy is to foreclose on the property. In many circumstances, the lender will be the highest bidder during the foreclosure process and thereby become the legal owner of the property. This is why the beginning equity position is so important. Our underwriting guidelines require a minimum of 35% equity spread in the property at the time the loan is originated. The 35% equity position is based on the “As-Is” value of the property, as verified by an independent appraisal.

Why should you become a private lender?

Healthy Returns with Shorter Terms: Or just live the good life

Many investment vehicles, such as stocks and bonds are earning lower than desired, or simply unpredictable, returns. Private money mortgages are a solid source of healthy short-term returns.

Tangible Security: Enjoy your Passion:

Unlike investing in stocks and bonds, when you invest in Private money mortgages, you are investing in tangible assets.

Hands Off Investing:  More time with Family and Friends:

We research, review, assemble and provide you, the lender, with all of the due diligence materials you need to make a fully informed decision regarding funding a specific transaction.

Monthly Cash Flow:


“Fix And Flip Manifesto”

^E4040D8E72CA217F77225771F80E74D6D4378C6177267AEF78^pimgpsh_fullsize_distr-001During the course of the loan, the borrower will make monthly interest & principle payments to Pitts Enterprise Inc Then We make payments to YOU!!!!!!


Private lending provides an opportunity for individuals to add diversification to their financial portfolio through secured investments in real property.

Less Volatile:

Typically, real estate values fluctuate less dramatically than other investments, providing more stability to the investor.

Other Key Benefits:

You’re always in first trust lien position. Loans will not exceed 65% of the asset value. SIC requires “skin in the game” from the borrower (in the form of cash, partner, collateral, and/or equity). Loans are supported by solid exit strategies. It’s a passive investment.

“Fix And Flip Manifesto”

How much Do you need to become a Private Lender?

Pitts Enterprises Inc has a minimum of $15,000, We have no maximum on our loan amounts. Our lenders have funded properties that range from $15,000 to over $1,000,000. Our average loan ranges from $30,000 to $75,000.


The Class Room
The Class Room

How is the LTV determined?

We use an appraisal from a certified third party to determine the “As-Is” value of the property.

What if the property is uninhabitable?

When there is extensive rehab that is required to make the property habitable, rehab funds will be escrowed and paid out as the work is completed.

Up Too! $150,000.00 Line of Credit Available With Partnership With (P&E)

How is the monthly payments calculated?

The borrower is required to make monthly interest-only payments with a principle payoff balloon due at the end of the term.

What about title and Hazard Insurance?

^96C1BBD2955C63423C97B976AF0F93C282720D8768C802C70D^pimgpsh_fullsize_distrTitle Insurance is obtained at the time of closing and is paid by the borrower. One year of hazard insurance is pre-paid by the borrower at closing. If needed, we have a third party forced-placed insurance company that can re-instate hazard insurance for the remainder of the term.

What happen If the loan matures and the borrower is unable to payoff the loan?

At the end of the term, the lender can foreclose or extend the loan, or the borrower can deed the property over to the lender in lieu of foreclosure.

Can I invest with a 401K or a self-directed IRA?

Yes, as long as you have a self-directed custodian.

Does Pitts Enterprises facilitate Lending through self-directed IRA?

Yes. We have worked with many Self-Directed Custodians, and we can provide you with names of custodians with whom we have worked. They can assist you in lending through your Self-Directed IRAs.

What type of Properties do you fund?

We fund single family residences, condos, townhomes, row homes, duplexes, 3-plexes, 4-plexes, and mixed-use commercial buildings.

We can fund properties in CA through Cogo Capital Orange County, Inc. NMLS# 1051306, CA DRE Broker# 01928542.

States I Lend Money and Do Business!

“Fix And Flip Manifesto”

One of the Top Ten Cities to Live, Work And Play In!
One of the Top Ten Cities to Live, Work And Play In!


AL Alabama AK Alaska AZ
Arkansas CA California CO Colorado
CT Conneticut DE Delaware FL Florida
GA Georgia HI Hawaii ID Idaho
IL Illinois IN Indiana IA Iowa
KS Kansas KY Kentucky LA Louisiana
ME Maine MD Maryland MA Massachusetts
MI Michigan MS Mississippi
MO Missouri MT Montana NE Nebraska
NH New Hampshire NJ New Jersey
NM New Mexico NY New York NC North Carolina
ND North Dakota OH Ohio OK Oklahoma
PA Pennsylvania
SC South Carolina
TX Texas
VA Virginia WA Washington WV West Virginia
WI Wisconsin WY Wyoming DC District of Columbia

 What are the risks associated with Private Lending?

100_0555_0002Risks include the following: (I) the debt instrument and associated security instrument are not insured by the FDIC or any other governmental agency; (ii) the value of the property is given by an appraiser reflecting his or her opinion of the value at a specific date. There is no assurance that the appraised value will reflect a fair market value, as general and local economic conditions may change; (iii) the Borrower’s ability to repay the loan will depend upon the Borrower’s financial conditions which could change over time; (iv) there are general risks associated with real estate investments including general or local economic conditions, neighborhood values, interest rates, real estate tax rates, the supply of and demand for properties of the type involved, the ability of the Borrower to obtain necessary alternative financing, governmental rules, and acts of nature; (v) default by the Borrower could interrupt Lender’s monthly payments.

Under extreme cases, it may be necessary to foreclose or take other actions to protect Lender’s investment. It is possible for the total amount recovered upon foreclosure to be less than the amount of the total Loan investment, with resulting loss of capital to the Lender; (vi) if Borrower files a reorganization or full insolvency bankruptcy, the foreclosure process could be stalled. The lender could incur significant legal fees and costs in attempting to obtain relief from the automatic freeze on collection proceedings provided by the Bankruptcy Code. Relief consists of obtaining court approval to release the property out of the bankruptcy so that the property can be foreclosed upon. Furthermore, the court could modify the terms of the Loan by extending the due date, changing the interest rate and payment structure, or be causing the priority of the Loan to be subordinated to a bankruptcy court-approved financing plan; (vii) the Loan cannot readily be liquidated, transferred or sold; and (vii) challenges to the enforceability of the Loan Documents (including lender liability claims, claims of defective documentation and usury claims).

Loan Guide Summary?


Types of Loans – Secured Investment Corp leads on residential and commercial property throughout the country. Our loan size generally ranges from $15,000 to $750,000. Our loans are all secured by a first or second deed of trust. We do not lend on owner-occupied properties. Our loans are all originated by a business entity. We do not lend to individuals.

Kay, Explain The Lender Requirements
Kay, Explain The Lender Requirements

Your ability to get Hard Money lender for the 25% of a commercial loan!

1. The power of private money, and

2. You know how to go get it!

To get your request approved, you may have to settle the loan that will have very attractive terms. However, there are some alternatives. Most are unacceptable to Private Lenders.

1). Create a Business Plan:

2). Create an Exit Strategy:

Before I can approach a Private Lender, You should have a business plan. By presenting this plan to the Private Lender, your chances of obtaining your loan increases by 50%…

You will show a clear and concise define reason you need funding for your project. You can also address any credit problems that require an explanation. Here are some areas to cover in your business plan:

1. Your Credibility

*Feel good letter

*What banks know

*Investment highlights

*Investment examples

You should supply several pieces of background information.
First, include an overview letter of what you are providing and an
introduction to your company.

3. Industry Articles

*Retirement articles………….Wall street / USA today

*Magazine articles…………. Money magazine / Kiplinger’s

*Your city articles……….. Strength of local market
*The documents your lender receives from their investment.
This is a very important book that you must prepare. It is an actual
example of a Real Estate transaction that you will give to the private lender

Do you work with other Private Lenders? Who has made the investment with you on other properties?

You must have a three-ring binder / Webpage with all the pertinent information this particular transaction.
1). Description of your business
2). Marketing strategy
3). Financial information
4). Long and short term goals

The more in depth your business plan is, the better your chance of receiving an approval for your commercial loan request. Showing a lender your vision for the business will not only help them to arrive at a loan decision, it may get you a more favorable loan package.

Document Requirements for a Commercial Mortgage

What documents are required for a commercial mortgage? Typical documents include profit and loss statements, tax returns, rent roll, property photos, personal financial statement and capital improvements summaries. Read below to learn more about the documents required to obtain a commercial loan or apartment loan.

Are you applying for a commercial real estate loan? Would you like to have your commercial loan or apartment loan flow smoothly and close in a timely manner?

Well, of course, you would, after all, who wouldn’t. The problem is that most borrowers aren’t sure how to make this happen. The easiest way to ensure a quick, easy, and accurate closing, is through preparation. In commercial lending, preparation means knowing what a commercial real estate loan underwriter is looking for, and providing it, before they ask.

Commercial mortgage borrower checklist will help with your preparation. The following is a list of items that you will need to prepare and make available to the commercial lender the day you apply, or as soon as possible thereafter:


Commercial Mortgage Loans – Documentation

3 most recent years tax returns – both personal and business –
Extensions for any filings – if applicable –

3 months most recent bank statements – both personal and business –

Personal financial statements – updated within last 60 days –

Year-to-date business operating statements – if applicable –

Year end business operating statements if business tax returns are on extension

Personal resume – required for investment properties if self-managed – Property management resume, or letter of credentials, if the property is professionally managed.

Letter of explanation for any derogatory credit, including slow pays, charge-offs, liens, judgments, child support, etc.
Schedule of real estate holdings – include purchase date, purchase price, and current mortgage amount.

Subject property rent roll – if not 100% owner occupied – if the property is owner occupied and held in a different entity, i.e. LLC, and leased back to the business, then rent roll and copy of the lease must be provided.

Subject property leases – see above for owner occupied property
Subject property income and expense statements, including year end and year-to-date.

For investment property with single or anchor tenant, include tenant financial statements

Commercial Mortgage Loan Purchase Documentation & 25% Down Payment Requirement!  

1). Two years and year to date P&Ls
2). Current rent roll
3). Subject property photos/offering memo/sales package
4). Valid purchase contract – including any amendments –
5). Selling agent or individual contact information
6). Verification of escrows
7). If seller is holding a subordinate position, include terms of the note
Property insurance information

Commercial Mortgage Loan Refinance Documentation

Two years and year to date P&L
Current rent roll
Subject property photos
Capital improvements summary
Payoff information, including mortgagor or service provider contact information, payoff statement, and payment history
Title policy
Property insurance information
If there is subordinate financing on the property, you must provide a subordination agreement


Lender Requirements – Our loans are sold to single lenders and are not fictionalized. This means that the minimum investment for a lender to fund a loan is $15,000. Our loans range from six months to 2 years. The lender holds the first trust deed on a loan and collects the monthly interest payments for the life of the loan. Some states require that a lender is an accredited investor. Also, investors in the Secured Investment High Yield Fund must be accredited. Our Funding team can discuss the requirements with you.

“Fix And Flip Manifesto”

How it Works – Pitts Lending & Cogo Capital, our marketing companies has marketing programs and affiliates that provide it with a significant number of lending opportunities every day.

A borrower will either sign in on our website with a property that they would like to use as collateral for a loan or they will call our corporate office asking about our loan products.

We have a team of outbound sales representatives
We have a team of outbound sales representatives!

We have a team of outbound sales representatives who process these requests and determine whether the loan fits within our lending criteria.

For those loans that fit our criteria, we then deliver the relationship to our loan officers. They order an appraisal and work with the borrower to finalize the parameters and price the loan.

Our processors then work with the borrower to obtain all of the documentation necessary to underwrite the loan.

Our loans are underwritten to determine that they meet our specific lending guidelines. Upon successful underwriting, our loans are originated utilizing funds from our Secured Investment High Yield Fund.

Los Angeles Real Estate Seminar 008 - CopyThese loans are then sold to individual investors.  Like those nice people in the pictures.  Our funding department provides the investors with the loan information, and upon demonstrating an interest in a specific file, all underwriting information is shared with the lender.

Our lenders generally yield north of 9% on the loans that they fund. All loans are non-amortizing loans with monthly interest payments due. Our sister company, Lake City Servicing, services all of the loans that we originate through the life of the loan, and the monthly payments are collected by them and then remitted to our lenders.



“Fix And Flip Manifesto”



Susan Explain The Different Types of Loan Products
Susan Explain The Different Types of Loan Products

Everybody is Potential Buyer!   Types of Loan Products

Purchase Loan – We will lend up to 65% of the as-is value on a residential purchase, not to exceed 80% of the purchase price being paid. We allow for the cross-collateralization of multiple properties on purchase loans which allow for the loan to exceed 80% of the purchase price should 65% of the aggregate value of the properties exceed 80% of the purchase price.

Refinance Loan – We will lend up to 65% of the value of a property on a refinance for items such as repairs to the property or pay off of other loans collateralized by the property. If 10% or more of the loan proceeds are for cash to be paid to a borrower, the loan amount may not exceed 50% of the as-is value of the property.

ARV Loans – We will lend up to 65% of the after repair value of a residential property. These loans are used specifically for repairs to the property securing the loan, and the amount is held in escrow and draws are provided to the borrower as the work is performed.

“Fix And Flip Manifesto”

^FF6B19917CBDAABB295934382FD0A97CBA61F84FEAAF5D3E53^pimgpsh_fullsize_distrCommercial Loans – We will lend on the commercial property up to 55% of the as-is value of the property, not to exceed 70% of the purchase price.

Terms – Our loans range in duration from six months to 2 years. Our loans interest only payments for the life of the loan with a balloon at maturity. We lend only on real estate in a first position on the secured property. We can cross-collateralize multiple properties on a loan. Our minimum loan size is $15,000.

Pricing – Our pricing begins at 12% and 2 points. Pricing is affected by such items as credit score, loan duration, and LTV.

You will be prompted to accept our Non-Circumvent, Non-Disclosure Agreement.

We strive to save you time, money, and the hassle of tracking down reliable real estate professionals and investment opportunities. Each loan package is researched, reviewed, assembled and provided to you to review until you identify the one that meets your personal lending criteria. To understand Secured Investment Corp’s process, click the infographic to the right.

“Fix And Flip Manifesto”

If you’re interested in learning more about becoming a private money mortgage lender please complete the form below. A member of our funding department will contact you to schedule a consultative call.

“Fix And Flip Manifesto”



Translate »