Putting Your Money to Work through Private Lending Presented By: Simone Hopkins and Steve Larkin Denali Real Estate Solutions www.DenaliSolutions.ca

Disclaimer This is not an offer to purchase or sell securities. Any person, entity, or organization must first be qualified by the company and read all of the offering documents and attest to reading and fully understanding such documents. Denali Real Estate Solutions and it’s affiliates are not licensed securities dealers or brokers and as such, do not hold themselves to be. This presentation should be construed as informational and is not an advertisement soliciting for any particular purpose. All securities herein discussed have not been registered or approved by any securities regulatory agency in accordance with the securities act.

Today’s Agenda

Today’s Agenda Overview of the private money lending process Why private lending benefits you Company overview Why we utilize private money Investment buying criteria Terms & conditions How you are protected Risks vs. rewards The closing process Common ways our lenders fund deals Case studies & commonly asked questions

Private Money Lending Process Overview of the Private Money Lending Process

Private Money Lending Process Principle +12% Interest Payment Overview of the Private Money Lending Process Private Lender Documents Securing the Loan Purchase Home Principle +12% Interest Payment Home is SOLD Home is Renovated

Why Private Lending Benefits You?

Why Private Lending Benefits You? Assume $150,000 Invested Private Lending vs. Traditional Savings

Why Private Lending Benefits You? Real estate mortgage/deed of trust provides you with security instruments you would not get with other investments You have added layers of protections because of how we buy and because you have recourse Produces predictable income stream for you because rates do not fluctuate It is very easy to understand and all loans have very straightforward terms

Company Overview

Company Overview Denali Real Estate Solutions was started in 2013 by Simone and Dan Hopkins and Steve Larkin We purchase distressed properties 20% to 30% below market value We then rehab and sell those properties to retail homebuyers and landlords Our competitive advantage is our knowledge, business systems, and experience Private lending is our #1 source of funding for our redevelopment projects

Company Overview

Company Overview

Company Overview

Company Overview

Management Team Simone Hopkins – co-founder of Denali Real Estate Solutions and the master of business administration and technology. As an integral organizer of the business Simone has leveraged technology to put the business on auto-pilot. Her systems are what have allowed Denali Real Estate Solutions to achieve exponential growth in just a few short months. Daniel Hopkins – co-founder of Denali Real Estate Solutions and experienced general contractor. As an key piece of our company, Dan has managed various projects and his attention to detail is one of the most important pieces that contribute to our success. Steve Larkin – co-founder of Denali Real Estate Solutions and marketing specialist. As a key person of our company, Steve has managed to get connections to key buyers, sellers and land developers. Steve also brings high positive energy and drive to move the business forward.

Company Goals Invest in the local Real Estate market and buy properties 20-30% below market value Purchase and rehab 3 properties a month with a minimum net profit of $40k Develop long term relationships with our private money lenders and create and predictable returns for their long term financial goals

Private Money in Our Business Why We Utilize Private Money in Our Business

Private Money in Our Business Why We Utilize Private Money in Our Business Our competitive advantage is the fact that we can purchase properties QUICKLY! This is why we can buy properties at such a discount. Banks are very time consuming to deal with and there is an opportunity cost to that time. We can offer a great rate of return to our private money lenders and we benefit them as much as they benefit us.

Investment Buying Criteria

Investment Buying Criteria Types of properties we buy Buying criteria: what we pay for houses? Why our buying criteria insures safety for you as a lender

Investment Buying Criteria? Items Value After Repair Value $200,000 Repair Cost $20,000 As Is Value $150,000 Purchase price & loan amount $100,000 Closing Costs $5,000 Realtor Fees $9,000 Lost Interest for 6 Months at 10% Sale Price Fire Sale Price $140,000 Total Cost to Recoup Investment $119,000 Profit to Private Lender $21,000

Terms & Conditions

Terms & Conditions 8-10% interest no points 1st or 2nd Lien position 12 months terms Fee w/ option to renew All documents recorded

The Security Documents How You Are Protected & The Security Documents

The Security Documents How You Are Protected & The Security Documents Promissory note Mortgage deed or deed of trust Hazard insurance policy Personal guarantee

Risks vs. Rewards

You are making a 10x greater return on your money Risks vs. Rewards Sitting in Bank $100,000 x 1% Interest 12 Month Term = $1,000 ROI Private Lending $100,000 x 10% Interest 12 Month Term = $10,000 ROI * Backed by Real Estate You are making a 10x greater return on your money

Real Estate Private Lending Risks vs. Rewards Stock Market Real Estate Private Lending Completely Unsecured Completely Uninsured Invest at Market Price Returns Are Unknown Secured by a Deed of Trust or Mortgage Deed Collateral is Fully Insured Collateralized Below Market Value Returns Are Fixed and Agreed Upon Term Tangible Asset

The Closing Process

The Closing Process Closing documents w/ mortgage deed, insurance policy, promissory note Funds from you go into escrow with title company or attorney Mortgage or deed of trust filed on the land records You get: Original promissory note and copy of mortgage or deed of trust, and insurance policy I start work on the house

Common Ways Our Lenders Fund Deals

Common Ways Our Lenders Fund Deals Cash in the bank Home equity credit lines Personal & business credit lines Liquidated securities & investments Retirement accounts

Retirement Accounts that Can Be Self Directed RRSP and TFSA’s * Educational Savings Accounts Retirement Income Accounts *Profits can be tax free or tax deferred when you invest with one of these vehicles

Case Study of a Recent Deal with a Private Money Lender

Case Study – 12 ch des cedres Purchase Price: $160,000 Appraisal Value $250,000

Before and After

Before and After

Before and After

Before and After

Case Study – 12 c. des cedres 6 Month Project Purchase Price: $160,000 Rehab Cost: $35,000 Total Invested: $195,000 = $9,750 Private Lender Return on Investment $195,000 @ 10% Interest for 6 months

Common Questions

Common Questions What if something happens to you? What if you don’t sell the house for what you think? What if I have to pull my money out? What if I can’t fund an entire deal? Can I think about it? Why isn’t everyone investing this way?

Investment Minimum’s

Investment Minimum’s Must have a minimum of $25,000 to get started with us If you commit $200,000 you are usually given a first mortgage/deed of trust We require a 6 month commitment at the minimum

How to Get Started

How to Get Started? Fill out a private lender information sheet Put down a loan commitment amount I will call you when I have my next project lined up

Our Contact Information Simone Hopkins 613-299-7366 simone@DenaliSolutions.ca www.DenaliSolutions.ca Steve Larkin 613-862-2633 steve@DenaliSolutions.ca www.DenaliSolutions.ca