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

2. 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.

3. Today’s Agenda

4. 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

5. Private Money Lending Process
Overview of the
Private Money Lending Process

6. 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

7. Why Private Lending
Benefits You?

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

9. 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

10. Company Overview

11. 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

12. Company Overview

13. Company Overview

14. Company Overview

15. Company Overview

16. 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.

17. Company Goals
Invest in the local Real Estate market and buy properties % 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

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

19. 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.

20. Investment Buying Criteria

21. 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

22. 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

23. Terms & Conditions

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

25. The Security Documents
How You Are Protected &
The Security Documents

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

27. Risks vs. Rewards

28. 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

29. 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

30. The Closing Process

31. 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

32. Common Ways Our Lenders
Fund Deals

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

34. 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

35. Case Study of a Recent Deal with a Private Money Lender

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

37. Before and After

38. Before and After

39. Before and After

40. Before and After

41. 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
10% Interest for 6 months

42. Common Questions

43. 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?

44. Investment Minimum’s

45. 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

46. How to Get Started

47. 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

48. Our Contact Information
Simone Hopkins
Steve Larkin