PERFORMANCE MORTGAGES
GET DOWNSIDE PROTECTION BY LINKING MONTHLY INTEREST RATE TO ACTUAL VACANCIES - Protect your monthly cash flow and your ability to service your debt by
linking the monthly interest due and payable on seller-carried paper to
your number of vacancies.
LINK PURCHASE PRICE TO NET INCOME FOR DOWNSIDE PROTECTION - The purchase price need not be for a rigid, fixed amount. It can be
tied to the net income of the property you're purchasing. Ultimately,
and by agreement, the purchase price should be fixed. The seller may
qualify for deferred taxes because the purchase price is a contingent
one. This approach is more acceptable to the seller if you adjust
monthly payments semi-annually - based on the last six months' net
income.
