IR_October_2020

INVEST R A Think Real ty Publ icat ion SPONSORED CONTENT

LINDA HYDE American Association of Private Lenders

JEFF PEPPERNEY Real Property Management

Hot Market: Phoenix MARCO SANTARELLI AND NORADA RE INVESTMENTS DISSECT THIS SIZZLING MARKET

LEE ROGERS RealProtect

AARON NORRIS Property Radar

PAT VASSAR Ignite Funding

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Phoenix: A Sizzling Market

by Marco Santarelli, Norada Real Estate Investments

T he Phoenix, Arizona real estate market has thrived the past couple years; even the rise in mort- gage rates was believed not to affect it. Real estate appreciation rates have been increasing year-over-year in the entire metro area. Phoenix, the fifth largest city in the nation, is the only state capital with more than a million people. And, the Phoenix housing market is much larger than Phoenix itself; it encompasses the entire Valley of the Sun, Phoenix’s sprawling suburbs that are home to another five million people. That makes the Phoenix metro area the twelfth largest in the country. The Phoenix housing market started so strong this year that only something as drastic as the pandem- ic could have impeded the real estate sector. With the extreme shortage of inventory and an increasing number of sales over asking price of prop- erty owners, many experts expected moderate growth and moderate price appreciation in 2020. The medi - an sales price in Maricopa County for

Q1 was up by more than 12.7 percent from last year. Even in the pandemic, the sales prices in the Phoenix hous-

average of 3.26 percent. Last year at this time, mortgage rates were 4.1 percent. This is the time for buyers to take advantage before they are increased again. The only con is that lenders are requiring higher credit scores because of looming economic uncer- tainty. As more sellers are offering concessions, there isn’t going to be a big decline in home prices in the Phoenix housing market. If job losses get even worse, then it could affect the demand going into the last quarter of 2020. The Phoenix metro area market is so hot that it cannot shift to a com- plete buyer’s real estate market, for the long term. In terms of months of supply, Phoenix can become a buyer’s real estate market if the supply increases to more than five months of inventory. And that’s not going to happen. Therefore, in the long term, the Phoenix real estate market remains strong and skewed to sellers, due to persistent imbal- ance in supply and demand. •

ing market are not declining. The good thing for buyers in

Phoenix is that while supply remains at historically low levels, the price growth rate has slowed down a bit. Also, as some investors are pulling out of the marketplace, the regular homebuyers are getting in a better position to scoop up properties. For sellers, this is the best time to sell for a profit as housing inventory is reported to be at an eight-year low. The question now is what happens moving forward. These numbers can be positive or negative depending on which side of the fence you are — Buyer or Seller? It is quite evident that the ongoing pandemic has not had any major impact on Phoenix’s housing market. The biggest mistake buyers make is sitting around waiting for sale prices to decline while their poten- tial mortgage payment plummets. Mortgage rates have declined to an

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Insurance for the Real Estate Investor

Why realprotect?

What We Do:

Property & Liability Insurance Lender Compliant Coverage Online Portfolio Management Instant Proof of Coverage Pro-Rata Coverage - Only pay for coverage for the days you need it! Coverage For: Buy & Hold Fix & Flip 1-4 Family Homes Apartments Tenant Insurance Programs Commercial Properties Business Insurance

As the nation's premier real estate insurance broker, realprotect is the expert in insuring real estate investors. We understand the real estate business and what investors like you look for and need in a comprehensive insurance program. You've built a business out of owning and investing in real estate. Let us help you protect it. We start with an understanding of your properties and design an insurance program that helps you meet your coverage and pricing objectives. We promise that we will work diligently to find the best coverage at the best price for you. Give our process a try and find out why many leading SFR lenders and firms trust realprotect with their insurance and risk management needs.

Ask about customized solutions for: Lenders, Property Managers, Market Places, Investor Groups, and Turnkey Providers!

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800.579.0652 ⋅ www.realprotect.com

California License #0J05796 Norton Agency Insurance, LLC D/B/A Norton Network Insurance Agency LLC in the State of California; Agency License # 0J13180

Real Protection for Your Properties

by Lee Rogers, realprotect

A s the real estate insurance program of Norton Insurance, realprotect is not only comprised of insurance professionals, but is also a real estate firm that has over 200 licensed agents and property managers. realprotect is the expert in insuring real estate investors and understanding the real estate business and what you look for and need in a comprehensive insurance program. You have built a business out of owning and investing in real estate, and realprotect wants to help you protect it. realprotect starts this process by gaining an understanding of your properties, business structure, and operations. Then, realprotect will de - sign an insurance program that helps you meet your coverage and pricing objectives. realprotect promises to work diligently to find the best cover - age at the best price for you – based on your actual needs. realprotect takes risk manage- ment and loss control seriously for every single client. realprotect has

risk management resources to offer you the tools you need to under- stand the risks that you face and has partnered with industry-leading companies to provide you risk con- trol products at discounted rates. At the helm of realprotect is Lee Rogers, President. As an insurance professional that has worked and consulted with different Sin- gle-Family Aggregators, Rogers brings unique value and perspec - tive for investors, fund managers and operations professionals. He and the Aggregation Risk Man- agement Team at realprotect have helped design and implement insurance and risk management strategy that is above and beyond what is being set as an industry standard for insurance structure in Aggregation Portfolios, while keeping costs contained and risk properly manage and transferred. Based in Atlanta, Rogers has unique insight and knowledge of many insurance markets, with direct access to many of the world’s lead-

ing insurance carriers. Rogers has helped develop analytical tools and insurance philosophies that are in line with the true risk exposures that Single-Family Aggregators are fac- ing. He understands that the Aggre- gation Market is unique, and that the insurance industry must be able to adapt to this emerging asset class. Rogers uses his vast experience and innovativeness to focus on building business relationships with prospective clients, marketing products and advising investors on coverage options for their real estate assets – while making sure that his entire team at realprotect provides the same quality experi - ence for each client. Lee Rogers and his team at realprotect work with industry leaders such as lenders, market- places, and property managers and wholesalers to provide them with the protection and service that their hard work deserves. To learn more about realprotect, please visit www.realprotect.com. •

INVESTOR REV I EW : : 5

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Hard Money Lender Moves in on Hot Phoenix Market

by Pat Vassar, Ignite Funding

T he Phoenix real estate market has been as hot as the Arizona summer sun, attracting hard money lenders like Ignite Funding into the desert arena. Positive market drivers, favorable building climate, quality real estate projects and borrowers are all variables that Ignite Funding factors into its lending strategy, and Phoenix checks all the boxes. Important market drivers include projected employment/population growth, affordability and desirability, and the supply vs. the demand of the region. In 2019, Phoenix was ranked No. 1 on the list of fastest-growing cities in the U.S., while in proceed- ing years ranking in the top ten. This is due to the city succeeding in creating a business-friendly envi- ronment for resilient industries such as bioscience, healthcare, business and financial services, which make up about 60 percent of the metro area workforce. With the higher salary these industries tend to offer, coupled with the affordability of the region and lower taxes, makes Phoe-

nix a desirable place to live. This in turn has created a demand for residential and commercial growth that the municipalities, real estate developers, and lenders are scram- bling to supply. “As demand rises, we are seeing municipalities in the Phoenix area allowing higher density projects and more centralized locations,” said Pat Vassar, Ignite Funding’s Director of Underwriting. “They will be able to house more people while also protecting the native landscape by preventing urban sprawl.” Ignite Funding is familiar with the desert climate of Las Vegas as well as regions that experience seasonal weather conditions like Colorado. In comparison, the desert climate tends to be more favorable for time efficient and cost-effective real estate development. “Builders in Nevada and Arizona don’t have to deal with weather issues, miti- gating timing delays and additional building costs associated with that,” said Vassar. “Being able to remove weather as a variable that could

hinder the profitability of a project for our borrowers lowers the overall risk for us.” Ignite Funding has already funded several projects in Arizona, work- ing with nationally ranked luxury homebuilders, multifamily property developers, as well as healthcare facility construction. Ignite Funding is looking to double, or even triple the amount of loans it will fund in Phoenix and the surrounding areas. Ignite Funding is the conduit in connecting bankable borrowers with sophisticated investors seeking double-digit returns collateralized by Trust Deeds. Ignite Funding is always looking to maintain diversification in investors and its own portfolio. Adding another geographical hotspot like Phoenix into the mix will help accomplish that goal. To date, Ignite Funding has facilitated 1,147 real estate investments, providing 48 bor- rowers in 12 states with the ability to acquire and develop over 12,000 acres of land, 7,800 residential lots and 2.9 million square feet of com - mercial space. •

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Real ROI

The real difference in using Real Property Management—optimizing your ROI.

Using the right professional property management firm can help you earn more, not less. As the largest single-family residence management franchise in North America REAL Property Management has more than 30 years of experience doing just that for clients. There are many ways REAL Property Management can help maximize your investment and even help you with ways to monitor financial goals for your real estate. That’s the Real Difference.

Visit www.realpropertymgt.com to learn how Real Property Management can put our experience to work for you, giving you real commitment, real ROI and real peace of mind.

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Real Property Management is the trusted leader in reliable, cost-effective management of residential properties. With local expertise, highly-trained and responsive teams, independently owned and operated Real Property Management franchisees collectively manage tens of thousands of properties for individuals, investors, and institutions throughout North America.

We Offer:

Comprehensive Marketing and Advertising For each day a property is vacant, that’s

Online Reporting Owners maintain control of their property and keep tabs from afar using their own online account, with easy access to updates on property activity, including vacancies, leasing, maintenance, property evaluations and financial reports. Cost-Effective, Reliable Maintenance Relationships with preferred vendors result in discounted equipment and services. Maintenance staff is available 24/7 to handle emergencies and to make sure maintenance is timely, cost-effective and done in a professional manner. Timely Rent Collection Nothing affects cash flow more than late or missing rent payments. In addition to offering incentives for paying rent on time, our collection processes are professional but tough, and we are extremely diligent in collecting rent through a systematic, timely process. Strict and Compliant Evictions Even with careful placement there is occasionally a tenant who needs to be evicted. Our offices are knowledgeable in state and local landlord and tenant laws. If rents are not paid on time, we strive to minimize costs by following the legal steps quickly and efficiently to get the property leased again.

money lost. Professional management costs are easily offset by shorter vacancy. Our advanced planning and heavy advertising gets vacancies filled fast.

Thorough Tenant Screening and Selection

Placing the wrong tenant can quickly cost you more than professional management fees. We make every effort to find tenants who will pay rent on time and take care of the property with the use of criminal, credit, and employment checks. Full-Service Leasing In addition to advertising properties and screening tenants, our full-service leasing process also includes rent-ready guidance, market rent analysis, professional showings, move-in property assessments, and professional tenant education at lease signing. Routine Property Evaluations Regular assessments of both the inside and outside of your rental property ensure tenant compliance with the lease and identifies maintenance needs to preserve your property.

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Don’t Let Your Positive Cashflow Turn Negative

by Jeff Pepperney, Real Property Management

M aintaining positive cash flow is an important part of owning profitable rental homes. But that positive cash flow can easily turn negative unless you develop a proactive approach to property management. To keep your cashflow healthy, there are four essential steps you should consider taking. PERFORM REGULAR EVALUATIONS Regular property evaluations are the keystone of long-term profitability. Many real estate markets are in constant motion, which means that your property values will change. Because your rental rate and other cashflow metrics are based (in part) on your property’s value, fail- ing to regularly reassess your property could cause you to lose money if your rental rates are too low. But if your rate is too high, you will have a hard time attracting and keeping new tenants. You need current information and a detailed understanding of both your property and the local market to help keep your cash flow going strong. NO. 1 COMPARE LANDLORD INSURANCE Good landlord insurance is necessary to protect your investment properties. But good landlord insurance does not have to break your budget. Like property values, in- surance rates change all the time and vary from company to company. If you have not shopped around to compare insurance costs, there’s a good chance that you may be paying too much. This could impede your cash flow. To help keep it positive, compare costs not only when you buy the policy, but each year thereafter. NO. 2

properties is understanding how easy it is to lose money. Small losses can add up to big problems. If you’re not taking advantage of all the tax deductions available to you as a property owner, your cash flow may suffer. This makes it important to know which tax deductions you can take and how to properly document expenses. Most investors simply can’t do without a knowledgeable tax professional on their team. HIRE A PROPERTY MANAGER There are many reasons to choose a profession - al property manager, but helping to keep your rental properties profitable may be the most important. Man - aging a property requires a great deal of time and skill. Consider whether overseeing the day-to-day operation of your property is costing you more in time, money, and hassle than hiring a good property manager. Rather than risk your cash flow by trying to do everything yourself, it may make sense to bring in a quality property manag - er. In fact, the right property manager can not only help you improve the profitability of your properties, they can give you back the time and energy you need to grow your investment portfolio. NO. 3 At Real Property Management, we offer the tools and services that rental property owners need to maximize their cash flows. To learn more, please visit your nearest Real Property Management office. •

Real Property Management is not a financial advisor. This Content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice.

NO. 3

TAKE TAX DEDUCTIONS One of the biggest challenges of investing in rental

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Phoenix Arizona suburban housing development neighborhood

Phoenix Real Estate Investing

by Aaron Norris, Property Radar

A rizona is best known for its hot weather and, increas- ingly, its hot real estate market. Its business-friendly policies, reasonable real estate prices, and diversified economy have attracted over 2.2 million new residents from other states since 2010. The Phoenix-Mesa-Chandler metropolitan statistical area (MSA) is the 10th largest by population. The 2019 Census pop - ulation estimates show the region gained almost 750,000 new residents in the last nine years (17.7 percent growth). It has the third-largest increase in population outside of Dallas-Fort Worth MSA (1.2 million added, 18.5 percent growth) and Houston MSA (1.1 million added, 18.8 percent), respectively. Here are the top three MSAs by population in the US and their change over that same period:

1.5 percent growth) • Los Angeles-Long Beach-Anaheim, CA (376,000 added, 2.9 percent growth) • Chicago-Naperville-Elgin, IL-IN-WI (-12,000 lost, -0.1 percent growth) Looking at year-over-year trends, however, all three MSAs have been losing residents for the past two years. Chicago has been losing population annually since 2015. The three MSAs encompass some of the most incredible cities in the world. Yet, even pre-Covid, residents were voting with their feet. Phoenix, on the other hand, has positioned itself as the fifth most populous city in the U.S. with the strongest growth over the past decade.

• New York-Newark-Jersey City, NY-NJ-PA (293,000 added,

TOP 5 MOST POPULATED CITY COMPARISON

NEW YORK LOS ANGELES

CHICAGO

HOUSTON

PHOENIX

Population

8.3 m 4.0 m 2.7 m

2.3 m 1.7 m 10.7% 16.2%

Population Change

2.0%

4.9%

-0.1%

Median Household Income (2018 $)

$60,762 $2,665 $570,500

$58,385 $2,629 $599,700

$55,198 $1,929 $246,500

$51,140 $1,598 $161,300

$54,765 $1,417 $217,400

Median selected monthly owner costs -with a mortgage, 2014-2018 Median value of owner-occupied housing units, 2014-2018

$1,396

$1,376

$1,077

$990 3.9% 9.4%

$999 3.8%

Median gross rent, 2014-2018

3.7%

4.6%

3.6%

Unemployment 2/2020 Unemployment 7/2020

16.4% 18.2% 12.0% 32.7% 36.8% 45.0%

10.3%

42.9% 53.8%

Owner-Occupied Housing Rate

Source: Population and housing data via the US Census Bureau. Unemployment data based on MSA data via the Bureau of Labor Statics.

Comparing median monthly owner costs (mortgage, taxes, insurance, utilities, and fuel) in the top five cities, Phoenix is a clear standout at $1,417. The area’s median income easily supports the median home price in Phoenix. It offers proximity to urban amenities but with a suburban lifestyle that appears, at least at this moment in history, one that will be hot for years to come.

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PHOENIX IBUYER PURCHASE PRICE RANGE AND MEDIAN

IBUYERS INPHOENIX Phoenix has been home to iBuyers like Zillow Offers, Knock, Opendoor, and Offerpad since the trend started. These Wall Street tech behemoths offer consumers fast cash, as-is, and flexible closings on homes so the consumer can move on with life. They are spending millions making investor offers go mainstream. And Phoenix has been ground zero as they compete for homes against Main Street investors that often com- plain they increase prices on digital marketing and significantly compress profit margins. In 2020, the median cash-of- fers that these ibuyers are making is $250,000. With FHA limits for single-family homes at $331,760, this range is affordable and well supported by the area’s median in- come. While the ibuyers took a short breather during the early months of Covid, their quick return will ensure they continue to impact local inves- tors competing in the same price point or “buy box.” iBuyers and Main Street real estate investors are benefitting from sellers seeking all-cash transactions with little contact from potential

Source: PropertyRadar via public records.

the process of launching their branded versions of ibuy- ing. The strategy appears to be the as-is-fast-close-all- cash transaction blended with the hyperlocal knowledge of an agent. This strategy could prove to be a potent one. Then again, local agents have always had access to cash offers via local investors without the liability of taking on the transaction internally. With Phoenix being a hotbed of ibuyer activity, local investors need to decide how to play the game against competitors that don’t currently have to make a profit or are making money in other facets of the business. The most important place to start is understanding the local “Buy Box” of ibuyers. For the Phoenix area, ibuyers in 2020 have been concentrating their activity in Valley View, Sunrise Terrace, and South Phoenix. ibuyers in 2020 are purchasing on average: • 78 percent single-family homes

buyers during the pandemic. What ibuyers have that Main Street doesn’t is a fully integrated pipeline of services like closings, mortgages, marketing, and sales. iBuyers can make aggressive offers because they are making money at several points of a transaction. For those flipping in markets like Phoenix, you’re probably wondering if they are making money. Zillow is the only publically traded ibuyer that has released much information on its ibuyer program. In the most recent shareholder letter, Zillow said the average purchase price was $284,975, with $15,848 in renovation costs. The average loss per home was $6,939. Here’s a disclosure from the same letter: “Zillow Offers Could Fail to Achieve Expected Results and Cause Harm to Our Financial Results, Operations, and Reputation.” Mega Realtor brands like Keller Williams are also in

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• Built between 1975-2004 • 1,400-2,000 square foot range • Three bedrooms, two bath homes

the table. Unlike the Great Recession which was triggered by real estate, some are speculating real estate may be our way out of this recession. But unlike when real estate saved the economy after the dot-com bubble, prices are at far less affordable levels, leaving less room for growth. REAL ESTATEAND INVESTOR FRIENDLY If having Wall Street ibuyers choose Phoenix as home base isn’t enough proof that it’s investor-friendly, look to Arizona’s progressive and business-friendly stance on short-term rentals. There is some noise in Phoenix around the affordable housing conversation and short-term rentals. However, Scott Shatford, CEO of AirDNA, says that cities without highly restrictive rules on short-term rentals at this point are unlikely to get them. For now, Phoenix investors need only see Ordinance G-6653 which requires registration, emergency contact information, and to follow usage rules. Other cities are greatly restricting use or banning vacation rentals out- right so Phoenix poses far less risk, comparatively. Interestingly, AirDNA data shows that the hottest markets in Arizona are outside of the Phoenix area within a three- hour radius.

In the shareholder letter, Zillow stated they are spend- ing around $16,000 on repairs for an average of 5 percent of the purchase price, which amounts to little more than paint and carpet. Another way for investors to stand out is by doing better quality rehabs. Paint and carpet updates work in an upmarket but listings will linger at first sight of the market softening. Another opportunity is for investors to incorporate the ibuyers into business by going after deals with people problems (probate, hoarder homes, and divorce). Ibuyers will increasingly focus on speed and volume. Investors can wholesale deals to ibuyers after closing the property and solving the immediate people issues and by cleaning out the property. The key is paying close attention to the “buy box” of your local ibuyer. It can change drastically in each state and city. PHOENIX FORECLOSURES As to the concern for foreclosures related to Covid, it’s too early to tell. The Phoenix Association of Realtors is reporting an annual decrease in listings of -27.9 percent with a 1.26 months’ supply of homes. Local association reports suggest that sales may match that of 2019 despite a slow April and May. An increase in foreclosures won’t necessarily impact price. The actual impacts of Covid-19 will be challenging to predict and measure until we have a clear path of pan- demic containment and treatment. An extended pandemic with more shutdowns will do more economic damage and potentially increase foreclosures. The County of Maricopa’s foreclosure rate has been on a steep decline since 2011. While it’s expected the market will see pre-Covid foreclosures push through as soon as federal, state, and local guidelines allow, don’t expect post-Covid foreclosures until Spring 2021. Be leary of headlines. A 1,000 percent increase of foreclosures from 25 to 250 makes a great news headline, but Phoenix investors know better. Federal, state and local officials have made it crystal clear more stimulus money is coming. We don’t need to look much past the playbook of 2008 to know that the government will do it’s best to ensure people stay in homes. Forbearance, term extension, lower interest rates, helicopter cash, and homebuying credits are all on

ARIZONA VACATION RENTAL HOT SPOTS

MARCH ‘20 VS. AUGUST ‘20

JULY ‘20 VS. AUGUST ‘20

AZ CITY

Lake Havasu City

282% Fountain Hills

69% 43% 37% 35% 34% 31% 27% 25% 25% 23%

Payson

278%

Cornville

Greer

277% Green Valley 203% Munds Park

Lakeside

Bullhead City

198% 194% 192% 188% 182% 175%

Kingman

Parker Bisbee

Pine

Overgaard

Lakeside Sedona Surprise

Sedona

Munds Park

Williams

Source: AirDNA.

Whether or not people decide to relocate to these va- cation destinations after the pandemic ends permanently will be something to watch in the year ahead as compa- nies explore if remote work is a fad or our new normal. Phoenix also just announced that as of September 2020, signing up to be in the Section 8 Housing Program will get an investor a $500 signing bonus. The $500,000 funding for the program comes from the CARES Act and

INVESTOR REV I EW : : 13

panded into Arizona from California since 2015, including ZipRecruiter, Stitch Fix, Apple, and Google. Phoenix has been branding itself as a major tech and financial hub for years. It’s been capitalizing on California’s burdensome laws and taxes recently and in hilarious ways. The Greater Phoenix Economic Council (GPEC) launched the #CAStruggles campaign last year, targeting San Francisco tech companies. See timetogetout.io for an example of what Phoenix is pitching, including lower corporate taxes, lower personal taxes, shorter commute times, five professional sports teams, lower operating costs, better quality of life, and even more sunshine. Phoenix is better positioned to take on Covid-related impacts compared to most of it’s top-five city competi - tors. •

Phoenix was nice enough to include the investor commu- nity its usage.

WHAT’S NEXT FOR PHOENIX In 2008 during the financial crisis, Phoenix was in planning mode. Phoenix proclaimed, “Now is the right time; Phoenix is the right place.” Its leaders envisioned strategic partnerships with Arizona State University, distinguishing the downtown area as a biomedical hub, investing in its light rail system, and offering more varied housing forms across its downtown. Visiting Phoenix today, you can see how that vision has paid off. Visually, it’s easy to see with the growing diver- sity of housing, investments in multi-model transit, and openings of new retail and entertainment venues. It can be seen by the technology and finance companies it has attracted. For Phoenix there is another unique factor at play, regardless of the pandemic. Over 49 companies have ex-

Aaron Norris is VP of Market Insights for PropertyRadar. Aaron uses public records to explore market trends and shares insights to help Main Street investors disrupt disruptors. He writes and speaks nationally on real estate and technology.

Phoenix Arizona downtown skyline skyscrapers, palm trees in tropical sunset

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Where Can You Find Funding You Can Trust?

by Linda Hyde, AAPL

W e at the American Association of Private Lenders field hundreds of emails and phone calls monthly asking for referrals to lenders that real estate investors can trust. We’ve heard the bait-and-switch stories, the haphazard and stressful closings, the exhausting search of shopping a deal around. Real estate investors are looking for experience, partnership, and above all: trust. Every day at AAPL, we work to bring that trust to our industry. We set the standard for professional conduct and are the only organization that enforces a Code of Ethics. We pledge to our members to provide structure and legitimacy to the private lending industry, and in turn, they promise us – and you – that they will uphold the trust you place in them.

• Adhere to all laws with respect to the services in which they engage. • Not discriminate against borrowers based on sex, age, race, sexual orientation, or religion. • Be honest and forthright in all their dealings. • Only change their loan terms with just cause and perform in accordance with the agreed-upon terms. • Not originate loans intending to see the borrower fail in order to obtain title to the property. • Adhere to all advertising laws as defined in the Truth-in-Advertising Act • Respect the intellectual property rights of others and comply with regulation related to copyrights, trademarks, patents, and trade secrets.

LINDA HYDE AAPL

Each year, we host the nation’s largest gathering of private lenders in Las Vegas, NV. This year will be our 11th Annual Conference on November 15-17 at Caesar’s Palace. Register at aaplconference.com to join more than 400 private lenders dedicated to learning the industry’s latest and best practices and find the trustworthy capital you’re looking for. Our members proudly display the AAPL Member emblem below. Look for it in your lender’s email signature and on their websites, and then visit aaplonline.com/directory to verify their membership status. You should be able to trust the people funding your business. Let us help. •

OURMEMBER CODE OF ETHICS To be an AAPL member, members must promise to:

INVESTOR REV I EW : : 15

To find private money you can trust, start with AAPL. Our members are the most-trusted private lenders in the business. They’ve pledged to follow the industry’s only Code of Ethics, enforced by the oldest and largest association for private lenders.

Find your next financial partner today at aaplonline.com/directory.

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