| 8/13/2007 / Helvetica Increases Loan Volume Despite Credit Crisis... |
HELVETICA INCREASES SUBPRIME LOAN VOLUME DESPITE MORTGAGE AND CREDIT MARKET CRISISLos Angeles, California – August 13, 2007– The Helvetica Group announced today that it has experienced strong demand for its alternative lending products in July and August and anticipates continued growth in the coming months despite the mortgage liquidity crisis. The company is a private money lender that looks to the properties equity and borrower’s ability to repay rather than the borrower’s credit when making lending decisions. Private money or “hard money” lenders typically loan up to 65% loan to value on residential and commercial real estate. Borrowers typically are in need of an alternative lender because of poor credit, lack of income documentation or the need to close on a transaction quickly. “We have seen a substantial increase in demand for our alternative lending products in July and August,” stated Chad Mestler, President and founder of Helvetica. “We anticipate that with the recent shakeup in the mortgage and credit markets there will be a storm of borrowers looking to refinance their properties only to find many lenders out of business. We have increased our staff and raised additional capital in order to satisfy increased demand. Unlike many mortgage bankers, we are a portfolio lender and do not rely on Wall Street securitizations to raise capital. As a result, we are not as affected by the liquidity crisis the market is now experiencing. We do however, need to be sensitive to the affect a lack of liquidity will have on housing demand and ultimately prices. Our borrower’s ability to refinance at some point in the future and also of potential real estate declines is a concern to the extent that it erodes our protective equity position.” About the Helvetica GroupThe Helvetica Group is a real estate investment banking firm specializing in real property, asset-based, hard money lending and mortgage banking. Helvetica is a direct lender and invests on behalf of individual investors, trusts, pension plans, retirement funds and institutional investors representing over $1 billion in combined assets. We work closely with brokers, bankers, lenders and financial advisors as strategic partners to provide clients with fast access to financing, affording them the opportunity to quickly leverage their real estate assets. The Helvetica Group and its affiliates provide alternative financing secured by a variety of property types including: residential, retail, office, apartments, storage, RV parks, mobile home parks, light industrial, mixed use and other special use properties. CA Dept. of Real Estate - License #01366104. For more information, please visit www.helveticagroup.com or call 1-888-8NO-FICO. |