Real Estate Investor – Safe, Secure & Simple

While helping consumers Purchase Homes through our Home Owner Soon Purchase model is our primary Program, HOS Financial also offers 2 other programs which feature many components of Rent To Own.

HOS Financial offers a Rescue-Refi Program. This program is designed to help families access the Equity in their home to avoid Financial Insolvency or save their home from Power of Sale or Foreclosure. When banks changed their rules back in 2008 restricting refinances to 80% of the value of the property, it left a huge void in the market for consumers who need to access this Equity but can not through Traditional Financing.

When a family experiences an unexpected life event which puts them in financial jeopardy, our Rescue Refinance Program can keep families in their home and use their existing equity to eliminate debt and stop the Power of Sale or Foreclosure process.

HOS Financial also offers Sharia financing for consumers who are forbidden to pay interest due to Religious restraints. Clients who enter this program normally bring starting Down Payments of 20-25% of the Property value and have aggressive payments as to be the outright owner of the Property by end of Term.

When an Opportunity is presented, it is our Corporate commitment that every Opportunity has been fully Underwritten for Success. Each Opportunity is presented with our Core Values of Balance and Exit Strategy.

There 5 Steps in our Opportunity Flow Process:

Step 1: Reviewing the Opportunity
Step 2: Reserving or accepting the Opportunity
Step 3: Receiving the Due Diligence
Step 4: Accepting the Opportunity
Step 5: Closing Day and beyond

Step 1: Reviewing the Opportunity

When a New Opportunity becomes available, you will be notified by email and/or Text. There will be a link in the email/text to take you to the Opportunity Summary Page.

We present Opportunities with a Summary of the Financial Terms, the tenants “story” and the Success strategy for Exit. When reviewing an Opportunity summary, you can be confident the tenant behind the opportunity has been fully interviewed, vetted and positioned for success.

NOTE: The information shown for any Opportunity do not necessarily represent the final numbers for this Opportunity. There may be negotiated changes to line items such as House Price and Appreciation. These numbers represent the Opportunity as it has been agreed to by the Future HomeOwner (Tenant)

Now that you have Reviewed the Opportunity can either Accept or Reserve the Opportunity.

Accepting means you want to be the Investor based on the Opportunity Summary released. When you Accept an Opportunity, it can not be reserved or Accepted by anyone else .When you Accept an Opportunity, an Initial deposit towards the Tenant Locator Fee is required. This amount is $ 1000.This $ 1000 will be reflected as a reduction in the TOTAL Tenant Locator Fee payable on the Opportunity.

When an Opportunity has been accepted, our Investor base will be notified the Opportunity is no longer available.

Reserving the Opportunity means you are interested and want to do more diligence before making an Acceptance. When you Reserve an Opportunity it remains available for other Investors to Accept. Reserving an Opportunity does not initiate an Initial Deposit towards the Tenant Locator Fee.

Notes:
Reservations will be open until someone has accepted the Opportunity.
Acceptance or Reservations are made on a first come first serve basis without bias or prejudice. The only exception to this is our Priority List. (Ask for details)
While an Opportunity can have multiple reservations, the first Investor to “Accept” will be awarded the Opportunity

Once an Opportunity has been Reserved or Accepted, a full Due Diligence package will be provided for review.

If you have “Accepted” the opportunity, you will be the only Investor to receive the Due Diligence information. You will have 24 hours to review the information and advise if there is something in the Diligence which requires more clarification. If after review, you decide the Opportunity is not for your Portfolio, you can cancel your Acceptance of the Opportunity and will be refunded your Initial Deposit of $ 1000. The Opportunity status will be changed from Accepted to Available so other investors can Reserve or Accept.

If you have Reserved the Opportunity, it is available until an Investing Partner Accepts it for their portfolio.

Once an Opportunity has been Accepted and verified, we then move to the Investing Partner Mortgage, Property Search and Contract phase of our Program.

First, we will introduce you to our Team of Mortgage Experts who will arrange your Investment mortgage. We have volume discounts with most lenders and are able to get the product that matches the Investment Opportunity at the best rate possible.

Secondly, we will introduce you to the Tenant and the Realtor assigned to the Opportunity. HOS Financial has a network of Realtors who work with our Tenants and Investors to find suitable properties.

Onto the Property Search. It is key that all parties work together to find a property that is suitable for the Family and meets the requirements of our Investing Partner. Having a meeting to decide this at the start makes the search easier for all.

NOTE: In this Pandemic environment, it may take a few viewings to find a property that is suitable to both the Tenant and the Investor. Patience is key in this phase of the process.

Once the property has been identified we then move to the Closing and Contract phase. In this phase, we will prepare the Legal Agreements, complete the Property Appraisal/Inspection and allow the Tenant to receive ILA – Independent Legal Advice.

Once the Inspection and Appraisal are verified and all the agreements are signed, we now wait for Closing Day!

Once we have the keys are available to the tenants, 3 things happen:

We visit the Tenant to do a Video with the Tenant and capture their Move in Day. We will ask for their Testimonial of the experience to date and use this to promote our program to other future HomeOwners.

The Tenant will be officially enrolled in our Path to Home Ownership Program/Community.

You, the Investor, are also enrolled in our Path to Home Ownership Program/Community.

In this Community, everyone will also access a network of practicing professionals who will provide advanced Real Estate Investment Strategies and Training, Tax Strategies plus more through Live Virtual Events. (Networking Events when we are outside of the Pandemic)

Investing Partners and Tenants in our Community will be invited to the same events so we can become One community all striving toward the same goal…
”Successful Exits for all Tenants in our Program”

• This is the fee levied to an Investing Partner for finding and preparing the Opportunity. It will be deducted from the Security deposit received from the Tenants

When the tenant is more than 5 days late with their Lease Payment they are considered to be in default. At that time a Notice of Default will be sent to the Tenants.

• Landlord Tenant Board.

• Most Investors Leverage and borrow money to Invest. As with any Rental Property mortgage, the Maximum Loan to Value is 80%. Our Mortgage Team will arrange the mortgage.

• Each Tenant that enters our Program will meet with a Financial Planner to go over their Insurance coverages to ensure they are protected.

• Rent Collection and Reporting. HOS Financial collects the Tenants Rent and reports positive events to the repositories Equifax and TransUnion

• This is the Value we use to transact and upon which the Appreciation rates are applied to determine the future purchase price.

• This is the Tenant Security Deposit. It is normally 5% of the Purchase Price for purchase opportunities, 10% for Rescue-Refi Opportunities and 20-25% for Sharia Programs.

• This is what the Tenant Pays before the Monthly Savings Portion is added to determine the total monthly payment.

• This is the portion of the monthly payment allocated as savings or additional Down Payment. It is normally 20% of the Total Monthly Payment.

• This is the amount the Tenant pays in Total each month. It includes the Monthly Top -up but excludes any Condo or Maintenance fees for the property.

• This is the price the Tenant pays for the property in the future. This amount is calculated by applying a fixed appreciation rate to the starting purchase price and compounded for every year of the RTOProgram.

• This is the date the RTO Program is to end.

• Tenants start with a Security deposit as a fixed percentage of the Purchase Price. Each month a portion of their total payment (Top -up)  is added to their starting security deposit and accumulates to form the Total Down Payment available to the tenant when they seek mortgage financing.

• This is the percentage of financing against the value of the asset.

• In the case of Refinance Opportunities, a portion of the Equity may be held back to complete repairs on the property.

• These are funds held in escrow to settle debts on behalf of the tenant. This is applicable to refinance Opportunities.

•  This is where the client offers additional security deposit in the form of Prepaid Rent. This is a reserve to be used in cases where a Tenant is unable to meet their monthly payment obligation and accesses funds in this reserve account to pay. Normally applies to clients who have seasonal interruptions to their income. These funds are held with the Investor.

• This is a Proprietary Platform and Community used to offer both Tenants and Investors access to skills of practicing Industry professionals such as Lawyers, Accountants, Financial Planners, Mortgage Specialist, Realtors plus more. The Path to Home Ownership program also includes the credit Improvement and coaching program known as Credit Compass.