SOURCE: American Homeowner Preservation
April 22, 2014 18:50 ET
Investors Earn 9-12% Annual Return While Helping Bankrupted Homeowners
American Homeowner Preservation Is Offering Private Investors the Ability to Invest in Shares of Defaulted Subprime Mortgages
CHICAGO, IL--(Marketwired - Apr 22, 2014) - American Homeowner Preservation ("AHP") announced a new impact investment opportunity today, pool 2014A. This opportunity provides investors with the ability to become part of the solution to the nation's foreclosure crisis while receiving above-market financial returns. AHP purchases pools of distressed mortgages at significant discounts from banks and other lenders, then works with struggling homeowners to help them avoid foreclosure. AHP uses crowdfunding to offer accredited investors the
ability to purchase interests in these pools of mortgages for as little as $10,000. 2014A is comprised of 185 nonperforming mortgages, 177 of which are homeowners who are, or have previously been, in bankruptcy. In 2005 under George W. Bush, the Bankruptcy Abuse Prevention and Consumer Protection Act made it more difficult for those in debt to file for chapter 7 bankruptcy, which liquidates personal debt. Now, chapter 13 bankruptcy is a more common option that requires a person to pay back a substantial portion of the debt over a 3-5 year period. Once a homeowner files for chapter 13, the foreclosure is stopped and the borrower has the opportunity to work out a payment plan to keep their home.