27. Socially Responsible Investing for High Returns with Christopher Saylor
Christopher Saylor is the founder and Managing Partner at Pikes Peak Capital, which manages high-return distressed real estate funds. Pikes Peak Capital buys and sells single-family residential real estate across the nation and provides a path to homeownership for low-to-moderate-income individuals. They typically look for opportunities others dismiss as too difficult or too different and have managed 4 funds with over $10M in transactions in 36 states. In this episode, Christopher discusses how Pikes Peak buys distressed properties and help homeowners stay in their homes while providing quality returns to investors.
Christopher talks about his first two funds and the strategy of buying low value single family homes that banks are not typically interested in. The firm sells the properties to low to moderate income home buyers who are often locked out of financing from banks. Pikes Peak will help them with the financing rather than the buyer going through a traditional bank and then sell the paper on the secondary market.
Christopher discusses how Pikes Peak sets up automatic screens to filter thousands of properties to find the ones they want to perform additional due diligence on. He talks about the original plan of doing all property evaluation in a spreadsheet but realized the team also need to visit the properties which they do through using services who perform this function for them.
The third fund – RDMO (Residential Distressed Mortgage Opportunity Fund)– focuses on assets from $100,000 to $750,000 and the source of acquisition is both pre and post foreclosure and NPL (non-performing mortgages). The strategy for nonperforming mortgages is to work with the borrower to find a mutually beneficial solution. After the loan is rehabbed, Pikes Peak sells the loans on the secondary market. If they can’t work out the loan with the borrower, cash is offered for deeding the property and if that doesn’t work they go through the foreclosure process or resell the loans on the non performing secondary market.
Christopher discusses Home Ownership As A Service – Pikes Peak extends financing to the borrowers and tries to ensure the borrowers are set up for success while providing financial counseling, and offering to buy the houses back from struggling borrowers.
Podcasts he recommends:
To connect with Christopher, email him at christoper@ppch.co or call or text 719-659-4576.
If you would like to contact Jim Pfeifer, you can email him at jim@leftfieldinvestors.com or if you would like to find out more about Left Field Investors go to www.leftfieldinvestors.com.
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