Private lending proposal
Help make homeownership possible.
Build a lending relationship one house at a time.
We’re expanding our portfolio and seeking 1–2 private investors for our next home purchase, targeted within the next 30 days. The proposed $30,000 private loan is secured by a first-position mortgage and repaid monthly over five years.
01 / The opportunity
We buy below market and sell on terms to people ready to become homeowners.
Pathway to Homeownership LLC acquires modest homes and sells them to owner-occupant buyers on a Contract for Deed. A down payment and steady monthly payments create a path to ownership for buyers who cannot get a traditional bank mortgage.
With two owner-occupied homes already generating monthly payments, we’re ready to add the next property and build lasting relationships with private lenders.
Acquire a home for roughly $30,000–$40,000 through vetted wholesalers, with a local inspection before closing.
Sell for roughly $79,000–$89,000, with $1,500–$3,000 down and monthly payments of about $800–$950.
Retain legal title until the buyer pays in full. The buyer handles repairs, maintenance, utilities, and insurance.
Pay the lender principal and interest monthly over 60 months. Every payment reduces the balance.
02 / A closer look
1106 Tuscola St, Saginaw, MI · 3 beds · 2 baths · 1,134 sq ft
Listing photography · 1106 Tuscola St, Saginaw
Both homes are occupied and paying. The Saginaw contract began in July 2025, and the Peoria contract began in December 2025.
Expected gross profit combines the down payment and full scheduled buyer payments, less purchase cost.
Saginaw, Michigan
3 beds / 2 baths / 1,134 sq ft
Peoria, Illinois
2 beds / 1 bath / 880 sq ft
Payment ledgers and recorded documents for our existing homes are available for review.
03 / The proposed loan
A five-year loan that pays down every month.
$637.41
59 payments of $637.41,
then a final payment of $637.50.
The closing statement verifies how the $30,000 is used. If acquisition costs exceed $30,000, we cover the difference with our own funds. Your loan amount stays the same.
04 / The repayment schedule
Monthly principal and interest payments reduce the balance to zero over five years.
For a home acquired for about $30,000 all-in and sold for $85,000 with $2,500 down and about $900 a month, the buyer’s payment would cover the loan payment about 1.4 times. The remainder supports property taxes, landlord insurance, and reserves.
| Year | Paid to lender | Principal repaid | Interest earned | Year-end balance |
|---|---|---|---|---|
| 01 | $7,648.92 | $4,868.02 | $2,780.90 | $25,131.98 |
| 02 | $7,648.92 | $5,377.78 | $2,271.14 | $19,754.20 |
| 03 | $7,648.92 | $5,940.89 | $1,708.03 | $13,813.31 |
| 04 | $7,648.92 | $6,562.98 | $1,085.94 | $7,250.33 |
| 05 | $7,649.01 | $7,250.33 | $398.68 | $0.00 |
| Total | $38,244.69 | $30,000.00 | $8,244.69 | $0.00 |
05 / Built into the loan structure
The proposed loan is secured by a mortgage recorded at closing, ahead of any buyer contract.
Recorded at the title company when we purchase, before the home is sold to a buyer. You receive the title commitment and settlement statement.
A landlord policy names the lender as mortgagee and loss payee. Both LLC managers personally guarantee the loan.
Receive monthly payment-status reporting on your collateral. Buyers are screened, and contracts are notarized and recorded.
The loan is fully repaid through monthly payments. If the buyer pays off early or we sell the contract, the lender receives the remaining balance.
06 / Let’s move forward
Pathway to Homeownership LLC
We’re inviting 1–2 private investors to help expand our portfolio, with our next purchase targeted within the next 30 days.
Tell us a little about your interest. We’ll reply by email to discuss the opportunity and next steps.
Demarcus Freeman & Rachel Freeman
Managers