Pebb Yale Truss Plans To Control Forex Fluctuations In Miami

A real-estate investment group known as Pebb Yale Truss has opened its doors to a $300 million lending project that will help out foreign investors who plan to borrow to repay the balance on their Miami condominium investments. Pebb Yale Truss is focused on lending to buyers of units priced between $500,000 and $5 million.

Led by the investment firm Pebb Capital, the lender has already completed deals with the buyers of more than 20 units in the Echo Brickell, a fancy Miami condominium tower. Many of them have already paid half the costs and are hoping to complete their purchase.

Beautiful Miami Real Estate

The venture is called Pebb Yale Truss Lending and they offer investors short-term loans that range from one to five years. The interest rates are set between 7 to 8 percent. They also limit the loans to 50% of the purchase price of the unit.

Miami has seen a condominium boom in recent years because of the increased demand from foreigners. Since 2012, Miami has seen more than 6,300 new units developed downtown and an additional 5,000 units are under construction while 864 condos are being planned.

Developers can encourage their buyers to just come and complete the purchase without bringing any money. Additionally, the loan process is very streamlined. All it focuses on is that the borrower should not be getting their money from any illegal scheme or money laundering activities. Additionally, since it only lends to investors, there is less paperwork to complete.

Foreign Investors Pumping Funds Into Real Estate

The law in Florida allows developers of condo projects to use down payments on units to help with construction costs. This has allowed for dozens of condo projects to launch despite the lack of construction loans being offered by banks because of the 2008 financial crash.

A lot of the buyers in these projects are from Latin and South American countries, hoping to ensure a stable source of income outside their home country. The venture is a cooperative effort between Pebb capital, GPC Truss, and Yale Mortgage Funding. Their plan is to give out $300 million in loans to investors. If successful, the firm hopes to expand to other markets that are popular with foreign buyers like Vancouver and San Francisco.

Foreign currency fluctuations and government restrictions are a major reason why some buyers wish to borrow to complete these real estate deals. The lending group hopes to attract many foreign investors by offering them loan facilities and will look to control forex fluctuations in different real estate markets across the country.

Foreign investors are becoming a major part of the real estate market worldwide. Overall, they mainly purchase real estate to help preserve their wealth. Some of them also use real estate to generate passive income by renting out their property and then selling it later at a high margin.

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