GAME OF DRONES

Renting Your Way to Home Ownership
In the wake of the recession and mortgage
foreclosure crisis, those with a
credit score in the 600s have found
it difficult to get a home loan. As credit
scores drop, so do the chances of getting
financial help. With the US average credit
rating at 687 – and many states scoring
lower – the American dream of owning a home has become
unattainable for many.
Jaspreet Singh, principal owner and founder of Michigan-based
MetroWay Properties LLC, recognized that this
dream was being lost and took action. At the time, he was
investing in distressed properties, and realized that he did
enjoy his work as well. Singh started MetroWay Properties,
in the process discovering an entirely different way to help
people get into homes.
This popular program he calls Rent-to-Own – and it benefits
both the buyer and seller.
The buyer is offered a locked price, with a term up to 24
months. The traditional security deposit instead becomes a
down payment on the property, set at 3-7 percent of the full
purchase price. This payment ensures that the renter will be
the only potential buyer of the property. “We also work with
credit repair companies to insure purchasers get the right
BY TRAVIS TAYLOR
loans,” Singh explained.
But even with the Rent-to-Own program, Singh noted that
potential clients must still be able to qualify for a loan.
“What that means is each of our clients needs to have a
good job,” Singh said. “They need to have stable jobs, making
enough income to support a mortgage for purchasing
the home. They need to have good backgrounds.”
Singh also uses his experience with distressed properties
to make acquisitions that he can match up with his clients.
“Being able to find distressed properties at the right time
[has been our greatest success],” said Singh and this strategy
has worked well for him. Singh said he has been lucky
enough to find great deals, getting to them before real estate
investors.
With eyes facing forward, Singh plans to take on a larger
role in redeveloping Detroit – to help make the city great
once again.
MAXELE ADVISORS PROMISE UNDIVIDED
LOYALTY TO THEIR CLIENTS
In the wake of a slow economic recovery,
continuing congressional
gridlock and unprecedented Federal
Reserve stimulus, principal and
founder of Maxele Advisors, Registered
Investment Advisor Steve
Erken, has certainly been privy to
the mumblings of those panicky investors
who say “sell everything.”
“The economy continues to improve,”
says Erken, adding that the
market shows no immediate signs
that this uptrend will end anytime soon. But, he still estimates
there’s enough uncertainty left to proceed cautiously.
Evidence whether this economy can stand on its own and
if its recovery is real, he says, “That data- sustainable economic
growth with manageable inflation - is going to be a
huge deal but it’s not the focus of today – it’s coming later.”
Nonetheless, Maxele stays the course in the way they
do things, especially in earning a client’s trust by providing
a fiduciary standard of care to clients. “Everything we do is
customized, so we get a clear understanding of the client’s
short and long term goals, investment capital and emotional
attitude towards risk,” Erken remarked.
According to Maxele’s strategy, if a good financial plan is
put together initially, its framework should stand up, fitting
in well with the always-changing economic landscape. By
BY RICH MONETTI
reviewing with the client Erken says, “We try not to have
any surprises. We provide a lot of communication about
where they stand in terms of assets versus the consumption
rate, and we are of the philosophy that our job is to give options
and feedback. The client is the one who decides if they
want to make changes in their lifestyle.”
Predominantly serving those 60 and over, Erken’s advice
is projected realistically against the perception that a number
of clients may likely live into their 90s. Although, not
having had anyone unexpectedly run out of money across
his long career, Erken can report many clients are relenting
to the fact of living longer. However, “We’re finding people
wanting to take more longevity risk versus principal risk in
their portfolios,” he said.
Either way, Erken’s counsel is never biased by outside
sources such as broker-dealers or insurance companies.
“Undivided loyalty to our clients – fee for advice and service,”
is Maxele’s maxim.
www.maxeleadvisors.com
THE SUIT MAGAZINE - DEC / JAN 2014