If you are looking for a way to diversify your investment portfolio and enhance the future growth of your investments, a mortgage investment corporation (MIC) may be the perfect choice for your needs. Instead of investing in singular real estate projects, a MIC allows you to invest in a pool of mortgages specifically sourced by the management team based upon predetermined criteria. While mortgage pools are a great investment option, it can be difficult to determine which MIC is the right choice for your wants and needs. As leading providers of mortgage investing solutions, the team at PHL Financial Group knows how important it is to choose a team you can trust. That is why we have compiled a list of 4 questions to ask before choosing a MIC to help you narrow your options down and select the right team.
The following questions can help you learn more about the goals, strategies, policies, and other elements of a MIC:
This question is crucial as the answer can give you some much-needed context for the company, the amount of experience they have, and how they have navigated market conditions in the past. In addition to the history and experience of a MIC, it is worth looking into their reputation by checking user reviews and testimonials as this will give you an internal and external perspective on the MIC.
Investment strategies are where MICs can differ the most. That is why it is essential to understand what their strategy is when it comes to choosing real estate projects and what their goals are for a fund. It is also worth assessing the level of risk they are comfortable with to determine if it aligns with your preferences.
Most MICs will feature fees for managing funds and other professional fees. Before choosing a MIC, be sure to ask questions about applicable fees so you understand where your money goes.
If you ever need to pull investment capital out in the event of an emergency, it is crucial to understand restrictions and terms enforced by a MIC. While some MICs invest in multi-year terms, others—like PHL Financial Group—invest in terms of one year or less, allowing for more flexibility with your capital.
To learn more about our investing solutions, funds, or the advantages of investing with PHL Financial Group, get in touch with our team. We can be reached by phone at 604-579-0849 or through our online contact form and will be happy to answer any questions you may have.