Frequently Asked Questions

How is the property secured?
The property is secured through a trust deed. A trust deed, or deed of trust, is a security instrument for real estate loans.

What if the property value drops or there is a major housing bubble?
First we only buy property in markets that we have thoroughly analyzed and researched. These markets must have a steady showing of appreciation in order for us to purchase in them. The investor is only committing to a maximum of 6 months.

How do I know your company is legit?
All our records and prior year’s tax returns, financial statements and credit reports are available for viewing.

How is my money secured?
Your money is secured through a trust deed and a promissory note showing you as the owner of the property. Your property will be covered with hazard insurance and title insurance. In most cases we will never see the funds. They are written directly to the seller.

What happens if you can’t sell the property?
In the event that we cannot sell the property within the agreed upon time of six months we obtain bank financing and cash the investor out. Once we cash the investor out then we provide owner financing to sell the property. If we still cannot find a buyer then we put the property on our rental program.

How do you purchase property in these other cities and states?
We use state of the art quantitative analysis and detailed local market knowledge from the leading top professional real estate agents to help us purchase undervalued property. We work with local title agencies and attorneys to inspect title work on all properties prior to purchase.

What if we lose money on the property because of unknown renovation costs or the housing market slows down?
Unknown renovation costs are a normal part of our business. We have this accounted for when we purchase the property. However, from time to time we do obtain property that does not provide any or very little profit for the company. In either instance the worst case scenario for the investor is his money is returned without earning any interest.

Do I have to live in Tennessee and Arkansas to invest?
No.

What if I need to pull my investment funds out early?
There is no penalty or any problem from pulling your funds early. All we ask is for a 30 day notice to do so.

Can I use my retirement funds?
Yes we can set up an account in which you can purchase property. All funds must go through a 3rd party custodial account.

Any question not covered?
Please email them to us at questions@vanguardinvestmentsinc.com