ADHD provides our clients with a vast assortment of resources, to help them truly be successful with their products and to help them achieve their goals.
Investor Resource Center
We believe in our Concierge service which includes ensuring our clients have all their needs met from paperwork to understanding the status of their products.
Introduction to the Client Portal
How to Register for Client Portal
How to Take a Deal in the Client Portal
How to Send a File in the Client Portal
How to Schedule a Meeting in the Client Portal
ADHD Holiday Schedule
Deal Release Form
Quest DOI Form
New Deal Process
New Deal Process
Renovation Promissory Notes
Glossary of Real Estate Terms
The following provides you with a list of the most common real estate terms you will see and use.
A.K.A. Cap Rate
The cap rate is used in the world of real estate to indicate the rate of return that is expected to be generated on a real estate investment property.
The cap rate indicates the property’s un-leveraged rate of return.
Cap Rate =
Property’s Net Operating Income
Current Market Value
A.K.A. “IRR” and “economic rate of return” or “discounted cash flow rate of return”.
The IRR is a discount rate that makes the new present value of all cash flows from a particular project equal to zero. Generally, the higher a project’s IRR the more desirable it is to undertake.
ROI is a performance measure used to evaluate the efficiency of an investment or compare the efficiency of a number of different investments.
Current Value of Investment – Cost of Investment
Cost of Investment
ROE is a measure of financial performance by dividing net income by shareholders’ equity. Because shareholders’ equity is equal to a company’s assets minus its debt, ROE could be thought of as the return on net assets.
Average Shareholders’ Equity
A Turnkey Property is a long- term wealth building asset which can be held free and clear or by applying strategic leverage strategies
Varies but averages 5+ years
TK Properties are owned by the Investor
A Reno Note is a promissory note that is secured against a property in second position.
Varies between 6 months and 1 year
Reno Notes are lending deals, there is no property ownership
The ARV estimates the future value of a distressed property after it’s been repaired. It is not the current value when purchased but rather the estimated value of the property once improvements are made.
Property’s Purchase Price
Value of Renovations
EP refers to the ownership of shares in a property. Equity Participation is offered on Short Term Real Estate Deals.
The Equity Participation is always expressed as a percentage.
ie. 25% Equity Participation
EP is the percentage of the net profit that the investor will earn on the sale of a property.
SE refers to the percentage of net profit that an investor will earn on the sale of the property.
Shared Equity is offered on Long Term and Renovation Note Real Estate Deals.
The Shared Equity is always expressed as a percentage. ie. 25% Shared Equity
Points refer to the percentage of the total investment amount that is being offered to an Investor as a special consideration for investing.
Points are expressed as a numeric value. ie. 1 Point = 1%
Total Investment Amount
Point Value as a Percentage Included in Deal
Qualified investment refers to an investment purchased with pretax income, usually in the form of a contribution to a retirement plan. Funds used to purchase qualified investments do not become subject to taxation until the investor withdraws them for use not investment.
Funds held in an IRA are qualified funds.
The security position refers to the order of security against an asset. Lending in either first or second positions is considered less risky than those in later positions.
The first position means that the security is the only one against the asset. In case of default, the first position security is paid first from any proceeds from the asset’s sale.
The second position means that the security is second against the asset. In case of default, the second position security is paid second from any proceeds from the asset’s sale.