Executive Spotlight | Craig Cecilio Joins RealCap Panel | April 16 in Chicago, IL

Next month, Craig Cecilio, Founder/CEO of DiversyFund, and CCFG Investments, will speak as a panelist at “The 2015 RealCap Conference: Introducing Online Capital to Real Estate Entrepreneurs” in Chicago, IL. discussing “How Crowdfunding for Realty works.”

 

2015 RealCap Chicago

For more information - CLICK HERE.

Representing DiversyFund and CCFG Investments, Craig Cecilio will join a panel of some of the other leading Real Estate Crowdfunding platforms in the country to discuss how attendees go about getting their next project funded online!  If you fix & flip homes, acquire multifamily or commercial properties, or are developing a ground up project, this is a must-attend conference to learn how to raise debt and equity through an online platform!

We are excited to continue or expansion and keep going to more real estate conferences after having a great time attending The REI Expo on January 24th in Dallas, TX. The conference will be held on April 18th in Chicago, IL. and will be hosted by Victoria Global Holdings with American Homeowner Preservation and The Soho Loft Media Group.

The conference will feature:

  • Pitch Workshop for entrepreneurs serious in elevating their pitch to investors. During this workshop we will completely deconstruct your pitch, and work with you on formulating a clean and concise presentation giving the important information that investors NEED to make an educated decision on your company!
  • Networking Breaks
  • After-event Cocktail Party
  • Exhibiting companies with amazing projects to showcase
  • Plus: Program Kit with investors, speakers, and sponsor profiles

Panel for the Day

  • How does Crowdfunding for Realty work?
  • Direct Public Offering for Realty
  • Social Impact and Community Investments
Moderators
David Drake
Founder and Chairman
The Soho Loft Media Group
Jorge Newbery
Founder and CEO
American Homeowner Preservation
Panel Speakers
Scott Purcell
Founder and CEO
FundAmerica
Craig Cecilio
Founder and CEO
DiversyFund
Jesse Clem
Co-Founder and CEO
Loquidity
Joey Jelinek
Co-Founder and CEO
GroundBreaker
Jordan Fishfeld
CEO
PeerRealty
Steven Waldman
Co-Founder
Crowd Realty Advisors
Eve Picker
President
Small Change
Robert E. Lee
Director of Capital Markets
Silver Portal Capital
William Skelley
Founder, Chairman & CEO
iFunding

2015 RealCap Sponsors

 

Keep a look out for the event and join our online community to receive real-time updates on revolutionary industry updates from the nation’s leaders!

 

What Criteria Does DiversyFund Look For When Posting Projects?

DiversyFund’s real estate deal sourcing criterion is blue printed from CCFG Investments’ proven due diligence process. Like CCFG, DiversyFund evaluates deals on a case-by-case basis. In addition, depending on the frequency of repeat business, terms are in most cases negotiable. due-diligence


There are four initial factors that are addressed when reviewing purchase and refinance investments:

  1. Volume & Recency

Their track record of how much volume and how recent the investments they’ve managed helps to understand their deal flow and market knowledge.

  1. Time & Quality Effectiveness

Turnaround time is imperative to return on investment. The longer the investment is held, the higher the holding costs. However, if there is too much of a rush to flip the project, quality could be adversely affected.

  1. Financing History

Prior financing history will determine Operator liquidity and ability to make payments.

  1. Market Capacity

Once the investment is ready for resale, prior history selling properties play an important role in determining if the Operator has the ability to sell the property.


All of the factors listed above must be addressed on each individual project and based on the strength, term details including but not limited to Investment Amount-to-Value, After-Repair-Value, and/or Investment Term are negotiable.

Check out some of DiversyFund’s projects.

Can Compliance Be Irrelevant if the Real Estate Deal Isn’t Good?

“Compliance won’t matter if the deal isn’t good.” Is this true?

Not necessarily. For investment firms, this can only be true if there’s an assumption that regulatory paperwork, processing, and reporting is compliant. That being said, compliance is what makes a company sustainably viable as well as trust worthy. There is no discounting it. However, compliance can help protect the investor, to a certain degree, if a deal goes sour.real_estate_deals

 


How Do You Know if The Deal is Good?

Product and Market Knowledge can, naturally, give you the confidence and understanding of where to look and what key factors make a good investment from any real estate deal you vet. As long as you know where to look, you can make informed decisions based on whether the investment aligns with your portfolio and retirement goals.

Understanding the Operator’s Purpose is one of the most important elements in knowing if the deal is good or not. What are they planning to do with the investment? Volume, track record, time & quality, and liquidity are amongst the major key points to consider.

How Do You Know if The Asset Manager is Good?

As an investor who has a successful track record in investing in real estate, sometimes getting to know the Asset Manager may not be their highest priority when vetting deals. If they plan to overlook the importance of an Asset Manager, their ability to adapt to market fluctuations is this particular investor’s biggest asset.

On the other hand, an investor who lacks product and market knowledge will either need to take time to learn the products or rely on knowledge from the Asset Manager. The only downside to learning on your own, is that you may lose out on opportunities available in the current day’s market. Seeking knowledge from an Asset Manager will allow you to bypass potential market shifts.

Asset Managers expertise and experiences provide real life examples of how investments are sourced and managed. A vast network of strategic partnerships to get great deals are the x factor that separates them from the crowd. Firms that show solid deal flow could mean one of two things: they are passing every deal through the pipeline with minimal due diligence or they have the strategic partnerships with industry leading Operators to create a true and strong pipeline.


At the end of the day, any investor strives to yield a return on their investment. Anything shy of a positive return is a simply a loss. Whether it be no interest earned or a deal gone sour, compliance is like insurance in that it can only cover you up to a certain point. Seeking an Operator or investment firm that you like and trust is truly the only way to avoid it. Due diligence on the Operator and investment firm is in many cases more important than the deal itself.

DiversyFund Users Fund $1.055 Million Equity Investment Offering

DiversyFund, a real estate crowdfunding platform that connects accredited investors to high-quality pre-vetted real estate investment opportunities, announced its most recent funding of an equity investment offering for a single family residence located in the heart of La Jolla, California. The Operator, Mavrix Group, is a privately held real estate development firm that specializes in investments and the transformation of properties.

DBRDS_-_Lower_View_RenderingNewSky

 


 

Erin Wicomb and Joseph Ferrigno, visionaries of The Mavrix Group, have successfully flipped over 50 high luxury properties since inception and manage real estate holdings that are valued over $10MM. “We are excited to be partnering with this team and taking part in this investment opportunity,” says Craig Cecilio, DiversyFund’s Founder and CEO. “The property is located in a strong economic market that has shown decades of sustainable growth. It’s a slam dunk.”

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Through DiversyFund’s crowdfunding platform, The Mavrix Group was able to raise $1.055 million to renovate a 6 bed / 7.5 bath property that sits on a 20,495 Sq ft. lot in La Jolla, CA. Investors will receive a preferred return and a percentage of theprofits expected to exceed 20%.


DBRDS_-_Living_Room_-_Kitchen

The Mavrix Group has been a long time referral partner of DiversyFund’s parent company, CCFG Investments. After over a decade of experience in real estate investing, CCFG launched DiversyFund in January of 2014 with the vision to create an easier process for current accredited investors to review live investment offerings as well as tap into new individual and institutional investors looking to invest in high-quality real estate investments.

View the latest crowdsource real estate opportunities.

Visionaries in Real Estate Crowdfunding

Fueled by cutting-edge innovation, Real Estate Crowdfunding continues to solidify its presence in the Financial Sector. What has been demonstrated, across leading crowdfunding platforms in just over a year, shows that current thought leaders are beginning to pave way for a cultural shift in the way we invest. The current happenings of the industry are somewhat comparable to what happened when society transformed in how we deliver messages and packages, more specifically, how the Pony Express become today’s FedEx/UPS.

At one point in time the Pony Express was “cutting-edge.” Business owners utilized the Pony Express to save money and improve their bottom line. Crowdfunding is no different. Business owners are leveraging this platform to cut expenses.  Crowdfunding is working towards creating a better process in operations and is a way expand your customer base. Existing investors are being used for market research.


 

REMAIN THE VISIONARY

In most cases, happy customers don’t necessarily need change. If it’s broken, don’t fix it; however, your happy customer may not be your source for growth and future sustainability. In fact, your customers may inevitably be obsolete. As a visionary, you can make the impossible possible. Imagine seeking feedback from customers of Pony Express. Many would not think to use automobiles or even flying metal objects later identified in the late 1800s / early 1900s as airplanes.

This is the same evolution we are seeing in real estate investing. Not only are we seeing a shift in the process of how we invest, but we are seeing a shift in how we access the investments. Thought leaders in real estate crowdfunding have furthered the emergence of blending finance and technology, now referred to as Fintech.

Real_Estate_Crowdfunding_Innovation

MANY VISIONS, ONLY SO MUCH TIME

As the Crowdfunding Industry tries to pinpoint a specific direction, it’s still a moving target. When you compare vision and mission statements, and core values from platform to platform, innovative leaders are trying to accomplish different objectives. Some platforms are trying to cover the entire spectrum. In this case, lacking manpower and spreading yourself too thin could slow down performance significantly. If that’s the case, we hope there’s an exit strategy set in place.

What all of the leading platforms share in common is that they don’t focus on a process that doesn’t, necessarily, need fixing, but rather a cultural shift in an entirely new process that accomplishes the same goal: Investing with Ease. 


 

The Elon Musk’s of every industry may show ideas and innovation far beyond what the masses perceive to be possible, and yet, if you find the right team that believes in the vision, the idea can become a reality. Today, it is especially prevalent in real estate crowdfunding that thought leaders are becoming more and more dominant just purely based on their ability to be visionaries. As the industry keeps solidifying its purpose, would it be too harsh to prophesize that the steady cultural shift in the way we invest will inevitably lead offline investors to become obsolete?