Cannect’s Mortgage Investment Corporation portfolio currently has a weighted average LTV of 54%. Most MICs will hover around the 65% to 75% range. Staying conservative with our LTV is part of how we keep your money safe. That will always be priority #1.
Housing prices have been high for a long time. If you are a Cannect investor and real estate prices fall, you can sleep well knowing that Cannect mortgages are not funded unless the borrowers have ample equity in their homes. That is based on conservative valuations and sound exit strategies to escape the loans.
Why try to increase our LTV for more yield? Instead we can continue to focus on what we are good at: finding great borrowers.
