At Dolce & Deluca Investments LLC, we have developed a one-stop approach to real estate investing that is unique in the industry. Not only do we offer our clients full and ongoing access to real estate brokers, financial advisors, loan officers, attorneys and CPA's. These professionals communicate and work together on your behalf, to develop the real estate investment strategies most appropriate for your needs.

Our emphasis on the Dolce Factor reflects our experience. At Dolce & Deluca Investments LLC, our success at real estate investing is a direct result of team synergy and expertise. Without a dedicated, experienced team working to develop and implement a comprehensive strategy on your behalf, you will spend significant time and effort trying to reach your goals. Too many times we have seen intelligent, experienced investors fail to achieve their highest goals, simply because they lacked the time, experience with local markets, and the benefit of teamwork.

While we do not discourage you from retaining your own attorneys and advisors, we bring together a team of experienced professionals to plan your strategy and walk you through the real estate investment process from beginning to end. It is this team effort that allows us to locate the best investment properties for you and to determine the most effective ways to finance your transactions and protect your wealth. Most importantly, our team approach allows us to focus on you as an investor - on your particular needs, objectives and goals.

YOUR COMPLETE FINANCIAL PICTURE

An important part of the Dolce Factor is our ability to help you consider your complete financial picture. Whether you are purchasing a home or refinancing an existing mortgage, your success depends on a comprehensive analysis of your financial situation, including your current age, liquid net worth, desired retirement age, anticipated length of retirement, monthly deposits into investment/retirement accounts, expected returns on investment, and monthly income needed at retirement.

Because your mortgage is such a significant part of your balance sheet and debt structure, selecting the wrong mortgage can cost you tens or hundreds of thousands of dollars down the road, not to mention the intangible costs of delayed retirement.

The type of mortgage most appropriate for your real estate investment needs depends on your complete financial picture. In general, the most effective mortgages are those that allow you to continue to invest actively. If you are not investing, you are not profiting from your investment potential.

The old school of thought generated by the Depression was to pay off your mortgage as soon as possible. In more recent decades, laws were instituted to protect the consumer from the financial chaos that caused the Depression. With so many effective mortgage programs and investment options available today, paying off a mortgage as soon as possible is no longer the most appropriate investment strategy for most investors.

Compare two investors:

Investor A has $500,000 in investments plus a $500,000 mortgage.

Investor B owns $500,000 in equity on a property with the mortgage paid off but has no liquid assets or other investments.

Which investor possesses the greatest potential for real estate investment success?

The answer: Investor A. Why? Because Investor A has the following advantages over Investor B:

• Liquidity - An investor with available cash can make mortgage payments and other payments, including medical bills, property taxes, etc.
• Return on Investment - An investor with $500,000 in investments has significant potential for high returns, whereas an investor whose mortgage is paid off but has no other investments does not have great potential for returns. Appreciation on home equity will be the same whether or not the mortgage is paid off.
• Diversity - An investor with additional investments has a more diverse portfolio that includes liquid investments and real estate.

Another program that optimizes cash flow is the Option ARM. Many lenders offer this program, but it is important to obtain an ARM with a good index. The MTA and LIBOR are the best indexes - stay away from the COFI. As with all loan programs, you should secure this mortgage product from a lender who can explain in detail the complete workings of this intricate loan.

With a plethora of available loans that optimize cash flow, you can channel more money toward additional investments. Choosing the right loan program is very important, however, and increasingly difficult given the variety of programs and indices on which they are based. At Dolce & Deluca Investments LLC, our professionals can help you determine the appropriate loan package for your financial situation and investment objectives. Putting our knowledge and experience to work will help ensure that you don't settle for a "typical" loan that costs more in the long run.