Liberty Diversified Mortgage Fund FAQs

1. How secure is my investment?

All investments are backed by 1st and 2nd mortgages on Western Canadian real estate.
Loan to Values rarely exceed75% and more typically are between 50 and 65%.
Personal and/or Corporate guarantees on every loan
Every loan approved by Liberty’s experienced 6 member credit committee

2. What return can I expect on my investment?

Liberty Diversified Mortgage Fund Inc. (MIC) is targeting a return of 8% to 10% per annum for its investors

3. How long is my investment committed for?

4. Who decides which loans Liberty Diversified Mortgage Fund Inc. approves?

All loans are reviewed and underwritten in house
Liberty Diversified Mortgage Fund Inc. relies on Liberty Mortgage Services Ltd. credit committee to review and approve its loans. It then participates in the loan if it fits under its Lending and Asset Mix policy

5. What level of due diligence does Liberty conduct? (Expandable Content – due to number of items)

Liberty's Credit committee conducts a thorough due diligent review of the following documents for each mortgage as required including but not limited to:
Commitment Letter
Mortgage Application
Personal Net worth statement
Copy of purchase agreement if new purchase
Copy of latest appraisal, including real property report and zoning status Land Titles Report
Notice of Property Tax Assessment
Environmental Report & Geotechnical report
Development permits
Building permits
Occupancy permits
For development projects
Rezoning application
Preliminary layout approvals
Waste water management plan
Water supply management plan
Access to utilities
Evidence of Pre-sales
Site visit to each property comprising security
Corporate Financial Statements
Proof of income, employment letters
Signed Personal net worth statements
Personal Credit Reports
Corporate Credit Reports
Legal searches
Copy of leases from tenant
Rent roll
Explanation of exit strategy
Proof of take out financing or proof of other financing for the project (term sheets)
Proof of equity contribution by borrower

6. What is the minimum investment required?

7. How often is my interest paid?

8. Can I use funds within my RRSP/RRIF to invest?

9. Tell me about Liberty’s Experience

Liberty’s team has a combined 120+ years of real estate/business experience (see our people page for more detail)
Liberty has been operating since 1996, founded by Gordon Taylor

10. How do I invest?

Contact a Liberty associate (contact us) who will provide you with an Offering Memorandum and a Subscription Agreement. We will explain the process and assist you in completing the applicable forms

Liberty Mortgage Services has been providing superior returns to investors for over 12 years.