Retiree – 7e Offering

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Our Next Dividend Will Be Distributed 4/1 To Investors Of Record By 2/28.

An investment with 2 bottom lines:
An 8-11% annual return,
tax-advantaged, distributed monthly.

A high-yield investment that helps struggling families stay in—and eventually own—their homes.

Introducing the socially-aware mortgage note fund from 7e Investments, open to all investors.

Watch Our Video
  • Retirement Planning
  • Retirement Income
  • Wealth Accumulation

Interested in Bonus Shares? Download our Bonus Share chart for details.

Our Philosophy

Investing in distressed mortgages can be a way to achieve consistent monthly income. It requires experience, discipline, and hard work.

Our fund’s performance is not tied to the stock or bond markets. Further, we’re not even tied to national or real-estate prices. Rather, we are tied to the homeowner’s ability to make their monthly payment—and that is where our extensive due diligence comes in.

Instead of pooling mortgages, we work one-on-one with families, resulting in:

  • zero missed dividends in 2022
  • zero foreclosures
  • zero evictions

What if home prices go down?
Market forces on home values rarely influence our monthly distributions. After our thorough diligence, we purchase mortgage notes at 40-60% discounts providing a cushion on top of the equity already in the home from the down payment and monthly payments before the mortgage went past due. This also places us in a position to negotiate a new monthly payment, since we purchased the note at such a good price. This enables most families to get back on track. After all, this is the home they purchased, not a rental, making them highly motivated to stay on track.

“I replaced all of my bond funds investing with 7e. My returns are improved, my risk level is reduced, and I know we aren’t evicting people who stumbled and genuinely can and want to pay their mortgage and own their home.”

Invest to generate the income you need.

Approximate return streams based on investment amount.

INVESTMENT

$50,000

$75,000

$100,000

$150,000

$500,000

$750,000

ESTIMATED MONTHLY INCOME

$333

$500

$666

$1,000

$3,333

$5,000

ESTIMATED MONTHLY INCOME (with Bonus Shares)

$350

$525

$706

$1,060

$3,566

$5,350

WHY 7e?

  • Preferred shares: investors get paid first
  • No management fees

7e Investments has a proven record for success in this sector of the real-estate market, including:

Over 500 deals managed

Decades of combined real-estate experience

Diversified investments across multiple regions including the Rustbelt and Midwest

As of September 30, 2022, 100% of the notes in our latest fund have achieved a positive resolution

Benefits of Investing

Seven reasons to invest in 7e Investments.

Reliable, high income to meet your lifestyle needs.

An 8-11% preferred monthly annualized return beats most other fixed income alternatives—even the returns on riskier assets like high-yield bonds.

One-year CDs

4-4.75%

Money Market Funds

3-3.6%2

Long-Term Treasuries

3.94%3

High Grade Corporate Bonds

4.19%4

Junk Bonds

6.79%5

7e Investments

8-11%

A positive impact investment that keeps people in their homes.

Our entire process focuses on finding a way to help homeowners pay their mortgages. You can feel good about your 8% return because it comes not from removing people from their homes and selling them (except when that is best for all parties or when modifications cannot be agreed to), but giving them another chance, which we believe most deserve.

Our first obligation is to our shareholders and there are occasions where leaving people in their home is the worst-case scenario for them as well as us. When there is not a high probability of repayment, even on a workout, foreclosure and sale of the home is frequently the most efficient route for all parties.

A multi-faceted approach to managing the investment process.

Investing in distressed real-estate loans involves working with borrowers that have stopped making payments. At 7e, we have a disciplined investment process that minimizes risk and magnifies the chances for successful outcomes.

  • We purchase notes at steep discounts:

    We purchase mortgage notes typically at a 40-50% discount to market value, providing us the flexibility to structure loan payment plans homeowners can afford.

  • We are extremely selective:

    With a $75 million targeted raise, we are barely scratching the surface of the distressed loan asset class. We can afford to be extremely choosy about the loans we invest in, building a diversified portfolio with what we believe to be the best potential for enhanced returns.

  • We work one-on-one with borrowers to get them back on track:

    With a manageable portfolio of $75 million, we can focus on individual loans in our portfolio, working closely with homeowners to get them to back on track and eventually own their homes.

  • A diversified portfolio:

    We invest in markets across 40 states: local economic conditions drive local real-estate markets. Events like plant closures or industry downturns can have an outsized impact on specific localities. We reduce our exposure to any single community’s economy by diversification.

Bonus Shares

For example, if an investor purchases 2,500 of the first 7,500,000 shares sold, they will receive an additional 100 Bonus Shares of Class A Preferred Stock that are identical in form and substance to, and shall not be differentiated from, the Class A Preferred Stock. Because you’ll earn 8% on both your initial purchase and the bonus shares, these additional shares have the potential to boost your dividend income to over 10%.

Proven success in an asset class that not everyone can manage.

It’s not an asset class you can easily scale, so larger asset managers tend to stay away. Consider that investing in a $200,000 loan takes the same effort and cost as investing in a $2 million loan.

7e Investments has a proven record for success in this challenging sector of the real-estate market, including:

  • Over 500 deals managed

  • Decades of combined real-estate experience

  • Consistent deals across multiple regions including the Rustbelt/Midwest

  • As of September 30, 2022, 100% of the notes in our latest fund have achieved a positive resolution

A tax-advantaged structure that distributes dividends, rather than interest.

Because we are structured as a C corporation, we distribute income as dividends, which are taxed at the lower capital gains rates.

That can make an enormous difference in your after-tax returns. Although many investors, especially larger ones receiving bonus shares, invest through a self-directed IRA, the majority of our investors really benefit from the true returns, after taxes. That is a critical part of our structure and offering.

Monthly After-Tax Income on an 8% Return

This investment is good for self-directed IRAs and not subject to UBIT, please consult your tax professional for personalized advice.

YOUR INVESTMENT

AFTER-TAX INCOME (If taxed as “Interest”)

AFTER-TAX INCOME (If taxed as “Dividends”)

$10,000

$42

$53

$50,000

$210

$267

$75,000

$315

$400

$100,000

$420

$533

$1 million

$4,200

$5,333

YOUR INVESTMENT (With Bonus Shares)

AFTER-TAX INCOME (If taxed as “Interest”)

AFTER-TAX INCOME (If taxed as “Dividends”)

$10,000

$42

$53

$52,500

$220

$280

$78,750

$330

$420

$106,000

$445

$565

$1,070,000

$4,494

$5,706

Note: It would take more than an additional 25% investment to provide the same after tax income.
“Who says being retired means that taxes don’t matter as much? By getting 8%, and as dividends, I’m completely covering my monthly needs because I keep more of the income.”
7e Investments does not provide tax guidance. Please consult with your tax professional for personalized advice.
Backed by a team of experts to help drive results quickly.

We have a team of seasoned professionals to help us drive results quickly. This includes:

  • Attorneys that specialize in real estate and can navigate the ever-changing laws that govern each state.

  • State Licensed servicers who are trained in borrower communication and act as the point person when it comes to loan modification.

  • Real Estate specific CPAs and accountants with an understanding of the various tax ramifications of buying, owning, and selling mortgage notes which helping us scale the portfolio faster.

“Who says being retired means that taxes don’t matter as much? By getting 8%, and as dividends, I’m completely covering my monthly needs because I keep more of the income.”

INVESTMENT PROCESS

7e Investments is a mortgage note fund.

We invest in single-family loans in which the borrower is late or delinquent in making payments. Often, they stop making payments because of a temporary problem—a job loss, an illness, or the death of the spouse—and it takes a thorough understanding of their situation and prospects to determine if they can get back on track.

We buy these loans at a steep discount, typically 40-60%, so we often have the flexibility to adjust payments to a level that borrowers can afford. We create win-win situations, structuring deals that allow the borrowers to stay in their homes wherever possible: while also making interest and principal payments.

Since we invest in a limited number of these loans, we are able to thoroughly investigate the borrower’s context and financial situation, creating a three-dimensional picture of the mortgage note. We know a lot about which borrowers are likely to make things right and which borrowers will continue to shirk their responsibilities. We invest in the first type and avoid the second.

We make every effort to reach an agreement with the borrower. In the unusual cases where that’s not possible, we take over the property, fix it up and sell it, often at a profit**.

We buy loans on single family homes at a discount.

We negotiate a payment schedule with the borrower

Take ownership of the home

Generate income

Generate profits from the sale

Owner stays in home

New owner moves in

  • Community remains stable
  • Home values stay robust
  • Creates value for our shareholders
  • The family eventually become full homeowners, breaking cycles, creating wealth.

Investment Guide

Learn more about 7e Investments, our investment process and history, and how investing can lead to high returns and a second chance for struggling families.

Offering Terms

Offering Price:

$10

Per Share
Minimum Investment:

$2,500

Holding Period:

4yrs.

Dividend Payments:

Monthly, on the 1st of each month to shareholders who have invested by the 1st of the previous month.

REDEMPTION POLICY:

If you redeem shares before four years have passed, you will lose your bonus shares and be subject to early redemption penalties as follows:

Within 12 months – 12%

From 12 months to before 24 months – 10%

From 24 months to before 36 months – 9%

From 36 months to before 48 months – 5%

Our service provider team for this $75 million offering:

Broker Dealer:

Dalmore Group

ESCROW AGENT & FINTECH PROVIDER:

North Capital

Lawyers:

Council Baradel

Auditors:

Grant Thornton LLP

Transfer Agent:

Vstock Transfer

Executive Team

Chris Seveney, President and Chief Executive Officer, Board Member

Christopher Seveney brings over 25 years of real estate experience to 7E Investments and has been actively buying and selling mortgage notes since 2016. During this time, he has acquired over 500 notes with UPBs in excess of $25 million in over forty states. Prior to investing in mortgage notes, Chris built a multimillion-dollar portfolio of assets through new construction and rehabilitation of existing properties in his own portfolio along with having managed over $750 million in new construction in his 25-year professional career.

Lauren Wells, Vice President of Investor Relations & Strategy, Board Member

Lauren Wells leads the strategic evaluation of market research and implementation and heads business strategies. Lauren brings over 10 years of business development, sales and project management experience to the company. Prior to joining the company, she worked as a senior consultant with SAAS startups including Procore and LinkedIn to build and scale their sales organizations. This included developing forecasts, defining target markets, identifying acquisition opportunities, and establishing new sources of revenue. Lauren has also been a real-estate investor since 2010. During this time, she has helped grow and manage a portfolio of over 100 assets which include both residential real-estate and mortgage notes.

Chi Nguyen, Director of Asset Management

Chi leads a vertical in asset management from acquisitions to disposition and brings over a decade of experience in real estate and management. Prior to joining 7E Investments, Chi led a successful entrepreneurial career in note investing, new construction and long-term rentals. Chi is a high achiever in critical thinking & effective communication and is known for her diligence and attention to detail.
Having a special place in her heart for the nonprofit world, Chi believes in always having a part of her life dedicated to giving back to leave the world a better place than she found it. With this philosophy, in her spare time, she helps run a small but mighty nonprofit organization she is extremely proud to be a part of.

Delaney Huthsing, Director of Operations

Delaney focuses on asset acquisition and management strategy while also leading portfolio progress analysis and championing the company’s operational initiatives. She led a successful career in operations and continuous improvement in her 10 years working in corporate and non-profit environments. Before joining the company, she worked as a senior operations leader at Target and Direct Relief, developing and leading teams, improving operational efficiencies, and implementing systems and processes at scale. She is an accomplished problem solver and communicator, skilled in building
teams and developing trusted relationships across functions to drive continuous improvement, cohesion, and effective operations.

Katie Klezek, Director of Investor Relations

Katie brings over seven years of multifamily real estate investment and property management experience to 7E Investments. She served in various operations roles for NALS Apartment Homes, a fully-integrated investment firm engaged in the acquisition, ownership, management, and rehabilitation of multifamily apartment communities. Wearing many hats during her time with NALS, her responsibilities included: managing contracts with key operations vendors, assisting with multiple capital raises of large acquisitions, executing on-site projects, and facilitating internal management webinars. Katie is passionate about efficient, kind and professional communication.

Jeff LaRoche, Board Member

Dr. Jeffrey LaRoche is a graduate of Worcester Polytechnic Institute and received his Doctorate from the University of Florida. Since receiving his PhD, he has been working within the technology and defense industry where he has authored 38 key publications and has 31 total patents in compound semiconductor device integration and physics for high frequency applications such as radar, directed energy, and 5G/6G communication.
Most recently Dr. Laroche has been working as a program capture manager and program manager for Raytheon Missiles and Defense (RMD) Advanced Technology Programs (ATP) group with a primary focus on developing new technologies in the semiconductor space for government agencies such as the Defense Advanced Research Projects Agency (DARPA) and the Office of Naval Research (ONR).
Dr. Laroche brings his experience of strategic planning, risk analysis, management, and acquisition strategies to the Board of CWS Investments.

Webinars

Investing With an IRA, with Special Guest Derreck Long of Quest Trust

One of the most reliable ways to build wealth for retirement is investing through an Individual Retirement Arrangement, known as an IRA. For this webinar, our President and founder Chris Seveney and our VP of investor relations Lauren Wells were joined by Derreck Long, Senior IRA specialist at Quest Trust Company, to discuss investing in 7e through self-directed IRAs. Earlier on in his professional career, Derreck learned that if you wanted to become wealthy you had to do what others won't, leading him to become a Self-Directed IRA and Solo 401K Expert, back in 2017. Since then, he has earned multiple certifications, including a CISP from the American Banking Association, and spoken at hundreds of events across the U.S. They presented how this can help you build wealth for retirement, and defer some taxes, after which there was a live Q&A, which we have posted some of the answers to below.

Repeatable & Scalable – 7e’s Double Bottom Line Impact Investment

When you invest in 7e Investments, you are investing in a dedicated and experienced team, ready to individually assess the quality of every mortgage note we chose to add to our portfolio. With owner-occupied mortgages across the U.S. valued at over $16 trillion dollars, the massive size of this market leaves 7e, with our niche focus, with a great deal of flexibility in deciding which mortgage notes to add to our portfolio and which to avoid. We are barely scratching the surface of this massive marketplace. Today, as our offering continues to gain investors, 7e, with our repeatable and scalable process, expects growth and aims to continue our success. With investments across 42 states, your investment is an investment in a diversified portfolio. Our investments are driven by our double-bottom line, keeping struggling borrowers in their homes while delivering an 8% annualized return to our investors. Sometimes, some help is all that borrowers need to begin building generational wealth for their families. By purchasing non-performing mortgage notes at a steep discount (40-50%), we are able to renegotiate the note with the homeowner on a manageable payment schedule, which takes into account the homeowner’s individual financial circumstances and the health of their property. If our research points to the family’s positive ability to start payments again at a renegotiated rate, we will buy their mortgage at a steep discount. Our repeatable and scalable process guides us to which borrowers have a high probability of getting on track and which are most likely gaming the system and should be avoided.

Assisting Borrowers–One Note At a Time, Two Case Studies

7e Investments purchases under- or non-performing mortgage notes at a steep discount. This enables our firm to renegotiate a far more manageable payment schedule with borrowers. We aim to fulfill our double bottom line, getting borrowers back on track, while distributing monthly dividends to our investors. Because we perform a high level of individual due diligence, we come across a wide range of issues facing borrowers, and some are quite unique. Maybe our borrowers need to rent another home because their primary home is damaged, maybe they have undergone a medical procedure and have fallen behind on their payments. For many of them, the value of surrounding properties has increased and they would like to eventually sell their home after getting back on track with their mortgage. In this webinar, we will be highlighting two of many of our case histories where we have purchased a non-performing mortgage note, and turned it into a profitable investment whereby the borrower can stay in their home and overcome various obstacles– some with our support. Our focus is always on knowing which mortgage agreements have a high probability of getting back on track, and which to walk away from.

Introduction to Mortgage Note Investing

At 7e investments, we invest in mortgage notes. Our goals are to create win-win situations for our investors and distressed borrowers, garnering high yielding monthly distributions while keeping as many families in their homes as makes sense. We invest in distressed single family-home mortgage notes, in which the borrower has fallen behind or has stopped making payments altogether. Homeowners fall behind on payments for all kinds of reasons, such as a loss of a job or a sick family member. Some will not recover from this situation, some will. Many distressed borrowers, with a little help, are able to keep their home and not miss any payments. What kind of help do we offer? At 7e, we are highly skilled at evaluating borrowers’ circumstances, identifying those borrowers that can get back on track with their payments. Rather than seeking to acquire, foreclose, and sell the properties associated with the notes, we purchase the notes from lenders at a 40-50% discount, and renegotiate loan payments to a level borrowers can afford. We strive to create positive scenarios for all parties involved, structuring deals that allow the borrowers to stay in their homes wherever possible, making all future payments in full and on-time.

7e Mortgage Note Investments: Our Regulation A+ Offering

Our newest offering may be a great fit in your portfolio. We at 7e pride ourselves on offering alternative investment opportunities in and around real estate–not tied to the stock market. For the past 5+ years, we at 7e have been establishing ourselves as innovators in creating opportunities for investors, from the early stages of joint ventures, to moving on to funds. For this offering, we are open to every type of investor, from accredited to non accredited, from small dollar investments, to those with significant cash sitting on the sidelines–including IRAs. We have always thought of the investor first, balancing our focus on both high returns and managing risk. As we have grown, we design and test innovative and creative ways to develop new offerings while not impacting our core values or returns to our investors. After a long and hard year of working with attorneys and building our team, we have created an offering that we believe accomplishes high yield returns, with a heart.

OVERVIEW

Earn 8-11% while aiding a family to reset their monthly mortgage payment and stay in their home.

Homeowners go into default for all kinds of reasons; some lose a job, others become ill, or are struggling with the death of a family member. At 7e, we know how to evaluate borrowers, finding the ones that are most likely to get back on track, and structuring payment plans that work.

We seek solutions where everybody wins.

Ideally, the homeowner stays in the home and pays the renegotiated mortgage. The whole community benefits from fewer vacant, deteriorating homes, and our investors receive 8-11% annualized monthly distributions by making a real impact investment.

If you’d like to do well by doing good, consider 7e Investments. We provide you monthly income and a way to make a positive impact.

Get started today.

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