Tax Lien Financing
Financial Compound arranged a $28 million credit facility for single-family tax liens in the Northeast. Financial Compound, with the help of our borrower, an experienced operator in the tax lien industry, demonstrated the low level of risk (15% LTV) for this credit. Other terms included a cutting-edge interest rate, interest only, close to 100% LTC, with no lender fee.
Municipalities often sell their tax lien portfolio to private investors as a way to obtain liquidity and meet budgetary needs. Tax lien participants are able to help these government agencies obtain the liquidity which they need. Financial Compound is able to assist tax lien industry participants with obtaining debt, mezzanine debt, and equity financing.