Not every dollar belongs in the stock market. The Alternative Income Fund is a simpler idea: your capital is lent — short-term, in first position — against residential real estate, with a significant margin of safety. You earn a fixed return. The property secures it.
The Alternative Income Fund is an Alabama-based private real estate lender. It makes short-term loans — typically 6 to 12 months — to experienced contractors and investors doing residential fix-and-flip and small construction projects.
Those borrowers come to the fund instead of a bank because of speed. Banks move slowly under regulation; the fund underwrites quickly. For that speed, borrowers pay a premium rate — and that premium is what becomes your return.
Your capital joins a diversified pool of first-lien real estate loans.
Short-term loans to vetted builders, secured by the property at no more than 65–75% loan-to-value.
They pay for speed and service. That interest flows back to the fund.
Take the income, or reinvest it and let it compound.
The whole strategy is designed around one idea: a significant margin of safety on every single loan. Here's how that protection is layered.
The fund is the senior, first-lien lender on every transaction — first in line to be repaid. Borrowers are prohibited from taking on second liens against the property.
Loans cap at 65–75% loan-to-value, so borrowers hold roughly 30% of their own equity. The property would have to fall substantially before principal is at risk.
Single-family residential — the easiest property type to sell. In core Alabama markets, the median listing sells in about 40 days.
Conservative, in-house valuation on every property. An investment committee must approve each loan before a dollar goes out.
When fully deployed, each loan averages less than 1% of the portfolio — spread across fix-and-flip, multi-family, and small construction.
Alabama's non-judicial foreclosure lets the fund reclaim a property in roughly 30–90 days — without a drawn-out court process.
Longer commitments earn a higher rate. Interest is paid every quarter — or reinvested to compound.
Reinvest and let it compound: $100,000 at 12% over three years grows by about $42,576 — roughly a 14.2% IRR.
The minimum is currently $75,000 and is subject to change.
You need to be an accredited investor as defined by the SEC under Rule 501 — generally, $200,000+ in income ($300,000 with a spouse) for the past two years, a net worth over $1 million excluding your home, or a Series 7, 65, or 82 license in good standing.
Yes. The fund works with both self-directed traditional and Roth IRAs, and can recommend custodians that handle the paperwork while your funds are invested.
Interest is paid quarterly. You can take the income as cash flow, or choose the reinvestment option and let it compound each quarter.
Because every loan is a first-lien, senior-secured position, the fund can move to reclaim the property through Alabama's non-judicial foreclosure process — typically within 30–90 days.
If you're an accredited investor looking for steady, secured returns, I'll walk you through the fund, the numbers, and whether it fits — no pressure. Request the information packet or book a short call.
For accredited investors only. This is an introduction, not an offer to invest.
Fill in your info below and we'll send the full fund overview — returns, structure, loan criteria, and how to get started.
For accredited investors only. This is not an offer to invest.
