Introduction to InvestorsAlly Realty

InvestorsAlly Realty (IAR) is a conventional real estate brokerage firm currently focusing its residential and commercial property brokerage services in California.

As our name implies, we specialize in helping clients with making prudent investments in real estate properties, whether it is in coastal residential homes, income producing commercial properties or wineries, agricultural land and ranches.

In particular, we have a specialized team with extensive knowledge, contacts and expertise in wineries and vineyards located in central coast and southern California.

Unlike a conventional real estate brokerage business, IAR also provides its clients a few additional innovative home ownership structures and alternative financing solutions based on many years of academic research. For further information please review the article “The SwapRent Transactions, HELM and FARM – A New Alternative Housing Finance System” published in the December 2009 issue of Housing Finance International (HFI) which is the flagship quarterly journal of International Union for Housing Finance (IUHF,

In the current market, through FARJHO, property investors as InvestorsAlly’s customers could expect around 5 to 9% or even higher current dividend yield rom rental income while waiting for the market recovery and further price appreciation of US residential properties without worrying about vacancy or excessive annual operating expenses. The total return could be quite significant due to the additional potential price appreciation from the current distressed price level of the residential properties. For more information on FARJHO please visit

The more popular this type of non-debt, fractional interest equity investment to attract fresh capital injection from around the world to jointly own homes becomes, the more likely the property market will indeed be restored to its previous value with a “non-leveraged stable growth” sooner. Homeowners would get to enjoy the neighborhood stability at the same time and hence it will increase the social harmony of our society.

Academically, one of the main economic benefits that both FARJHO and SwapRent contracts, each in their different ways, provide to investors is to make Single Family Residences (SFR) income producing assets (with a stable positive yield like that of owning a rental apartment) and hence made investable by professional institutional investors. It would be a great way for pension funds and insurance companies to diversify their portfolios by extending the investment choices into currently the world’s largest asset class through these new innovative investment vehicles.

The state, county (and city) public employees and teachers pension funds would be the best candidates to become the anchor local institutional property investors to help homeowners to co-own homes through the new FARJHO concept in order to foster local economic revivals and continuing prosperity. They could of course resell those FARJHO LLC member interests to other free market investors at any time in order to regenerate and scale up the scope of available capital. Attracting fresh capital from around the world this way to local communities could certainly help the state, county and city governments fix their current budget deficits under a free market mechanism.

Policy-wise, the simple new economic concept is that people would need to start thinking outside the box, borrowing money to own homes should not be the only way to own homes. Promoting homeownership for social good purposes could also be accomplished through partial equity sharing, just like how corporate ownership has evolved in the last few centuries with the development of a stock market in each country. It is about time that we should seriously treat equity financing and developing a tradable secondary market of home equities as a viable way to promote homeownership.

In addition, with the introduction of the separation of shelter value from the economic value (or usufruct value from the investment value) of owning a real estate property by the new SwapRent related methodologies and its secondary market REIDeX, boom and bust cycles created by the investment value of properties and exacerbated by the abuse of lending/borrowing could easily be avoided and homeowners could get to enjoy the social stability as long as they stick to the shelter value part of their homeownership.

Although the SwapRent related efforts were originally designed for both residential and commercial properties, due to the housing related residential mortgage crises, so far most of the attentions have been focused on developing applications primarily from a residential property owner’s perspective. The application opportunities are indeed equally available for commercial property owners to enjoy similar economic benefits. We have only recently started an effort to offer these services to the commercial real estate investors and distressed mortgage assets holders.

For examples on how to use SwapRent to help trade distressed mortgages or trust deed notes on commercial properties and CMBS, please kindly review the blog entries on 4/20/2010 and 3/15/2010 at the following link. or more conveniently,

One interesting concept to note is that the residential SwapRent and FARJHO applications on Single Family Residences basically make SFR similar to investable income-producing assets like multi-family apartment complexes and should hence be treated like any other commercial properties for institutional investments going forward.

Our company headquarters is located at Corporate Plaza East of Newport Center, close to the Fashion Island Mall on PCH in Newport Beach.

InvestorsAlly Realty
23 Corporate Plaza Drive, Suite 133
Newport Beach, CA 92660


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