Quick Questions, Faster Answers

VENDORS FREQUENTLY ASKED QUESTIONS

 

HOW DOES AVALLONN WORK?

The Avallonn platform follows an easy three step process:

  1. Sign up here.

  2. Tell us about you and your home.

  3. Upload pictures of the property.

 

After your profile is complete, we assess your situation and connect you to Investors best suited to meet your needs. Most decisions are made within 1-10 working days.

WHO CAN JOIN AS A VENDOR?

Anyone 18 and over with a property to sale.

DO I HAVE TO HAVE AN EIN OR S.S. NUMBER?

Yes. All transactions are reported to the IRS.

WHAT IS A TRANSACTION PREFERENCE?

Avallonn gives Vendors and Investors creative options for handling their transactions, including:

  • 1031 Exchange

  • Cash Purchase

  • Credit Purchase

  • Sell/Purchase Contract

  • Cryptocurrency

CAN VENDORS AND INVESTORS CONNECT OUTSIDE OF THE PLATFORM?

Connecting outside of the Platform to purchase or sale properties is a way to undercut our company, and is a violation of our Terms of Services, which will result in a $1,000 penalty fee, court action and additional legal fees, plus a lifetime ban from the site.

HOW DO CONTRACTS WORK ON THE PLATFORM?

Avallonn reviews each contract offer and agreement to ensure that we protect ourselves, as well as our members, from fraudulent use.

HOW DOES AVALLONN PROTECT IT'S MEMBERS?

WHAT INTEREST RATE WILL A LENDER CHARGE ME?

Private lenders and Syndicates set their own interest rates per property. Rates aren’t automatically set and Investors will decide on the monthly payment amount after reviewing past payments made to your mortgage lender.

CAN I BE VICTIMIZED?

No. Although lenders can invest in multiple States, each State has a usury ceiling. When a loan commitment is made to a Borrower,  Avallonn checks the Investors rates against a State’s usury amount.

WILL I HAVE TO WORRY ABOUT BALLOON PAYMENTS?

Balloon payments may be applied at the end of a loan term. But don’t worry. Avallonn will review the fee schedule to make sure you’re not paying too much at the commitment review stage.

DO I HAVE TO HAVE GOOD CREDIT?

No. The Avallonn platform is designed to help those with and without good credit. If your home is in some stage of foreclosure, however,  your credit score has probably already taken a hit. Avallonn uses your home as collateral to ensure you don’t stop making your monthly payments.

IF I'M A RENTER OR FORCLOSURE MEMBER, CAN AN INVESTOR TAKE MY HOME WHENEVER THEY WANT?

No. An Investor cannot take a rental home from you under any circumstances.

CAN I BE EVICTED?

Yes. If you fail to make payments after 90 days, you will be removed from the property. But Avallonn and Investors safeguard against payment failures by offering alternative home options.

WHAT IS AN ALTERNATIVE HOME?

An alternative home is a residence owned by your lender that is equal in value to your home in foreclosure. If you cannot afford to stay in your current residence, an Investor will offer you an alternative home in the same city. This home will have cheaper payments than the home you’re already in.

HOW DOES AN ALTERNATIVE HOME OPTION WORK?

If an Investor decides you don’t have enough income to cover the monthly rent of your peer loan, than they will offer you an alternative home.

WHAT WILL HAPPEN TO MY CURRENT HOME IF I ACCEPT THE ALTERNATIVE HOME OFFER?

An investor can move tenants into the current home. But if you both agree to a Future’s Contract, the home will not be sold.

CAN A FUTURE’S CONTRACT BE BROKEN?

No. But it can be sold to another Investor. If this happens, the Investor selling the contract doesn’t get to keep the funds paid toward the redemption. Those will automatically transfer over to the new Investor.

 

Because of our unique position as a connection platform, Avallonn takes a 5% equity stake in each property until the transaction or deal is complete.

WILL YOUR COMPANY NAME APPEAR ON THE TITLE WORK?

 

That depends entirely on you. Some deals are consummated in 24 Hrs. Others can take 14-21 days. In the case of a 24 Hr. sale, no. If the deal takes longer than 24 Hrs. however, Avallonn will be on the title.

WHEN WILL YOUR NAME DROP OFF THE TITLE WORK?

As soon as the deal is complete. If there is a complex matter, however, such as a foreclosure, 1031 exchange, or rental arrangement created, we will keep our name on the Title until the arrangement comes to a close. No matter the duration of time.

WHAT TITLE COMPANY DO YOU USE?

We have several different Title partners that are all reputable.

CAN MONTHLY MEMBERSHIPS BE PAID IN CRYPTO CURRENCY?

Yes. But the currency is subject to review. Send us a message through the Contact section and we'll respond in 24 Hrs.

HOW MUCH DOES A MEMBERSHIP COST?

Memberships for Vendors and Investors are $150 monthly. But you don't pay anything until you close your first deal. Foreclosure members, on the other hand, don't have to pay a monthly membership fee. 

WILL I HAVE TO PAY ADDITIONAL FEES?

There are two fee schedules:

  • First, a $50 lien fee is applied to be split between  the Vendor and Investor for Avallonn 's name being recorded on the Title work. 

  • The second applies to foreclosure and rental agreements. If you receive an offer and proceed to close, a monthly transaction fee will be charged to transfer your loan repayments to the lender. The transaction fee is 3.5% of your monthly repayment amount.

CAN I BE VICTIMIZED?

No. Although lenders can invest in multiple States, each State has a usury ceiling. When a loan commitment is made to a Borrower,  Avallonn checks the Investors rates against a State’s usury amount.

WHAT IS AN ALTERNATIVE HOME?

An alternative home is a residence owned by an Investor or Seller that is equal in value to a home in foreclosure. If a foreclosure homeowner cannot afford to stay in their current residence, an Investor can offer an alternative home in the same city. This home will have cheaper payments than the home going through the foreclosure process.

WHAT WILL HAPPEN TO THE CURRENT HOME IF THE ALTERNATIVE HOME OFFER IS EXCEPTED?

An Investor can move tenants into the current home. But if you both agree to a Future’s Contract, the home will not be sold.

WHAT’S A FUTURE’S CONTRACT?

If an Investor decides a homeowner going through foreclosure doesn’t have enough income to cover the monthly rent of a peer loan, than they can offer an alternative home.

A Future’s Contract is an agreement that allows the foreclosed owner to buy their home back from an Investor in the future, once they’re financially stable. But Future’s Contracts have rules:

  • There must be a financial insolvency so pressing that a current owner cannot realistically overcome hardship barriers.

  • A cash buyer does not have to agree to a future’s contract.

  • Future contracts must have a monthly sum paid toward home redemption, but only after a six-month time span. (Future’s Contracts are a kind of home layaway.)

  • If the pre-foreclosed home is rented when the future contracts foreclosed party redeems it, they will have to wait another six-months to take full ownership of the house. This way, residing tenants will not be displaced; the original cash buyer will not be upset; and the redeeming party will have ample time to schedule a move in.

No. But it can be sold to another Investor. If this happens, the Investor selling the contract doesn’t get to keep the funds paid toward the redemption. Those will automatically transfer over to the new Investor.

HOW DOES AN ALTERNATIVE HOME OPTION WORK?

CAN A FUTURE’S CONTRACT BE BROKEN?