We have news!
Nothing is wrong! In fact, the news is GOOD!
GPS has a pipeline that is nice and full with only minimal space left for 2023!
This is a great outcome for the year so far for lots of reasons.
1. This means that we have successfully managed our rate increase to the borrowers as the loans continue to come our way. We are monitoring rates constantly to ensure that we remain competitive and then communicating with our borrowers, both new and old, about how we sit in the market and managing expectations. Our existing relationships have made this process that much easier.
2. There are future GPS Invest Select Fund options that will become available, and increased spread for the GPS Invest Pooled Fund.
3. GPS is in a position where we can take the time and pick the best projects. This means that you can have greater peace of mind in the loans that are you are investing in.
4. The relationships that GPS have cultivated over our many years remain strong. We have both builders and borrowers who we know and trust working on quality projects that are positive signs for the future of GPS and your investments.
Even though the outlook is great, we are not assuming that our work is done. We are taking the approach this year, in all aspects of the business, to protect our own. We will continue to be available for our known borrowers and builders and assist them with other projects if they come our way.
The relationships that we have with builders and borrowers continues to be a cycle of referrals that has most loans being connected to GPS via roughly 3 degrees of separation – and that is just the way we like it.
If a site becomes available, we can refer it to a developer. If a builder is in trouble, we can refer another to take its place. Or if a project has no builder, then we can refer one that knows the area or project type and will be the best for the job. This all then feeds back to us in the form of referrals from both builders and developers anytime they have a connection to a project that doesn’t have any funding yet!
The plan that we put in place this year to be conservative, look after our own all while increasing borrower rates and retaining and gaining new loans is well on track.
We have the ability and experience to now act in the best interest of you, our investors, to produce a book of loans that benefits us all.