Reviewing the All-in-One and Running the Simulator to Show the Savings against a 3.5% 30-year Fixed Rate Mortgage

Caeli Ridge hosted this episode on 2/7/2023

Here is what she covered at this event:

1. A brief reminder to focus on what the All-in-One is first position HELOC is all about
2. Entering in data to compare the All-in-One loan against a 3.5% 30-year fixed rate mortgage
3. Review of the results and what they mean
4. Answering questions from the live group throughout the event

Check out the video with the screen share and the documentation in the Community.

You can join these live each week by following this link to join the call:
https://community.ridgelendinggroup.com/events/live-with-caeli-each-tuesday-beginning-at-430-pm-et/list

As always, give Ridge Lending Group a call if you have any questions at 855-747-4343 or email us at info@RidgeLendingGroup.com

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Transcript

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Larry Bailey: Hey? Hey? Hey! Welcome, everyone! We are back! Live with Caeli. We're calling all investors. Every Tuesday we get together here at 4, 30 Pm. Eastern.

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Larry Bailey: and we meet with Caeli Ridge. He's going to tell us everything that we thought we knew, but got it wrong. She's going to keep us straight.

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Larry Bailey: and today, February 7, 2,023.

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Larry Bailey: We agreed at some time in 2022 that we were going to do an actual simulator run through of the All in one

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Larry Bailey: and in preparation for today for that event we're going to break today's series down into 3 distinct parts. The first part is going to be all about the introduction to everybody, on what the on one is all about in case you haven't learned that yet

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Larry Bailey: the second part of today is going to be all about. The data entry trail is going to share her screen, and she's going to actually do a walkthrough of how to enter the data properly

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Larry Bailey: and the final part it's going to be about reviewing the results. If you're just joining us here, please make sure you leverage the Zoom Platform to select. Either raise your hand virtually, or use the Q. A. Or use the chat. Your choice will be watching all 3 for any questions that you might have.

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Larry Bailey: and at the end, as both. If you want to stick around, and you want Caeli to review your personal scenario, you have 2 options to join either on camera and and be involved in that and recording part of our show here, or opt out, and how we can do that as well. So.

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Larry Bailey: Caeli, why don't you go ahead and start us off? Thanks very much for for coming everybody.

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CAELI RIDGE: Okay, let's do this. Thanks, Larry.

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CAELI RIDGE: Hey, gang? Okay, so those of you that are here with us today. You were interested in the All in one. I'm excited to see so many people joining us. This is my absolute

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CAELI RIDGE: favorite loan product anywhere, anytime of all space and time, the All in one. There's nothing in my mind that beats it in terms of a loan product for real estate investors, and even more specifically for those individuals that

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CAELI RIDGE: qualify appropriately, and i'll get into all of that. And what it means. So, as Larry said, the first thing that I want to do is I want to go over conceptually. What is the all in one for some of you. This may be redundant, but I think it bears repeating, because it is rather unique. In fact, i'm I'm. Constantly speaking to that.

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CAELI RIDGE: I think, especially in the us. We have kind of come up and been preconditioned to really only understand that closed-ended amortized

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CAELI RIDGE: mortgage right? Our 30 year fixed is the most common so to kind of dive into something so different. A first lean, open-ended, revolving mortgage that doubles as a mortgage and a checking and savings account really throws a lot of people initially when they first get into it.

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CAELI RIDGE: It it did for me. I had to look at this thing concentratedly for a week. Maybe it was 2 weeks, maybe I'm giving myself too much credit before I could connect the dots and the light all really went off for me. So we're gonna take our time. We're gonna unpack this

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CAELI RIDGE: for those of you that are brand new to the All in one. I would probably even offer that you're gonna have to to look at this and listen to this maybe twice, 3 times I I did. And if you think there's some value in it one on one time with me, where we actually will do this simulator together, and share screen. By all means. Just let us know.

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CAELI RIDGE: all right, what is the all in one

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CAELI RIDGE: guys? This is a it's a he lock.

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CAELI RIDGE: Okay, Home Equity line of credits. Everybody is probably familiar with what that term is the difference between this keylock and what you're probably used to is this is a first lean he lock.

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CAELI RIDGE: which means that it replaces whatever mortgage you may have on that property right now. It's going to pay that off. And this is going to be in first lean position.

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CAELI RIDGE: The other unique thing about the all in one is that it doubles as a mortgage in the form of that line of credit.

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CAELI RIDGE: And you're checking and saving. So you're replacing

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CAELI RIDGE: your existing mortgage and your B a. Wells chase. Whatever checking savings account all in one.

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CAELI RIDGE: Okay. The reason that this is so impactful is that it turns you into your own bank. You now have this line of credit open ended, whereby all of your depository income from all sources, gang.

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CAELI RIDGE: every source of depository income you have access to, so that means your paycheck, your w 2, your commissions, your bonuses, your dividends, your interest, your rents, your gross rents, not your net

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CAELI RIDGE: rental income, your gross rents, your child, support your alimony, your social security, your retirement. I don't care where it's coming from, but all sources of depository income instead of sitting it in this vessel in your You're just simple checking account. You're going to move it from there, and you're going to drop it in here to this checking account that is doubling as

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CAELI RIDGE: your helock mortgage. Okay, what's happening? There is that dollar for dollar.

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CAELI RIDGE: All of that depository income is driving down

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CAELI RIDGE: the principal balance

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CAELI RIDGE: that started in that line of credit, reducing the amount of interest that can accrue.

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CAELI RIDGE: because for those of you that weren't aware any Helock, not just the All in one, but any helock. The way the interest to cruise is daily, and it's based on that day's balance.

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CAELI RIDGE: That day's balance, and that month's interest rate.

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CAELI RIDGE: Okay. So the longer the the balance can be lower or reduced, the less interest that can accrue.

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CAELI RIDGE: So there's a compounding effect at work

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CAELI RIDGE: daily.

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CAELI RIDGE: That's going to reduce the amount of interest that can can happen.

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CAELI RIDGE: And then the second compounding effect of reduced interest is monthly. Whatever is left over, after all of your expenses have been paid, and I'm going to give you guys some examples in a second.

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CAELI RIDGE: Whatever goes back out the door right. From what the total depository income was. What's left over is simply gonna ride it's gonna stay there 24, 7 access to all of this at any point in time that you want to gain access to your depository income exactly the same way that you're doing it today.

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CAELI RIDGE: right? But instead of it, just sitting over there doing nothing for you. It's going to sit here, and it's going to drive that balance down. So the Daily is a compounded interest savings, and then monthly

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CAELI RIDGE: whatever is left over after everything goes back out. The door is also going to stay in there month after month, driving that balance down. That's compound effect number 2. Here is the easy math example that I give people. Okay, we're going to start the month, our first month of the all in one

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CAELI RIDGE: with an unpaid loan balance. Principal loan balance of $100,000,

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CAELI RIDGE: and I make $10,000 a month. Depository is what I bring in. This is my depository income from all sources.

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CAELI RIDGE: and i'm just going to say for easy math that I get this $10,000 on the first of the month.

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CAELI RIDGE: so I get my 10 grand. I'm going to deposit it into my checking account.

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CAELI RIDGE: Okay, where my more my $100,000 balanced mortgages. So I've driven that 100,000 down to $90,000.

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CAELI RIDGE: Right?

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CAELI RIDGE: I'm going to leave my $10,000 in there for as many days

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CAELI RIDGE: in a 30 day billing cycle, as I can, because remember interest to cruise every single day.

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CAELI RIDGE: So every single day there's going to take a snapshot

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CAELI RIDGE: of what the balance was for that day, and what the interest was for that month, and that number.

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CAELI RIDGE: plus all the other 30 days of the month, are going to be added together, and that's the interest to cruel. So the longer I can leave my $10,000 in there the better. So what we coach our clients to do is they're going to drop in their $10,000. Hey, my $10,000, my example.

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CAELI RIDGE: and throughout the month we have. We still have living expenses right? We still have bills that we have to pay that are going to be do, etc. So what they're going to do is they're going to use a credit card of their choice.

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CAELI RIDGE: and all of their expenses are going to go on that credit card.

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CAELI RIDGE: everything

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CAELI RIDGE: food, gas, utilities, cell phone entertainment, meals, mortgage payments, car payments, Everything's gonna go on that credit card

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CAELI RIDGE: before the credit card accrues any of its own interest

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CAELI RIDGE: on say day, 29. I'm going to go into my checking account where my 10 grand has been sitting. I'm going to pay off my credit card

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CAELI RIDGE: in full. Okay, and i'm going to rinse and repeat this every single month. So you can see there's the compounding effect number one of reduced interest. So I kept my balance at $90,000 for 29 days.

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CAELI RIDGE: and on day 30

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CAELI RIDGE: I went online, and I paid off my credit card. In My example, I paid off. $9,000

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CAELI RIDGE: is what my total expenses were.

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CAELI RIDGE: Okay. I have a $1,000 left over everybody. Well, I don't know If you can raise your hands and tell me that you're following me.

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CAELI RIDGE: So what that means is I dropped in 10 grand on day. One

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CAELI RIDGE: on day 29

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CAELI RIDGE: I pulled out $9,000 to pay off the credit card that amassed all of my monthly expenses, and I left in there $1,000.

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CAELI RIDGE: Okay, My residual income in this example is 10% of my income.

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CAELI RIDGE: so I have a $1,000 left over after everything goes back out the door everything goes back out, the door down to a stick of gum.

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CAELI RIDGE: Okay, that $1,000 sits there.

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CAELI RIDGE: So let's go into month to day, one of month to my outstanding principal balance is now what?

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CAELI RIDGE: 99,000 right! I left my $1,000 of residual income in there. 24, 7 access nothing's gonna stop me from grabbing that if I wanted to, or if I if I needed to, for any reason versus what happens if, in comparison to a 30 year fixed mortgage, what happens if I had sent an extra $1,000 out with my mortgage payment.

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CAELI RIDGE: Do I do I have access to that money

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CAELI RIDGE: for any any reason, absolutely not right. The only way you're ever going to be able to do something like that would be a full cache at refinance Once you send that payment out on a 30 or fixed, close-ended mortgage. It's gone

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CAELI RIDGE: right. Your principal goes down great. Does your payment change? No. Can you get that back? No.

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CAELI RIDGE: So okay. Back to month to day, one of month to I'm. Starting with a balance of 99,000

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CAELI RIDGE: right. I left that $1,000 in there I drop in my $10,000. So now for 29 days out of that 30 day billing cycle.

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CAELI RIDGE: My balance is going to be $89,000.

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CAELI RIDGE: Okay, you guys can probably see where I'm going with this on the thirtieth day. I'm going to pull back out 9,000 bucks

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CAELI RIDGE: right to pay off all my bills. I'm gonna leave another 1,000 in there. So on month day, one of month 3, my starting balance is going to be what?

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CAELI RIDGE: 98,000,

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CAELI RIDGE: and so on, and so forth. So you get the point right? There's compound interest saved, based on the example scenario that just gave you, and it can be very, very powerful. Go ahead, Layer.

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Larry Bailey: So I was just gonna add for those that are just joining.

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Larry Bailey: I

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Larry Bailey: thank you very much for coming. First of all, today is all about the All in one. And we're breaking this down into 3 distinct segments. But one is where chile is finishing up now, which is the introduction, the reminder what the All one is all about

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Larry Bailey: the next is going to be the data entry into the simulator, and then, finally, Part 3 is going to be reviewing the results. Michelle just asked the question. I think it was more statement where she's like. I have a similar loan through a sweep program.

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CAELI RIDGE: And yeah, I think some people have called them sweep in the past. Right? Exactly right is exactly a sweep account. No, no different in terms of the description of it. So if anybody's heard of velocity, banking, or infinity, banking sweep, all of that is, is basically the same thing, or conceptually, the same thing.

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CAELI RIDGE: Okay, so that's just a quick oversight. I want to reserve as much time as we have today for getting to the results of an example that i'm going to put into this this input here because I think that that's where we're going to get the most juice out of this. So let me share my screen.

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Okay.

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CAELI RIDGE: let's go right here.

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CAELI RIDGE: Share screen.

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CAELI RIDGE: Okay, gang.

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CAELI RIDGE: So you're looking at our website. I'm going to click right here at the top, all in one mortgage. He lock all of you have access to this. I would encourage you to go ahead. If you haven't already, play around in here. If you have questions, let us know.

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CAELI RIDGE: But for now I'm gonna take you through some easy input so that it's important a lot of times, and it's not. It's not invasive, right? There's no bias of blood needed here. It's very simple intake, but it's important that you understand what the simulator is asking you because if you think it's asking something else.

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CAELI RIDGE: obviously you're going to input

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CAELI RIDGE: what is incorrect to what it needs. And then the results Aren't going to be valid. So the inputs important. I'm going to zip through this. It's being recorded. So you guys can go back and and re-watch it if you need to. And then I really want to spend our time on Q. A. And then the results interpreting what it is you're looking at. I'm just going to make up some stuff here.

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CAELI RIDGE: So first thing here as you go through, just to keep in mind. There, i'm really sorry for interrupt you, but use use the lowest interest rate that we've seen over the last few years when you go through. I think that's on everybody's mind.

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CAELI RIDGE: So we're going to start a new simulation. Hey? If you you can save your work, I'll show you this at the end, and when you do there's a key code it gives you. You can kind of go back in and play with it. But we're starting a new simulation.

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CAELI RIDGE: Okay, we are going to compare to an existing mortgage because Larry's right more often than not.

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CAELI RIDGE: You know the last couple of years we've got people that have locked in at at 3 and a half, 4, or even sometimes lower on it. I'm going to use an investment property as our example. We could even use an owner occupied if somebody wants to be a guinea pig and and do their numbers. That's fine. But people are are hesitant. Right interest rates. When you see in this example, simulator that i'm going to run

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interest rates right now are higher.

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CAELI RIDGE: Right? Why would I want to give up my 3 and a half percent interest rate for an 8.7% interest rate. Why would I do that? Well, the math won't lie. You guys hear me say that over and over and over again, and if you are the right candidate for this, based on the values that we put in here, or you put in here on your own. It's going to be really clear.

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CAELI RIDGE: Okay, we're going to compare to an existing loan.

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CAELI RIDGE: We are going to say it's an investment property.

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CAELI RIDGE: I'm going to say that the value of the property is 500,000.

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CAELI RIDGE: I'm going to say that the current loan balance actually, you know what. Let me change that. Let's let's go a little bit lower. Here. Let's say that the value is 350,

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CAELI RIDGE: and let's say that the balance is currently 200,000.

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CAELI RIDGE: I got a 30 year fixed mortgage.

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CAELI RIDGE: and I got it at 3 and a half percent.

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CAELI RIDGE: and I got it

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CAELI RIDGE: 18 months ago.

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CAELI RIDGE: Okay, what the simulator has done is it's taken 200 grand as a current balance today

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CAELI RIDGE: at 3 and a half on a 30 year fixed amortized mortgage, knowing that it's 18 months old. This mortgage, this is the principal and interest payment. It'll do the math for you. You don't have to do that if it's off by a few bucks, and you want to do it manually and do it exactly to the penny. You can do that. It'll let you do that. But if it's within a, you know 5 bucks

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CAELI RIDGE: unless you really feel Ocd, and you gotta do it. It's not going to make any difference. I'm going to say i'm not making any extra monthly payments right now. Most people are not. So. I'm. Going to leave that 0.

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CAELI RIDGE: And then, finally, if you had a second lean mortgage, which

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CAELI RIDGE: 9.9 times out of 10. Nobody's going to put that in there on an investment property, because those really are not easy to come by, especially now.

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CAELI RIDGE: That's also nothing. I'm gonna go to next. We're almost done here, right super simple. The next page is our deposit page. So this is where we're gonna put our input for depository income. And, guys, I'm going to keep this super simple. The simulator will allow you to to do a number of different repeating deposits, because chances are you've got rental income. You got your w 2.

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CAELI RIDGE: Maybe you've got other sources of income that you need to throw in there. I'm gonna just lump it into one number.

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CAELI RIDGE: and I'm going to do it monthly. Okay, that's actually when I do it this way, the frequency and I just do one Number Monthly. It's going to make the All in one look less attractive, and that's really going to be my goal. I'm going to make the all in one look as conservative as possible against my 30 year fixed.

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CAELI RIDGE: So i'm going to say that with all in my W. 2, my rents everything i'm bringing in 15,000 a month. Okay, just throwing a number out there. This is monthly.

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CAELI RIDGE: If you really want to get granular and do it for real, you'll have the ability. See the repeating deposits down here. You can do that a number of different times, and add in the actual depository income from the different sources that it's coming from. But that's my monthly.

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CAELI RIDGE: Now. We also have an opportunity as a one time to paint, one time deposit, You'll see. This is repeating.

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CAELI RIDGE: So one time deposit, let's say. For example, I had 5 grand sitting in my savings account, doing absolutely 0 for me.

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CAELI RIDGE: right? And i'm going to take it from there, and I want to put it in here, for right now I'm going to lead that 0. I'm not going to throw that in here. If somebody wants to remind me I can come back and do it again. I want to keep the All in one as conservative as possible. So this is going to be 0. Or let's say that, for example, this is another

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CAELI RIDGE: example. Let's say that I know i'm going to get a big tax refund. It'll be the first of my life. But let's just say that that's gonna be the case.

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and it's going to be 10 grand, and I know i'm going to get it on.

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Let's say, in 4 months from now, so you can dictate when

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CAELI RIDGE: that goes in, or you're going to get a big commission check in in this this year in December. Right? You're You're going to forecast for that. You can do all of those things here. We'll leave those a 0. So there's my monthly deposits there's my annual

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CAELI RIDGE: There's the repeating there's the one time deposits right. We can do more of those if we wanted to. We're going to go next. This is the last page before we get to our results.

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CAELI RIDGE: So right now, here's what we're looking at. This is my deposits.

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CAELI RIDGE: This is that principal and interest payment of my 30 year. Fix that I have here. Okay.

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CAELI RIDGE: And the simulator is guessing at 1.5 of the value that I put in

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CAELI RIDGE: on this page.

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CAELI RIDGE: So 350,000 at one and a half is how they're calculating this taxes and insurance. I find more often than not this is high, sometimes considerably high. So you may want to manually input what this really is, the taxes and insurance. Okay?

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CAELI RIDGE: And then right now, before I put anything in my left over here, it's assuming that all of this is going back out the door.

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CAELI RIDGE: so let me quantify really quickly as it exists. Before I I put this final number in here, and we go to the results right now. The simulator thinks that this number.

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CAELI RIDGE: and this number are staying in the account.

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CAELI RIDGE: They're not going back out the door to your mortgage that you're making your payment to today. Right? That's gone. The simulator assumes that those monies are not being used for something else, and because they're not going back out the door the way they have been. It's being left in the account every single month.

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CAELI RIDGE: and that this number, which is the difference between this this and this, is going back out the door

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CAELI RIDGE: for my purposes. I'm going to say that i'm able to retain 20 of of my 15,000 a month.

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CAELI RIDGE: So $3,000 a month

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CAELI RIDGE: is what I have left over after all of my expenses. Go back out the door.

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CAELI RIDGE: Okay. So let me just repeat what I just said and finalize this last piece.

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CAELI RIDGE: So i'm depositing 15,000 in there every month.

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CAELI RIDGE: This number and this number and this number

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CAELI RIDGE: are what's left in my account after this goes back out to pay all of my living expenses. Okay, you guys with me. Hopefully, All right, we'll go. We'll open up for questions in a minute.

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CAELI RIDGE: Finally, and I'm going to come back and do this in a minute. This is going to be an important feature here. So remember this one time future expenses. This is where the all in one, in my opinion, is just the best thing since slice bread.

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Okay, let's see what happens here.

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CAELI RIDGE: So this is part of the presentation chair that we're going to go right into the results. Correct? Yes, we're done. That's it. That was all the input that you have to do, and we're going to go right to the to the results, and the suspense is going to kill us all.

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CAELI RIDGE: Watch it's just gonna to sit here and spin. I'll bet you

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CAELI RIDGE: it's been buggy lately, guys. So I think what i'm gonna do is just try and get fancy.

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CAELI RIDGE: and just see how smart my retention is, or how good my retention is.

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CAELI RIDGE: I mean i'll, but i'll pop back and look sorry. Everybody.

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Larry Bailey: So while we're doing this, well trail is doing this again. There's been some questions on talking about Nancy as a question about the loan value what what the prop minimum property values are, just as a reminder for any anybody not paying attention to the chat. The minimum load amount for this program is $100,000,

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Larry Bailey: your loan to value or your minimum property value to make. That 100,000 does depend on your occupancy and some other factors that you really should check

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Larry Bailey: in with your dedicated learning specialists or Chili Ridge over at Ridge lending group.

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Larry Bailey: and they always you can always call that talk. Call a team at 8 5 5 74 ridge, or you can email to info@ridgelininggroup.com. And if you are want to talk, if you do want to talk about your simulator, chill is going to show you exactly where to grab that code, so everybody can go over the same data at the same time.

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CAELI RIDGE: Thank you, Larry Bailey.

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CAELI RIDGE: I just had my lunch delivered.

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CAELI RIDGE: Oh, that looks good.

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my husband.

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CAELI RIDGE: Okay, you guys can see my screen. These are the results. Okay, and I just. I just hold numbers right out of thin air. All right, we can. We can tweak these we can up and down, east and west whatever play around with it.

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CAELI RIDGE: But let's look at this. This is probably where I think most of you are going to benefit from most. In looking at this with me, so that you can kind of get that interpretation. That decoder ring thing, left side is the all in one. The right side is our 30 year. Fix, and I remember we were comparing

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to a 3 and a half percent

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CAELI RIDGE: on $200,000, was the outstanding balance.

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CAELI RIDGE: So left to right. Okay, here's our 200,000. 200,000

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CAELI RIDGE: This is saying that in 5.6 years, if all of these numbers are are accurate and they're at static every single month.

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CAELI RIDGE: Okay, which they won't be. Things are going to change it's going to be a little thus this month, a little more next month, whatever. But the simulator assumes that this is exactly what it would look like every single month.

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CAELI RIDGE: and in 5.6 years, that $200,000 would be 0. It would be paid to 0.

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CAELI RIDGE: Okay.

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CAELI RIDGE: total interest to cruel over that period of time is 55,000 and some change.

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CAELI RIDGE: Total interest on our 30 year is 116,

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CAELI RIDGE: 67 months. You've got

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342 left, because we had 18 months into this one.

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CAELI RIDGE: Then we've got our total expenses. This plus this equals. This and this plus this equals this, and the difference between these 2 total expense numbers is obviously this: 61,000 right here

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CAELI RIDGE: Okay.

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CAELI RIDGE: pretty simple. Now let's dig into this. Okay, this is where it starts to get a little bit more complicated. I'm going to go into a little bit more explanation. So let's start with rates and assumptions.

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CAELI RIDGE: All right. Every adjustable right? Mortgage has 2 primary components. You have an index and a margin.

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CAELI RIDGE: Okay, the addition of those 2 numbers equals a fully indexed rate.

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CAELI RIDGE: In this case

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CAELI RIDGE: the margin well, let me back up the margin

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CAELI RIDGE: within those 2 numbers is fixed

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CAELI RIDGE: for 30 years. That margin could never ever change the margin. In this case is 4. So for 30 years, no matter what happens, that number stays static. We'll never ever move.

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CAELI RIDGE: The variable part part of an adjustable right mortgage is the index. There are dozens and dozens of indices out there, the one that is tied to the All in one is the one year Cmt. That is the Us. Treasury. Currently it is posting at 4.7, 1 0.

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CAELI RIDGE: The fully indexed rate. In that case is the addition of those 2 numbers

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CAELI RIDGE: 4.7, one plus 4 is 8.7, 1 0.

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CAELI RIDGE: Okay, that is a fully indexed rate, and that is the interest rate that the balance every day will accrue on today. 8.7, one

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CAELI RIDGE: couple, other numbers here, a floor rate and a cap or max rate.

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CAELI RIDGE: This number means that no matter what happens with this variable index up down east-west, whatever then the amount of interest that you'll pay daily

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CAELI RIDGE: will never be less than 4. Point 7, 5. So, as an example, let's say that the index went down to 0 point 2, 5, which it's done. It's gone negative numbers before after the 809 crashed. Let's say that the index goes down to 4 to 0 point, 2, 5.2, 5 plus 4 would be 4 and a quarter right.

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CAELI RIDGE: Can't have that. The minimum is 4.7, 5.

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CAELI RIDGE: The flip to that coin is the maximum

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CAELI RIDGE: which is equal to 6% over the initial.

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CAELI RIDGE: the initial fully indexed rate. So you were closing this loan today. You'd be closing at 8.7. One on this scenario plus 6, would be 14.7, one.

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CAELI RIDGE: If this number was 8 today and you were closing, this would be 14. Okay, it's 6% over whatever. The initial fully indexed rate is

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CAELI RIDGE: now something else. This is important, and I encourage you guys to play around with this i'm going to change this. So the rate train rate trend says that we are remaining at the initial rate. That's impossible.

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CAELI RIDGE: Remember, I said before, that we're going to try and keep it as conservative as possible. Make the on one look as bad as possible. That's. This is one of the ways in which you would do that.

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CAELI RIDGE: So this assumes that we will not move from 8.7. One do rates. Just stay on an on an adjust right mortgage. Do you start at one rate, and it just never changes.

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CAELI RIDGE: No.

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CAELI RIDGE: right. It always changes. It goes up. It goes down right. There's always going to be some variable movement within an adjustable rate. Mortgage keeping it in its initial rate is going to be very, very conservative. So what I want to do for us. Is. I want to go back and look at the historical average rate.

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CAELI RIDGE: What the simulator is going to do here is it's going to go back 25 years.

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CAELI RIDGE: Okay, 25 year. Look back. And it's going to add up this index every single month for 25 years.

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CAELI RIDGE: and it's going to divide by that number of months.

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CAELI RIDGE: Okay, so what this represents, this is the the average rate. Use the fully indexed rate. So what does that mean? I I wonder if anybody could figure this out.

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CAELI RIDGE: The actual 25 year average of this one-year Cmt is the difference between this.

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CAELI RIDGE: And this.

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CAELI RIDGE: So 3.0, 8, 8

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CAELI RIDGE: is the 25 year average.

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CAELI RIDGE: Okay, right now, it's posting at 4.7, one.

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CAELI RIDGE: But the 25 year average

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CAELI RIDGE: is 3.0, 8, 8.

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CAELI RIDGE: Okay.

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CAELI RIDGE: you guys put your questions in there. If you have them. Okay, I'll come back to it.

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You've got some fun things here

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CAELI RIDGE: That's historical rate rates. Here you can look at our 30 year fixed. You look at the fed fund rate in the in the purple. There's our 30 year. There's the Fed Fund and the orange. There's our one year. Cmt: You'll notice that the Cmt. And the Fed Fund kind of move in tandem. They kind of mirror each other. They're they're kind of sister indices.

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CAELI RIDGE: anyway. If you're interested in that.

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Okay.

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CAELI RIDGE: So

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CAELI RIDGE: everybody clear on this. Let's go back here and let's go here. This is going to be important. So do you see what happened? Let me so, guys, when I made this change to the historical rate average.

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CAELI RIDGE: Look what happened. I'm saving a little bit more an interest. This went down a little bit, not by huge leaps and bounds, but there's there's an increase in savings and reduction in amount of time it will take.

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CAELI RIDGE: Okay.

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So i'm gonna skip past the first few lines here. The payments. These are kind of static. I really want to focus on the percentages, because I think this is where the explanation makes most sense.

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CAELI RIDGE: So the first thing here left side all in one. Here's our 30 or fixed

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CAELI RIDGE: so average principle reduced annually 19%.

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CAELI RIDGE: If I take $200,000 times 19%.

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CAELI RIDGE: That's how much i'm paying down my average annual principal reduction

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CAELI RIDGE: versus 3 and a half percent on a 30 year. Fix that's how much you're paying principal on a 30 or fixed to amortize mortgage right? Everybody has has ever looked at an amortization table knows that, especially in the first 10 years of that 30 year fixed mortgage. How much is going to principle

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CAELI RIDGE: this much.

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CAELI RIDGE: very, very, very little, right? So 3 and a half versus 19% in the the reduction of principle.

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CAELI RIDGE: Next is interest as a percentage of principal 21.3. If I take $200,000 times 21.3, that's going to equal 42,531.

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CAELI RIDGE: If I take $200,000 times 58. Point 2, that's going to equal 116333,

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CAELI RIDGE: all right

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CAELI RIDGE: now. The next numbers are the most important here.

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CAELI RIDGE: So the first one here the effective Apr Comparison loan effective. Apr. This number means that an order for our 30 year, fixed counterpart to compete in order for the 30 year to amass the same interest as the All in one.

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CAELI RIDGE: You would have had to lock your 3 and a half percent interest rate at 1.3, 2, 6.

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CAELI RIDGE: Now I know rates have been low over the last couple of years.

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CAELI RIDGE: but I don't believe anybody.

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CAELI RIDGE: I do not believe anybody was able to lock in a 1.3% interest rate on an investment property on a 30 year fixed mortgage.

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CAELI RIDGE: I could be wrong, but i'm gonna i'm gonna i'm a betting woman. So i'm gonna say no. That's highly unlikely.

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CAELI RIDGE: But that's a telling number right

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CAELI RIDGE: now. Finally, this is the most important number on the page. That's the flip to that coin.

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CAELI RIDGE: This says that in order for the all in one to amass the same interest as our 30 year fixed. You are going to have to average an interest rate of 13.8, 1, 8.

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CAELI RIDGE: Okay, this one is important, because if you recall.

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CAELI RIDGE: we have our historical average here.

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CAELI RIDGE: but we also have a cap right here of 14.7.

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CAELI RIDGE: Now.

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CAELI RIDGE: I'm going to say something, but I want you guys to take it critically. Okay, I want you to think about this

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CAELI RIDGE: the absolute best case scenario, and I don't want you to put this in your mind that unless you reach this number, that it's not for you, because that is not what i'm saying.

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CAELI RIDGE: But when I see this number exceed

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CAELI RIDGE: this number

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CAELI RIDGE: for that individual, assuming that their input, is accurate, it becomes an absolute foregone conclusion, an absolute, no brainer, let me show you what I mean.

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CAELI RIDGE: Let's say in my my example. I'm going to say that I can I save 25, so I've got 37 50 left over.

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CAELI RIDGE: And what i'm doing is I want to manipulate.

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CAELI RIDGE: Okay.

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CAELI RIDGE: So by increasing that to 25% monthly of what I'm retaining my break even average the amount of interest, on average, that I'm. Going to have to see on the All in one to match the same interest as our 30 year. Fix needs to be 16. Point 4, 8. Why is that so important?

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CAELI RIDGE: My life, Cap, just as an example is 14.7.

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CAELI RIDGE: I'll never ever ever get to 16 because i'm capped Here.

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CAELI RIDGE: you guys with me?

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CAELI RIDGE: Hopefully, you guys are following. Okay, so that's just kind of a rundown of what you're looking at on the results. I want to just do a couple of other things really quickly.

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CAELI RIDGE: So now what I want to do is now let's go back here. So let me tell you how I got there. So we're in the results. We're in the pay down. Summary this view. Pay down table. Okay. If you scroll through left sides on one right sides are 30 or fixed. If you scroll through here via month, you can see how the balance goes down, and what you have access to

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CAELI RIDGE: remember as that drives down. And this is where I get really excited about the All in one. The interest savings is great. Don't get me wrong, and for some people it's amazingly great. But for me the thing that I think that is so impactful for real estate investors, and having access to this line of credit for 30 years, not 10 years interest only drop period that then cuts off and then

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CAELI RIDGE: becomes principal and interest, with no access for the last 20. That's not what this is. You have access for a full 30 years. But what's so amazing to me is that. Now you can grab at this and pull more money out on month. 15.

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CAELI RIDGE: I have $38,000 that I can go get at

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CAELI RIDGE: on month, 18 or month, 15 that I can go by

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CAELI RIDGE: another investment property.

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CAELI RIDGE: Right? So let's check this out. Let's just use month, 15. There's 38,000 in here.

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CAELI RIDGE: Let me go back and show you what I was going to do with that

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CAELI RIDGE: my one time future one time expenses.

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CAELI RIDGE: So i'm going to say 30,000.

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CAELI RIDGE: I'm gonna pull 30,000 out on month. 15. Okay, If you do this very, very important. If you're going to pull the money out and you're you're going to tell the simulator when you're going to pull it out.

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CAELI RIDGE: You must remember to put the income associated with that property in the deposits Page don't pull the money out

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CAELI RIDGE: unless it's for something else. If it's for real estate or some other investment that's going to yield a monthly return. Make sure you get the deposit in there for our purposes. I'm going to go repeating deposit, and i'm going to say that 30,000 I'm going to gross. $12,000 a month.

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CAELI RIDGE: Okay, excuse me. $1,200 a month. $1,200 a month is my gross

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CAELI RIDGE: monthly.

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CAELI RIDGE: Okay?

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CAELI RIDGE: Now, this went up

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CAELI RIDGE: by. I don't remember how much is probably about $250.

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CAELI RIDGE: Well, maybe it's more like $300, so make sure that you're adjusting for that.

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CAELI RIDGE: I could go back and do it. But I I just really want to illustrate a point. You guys.

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CAELI RIDGE: It'll be 25% of of whatever 1,200 is, I can't do that. About $3,000 challenge on the last run. Yeah, but I up this to from 20 to 25, so that has already changed. So it it's probably you know 25%. Who Whoever wants to do the mental mouth go ahead and do it for me.

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CAELI RIDGE: That's what this was added to of the 1,200 and gross rents. That's what's being left over, because i'm not using my net proceeds from that rental property for living expenses right now. I'm gonna let it ride, and i'm gonna let it ride me here, and i'm going to save myself some interest.

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CAELI RIDGE: Okay.

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CAELI RIDGE: so as such, you can see how the numbers change, and you can continue to do this over and over and over again.

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CAELI RIDGE: So Why don't I take a breath, Larry, and open up for Q. A. I'm. Sure there's there's there's questions. I'm sorry. Sorry. Sorry. Sorry. Sorry. So if you guys are in here. You want to mess around Here's where you're going to save right here.

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CAELI RIDGE: There's your key code that you're going to put in back on that that first

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CAELI RIDGE: gets a get started. Page. Okay.

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Larry Bailey: I'm ready. It's really important that that key code is actually how, if we want to do, if you want to do a direct consultation afterwards? That's the key code. They should provide right, Shelley. That would be great. I mean you don't have to. If you guys just want to do it with me. That's fine. But if you have that.

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CAELI RIDGE: yeah, send that to me so we can start there, and then we'll go through the the the tabs and make sure that the input, is correct. And then we can go and look at your results together. Do you mind sharing that code on screen One more time. We've got some folks, I think, if you save it there right so take a picture of it. If you want guys? Yeah, i'll put it. I'll put it in the chat

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CAELI RIDGE: 1 s for me, Carol. I'm going to type this as I can.

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Larry Bailey: so that now we're good. So that code anybody on the call, or even afterwards, we'll leave this up. You can go ahead and and play around with this. But keep in mind. It's a shared code. So, Tom, if you make a change, James, you're going to see that. So it's not going to go right. Everybody tries to modify the information. So if you are using this code

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Larry Bailey: on today's call or replay, please Don't, modify the information because you're going to ruin it for somebody else. We'll see how long that lasts for. Okay, if you guys wanted to. Everything that we just went into, you can download a Pdf of this, and it'll all be on, you know. Condensed if you like, looking at the stuff that way. Better

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Larry Bailey: love it, love it, love it. We do have one really important question. I think Katie and Nail nails the question, Kelly, that we see a lot.

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Larry Bailey: and so i'm going to read the question. So in the All in one. Are you not paying multiples of what you pay on a regular mortgage monthly meaning? Do you also calculate opportunity cost over other investments you could make with the extra money that you pay into the All in one.

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Larry Bailey: So this question's come up a couple of times in chat today. One question was from Tom, and he's like, Well, listen instead of just

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Larry Bailey: like putting leaving the $3,000 in the all in one account. What if you took that 3,000, and pay down on a traditional mortgage. Wouldn't you still save the same amount? And I think that's the recurring theme. Some of the questions Shale is like.

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Larry Bailey: Why, why is leaving the money in the All in one? A better play from your experience versus doing something else with the money each month

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CAELI RIDGE: well doing. What so if we're if we're, if we're talking about taking this $4,000 and sending it off and and prepaying on this this $200,000 mortgage with your 30 or fix. Yes, you could do that. You're going to accelerate the payoff that much faster.

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CAELI RIDGE: right? And you'll pay a lot less interest, of course.

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CAELI RIDGE: But you're tying up that capital. You cannot get that back. You cannot go back in and say, I want to use this for this investment, or hey? My! My car blew a gasket, and I need to to pay for this this month, or whatever I don't have access to that money anymore. The only time I'm going to be able to get that.

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CAELI RIDGE: you know, every month. If I send that off with my regular mortgage payment. My 30 year fixed mortgage payment is a full cash out refinance

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CAELI RIDGE: right

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CAELI RIDGE: there's there's probably a a

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CAELI RIDGE: bigger rabbit hole we can go on into. Where that's regarding, or where that's concerned. But I would say that that my answer is flexibility.

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CAELI RIDGE: If you wanted to absolutely 100, take that $4,000, and apply it every single month with your 9, 2,495, and and right this whatever that piti is send all that off to your 30 year fixed mortgage, and you will pay a significant amount of of int or less interest, and you'll pay off that much faster. But

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CAELI RIDGE: then, what do you have?

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Larry Bailey: You have a free and clear property, and I think you're saying I want to make sure everybody on the call and on the recording you sees this later, really understands what jail you said in the past, which is okay, great. But what are you doing with that money today?

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Larry Bailey: And and so the question that Katie asked, and I think others have asked in the past is, listen. Does it make sense that you're gonna have this extra 3,000 like. Let's say you found an opportunity, and you're gonna have to carry that property for a few months where it's gonna cost you 2,500 to rehab it and get it ready for new tenants.

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Larry Bailey: Maybe. Then you don't have the actually left over at that point.

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Larry Bailey: but you'll still have the opportunity to pull to manage your money accordingly, and not be locked into a 30 year Fixed traditional loan is that is that fair? Yes, absolutely.

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CAELI RIDGE: Yeah, it's it's your it's at your discretion and your choice. Remember the simulator assumes it's being left in there. It does not have to be.

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CAELI RIDGE: These are it's all, it's exactly the same as a checking and savings account that you have today.

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CAELI RIDGE: Now, if there's let's just say that you've got 4 grand that you can go put somewhere else and make a return of

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CAELI RIDGE: 10%. Remember, you guys, it's interest saved versus interest earned. So you can take that 4,000 and earn 10% over here versus saving 8% over here. Probably put it in the 10% right?

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CAELI RIDGE: So it's really going to depend on what the return of the investment is, and what we're talking about.

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CAELI RIDGE: But more often than not

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CAELI RIDGE: what you can see how this is going to work, and you can see every single month. Right? You can kind of assuming this is static. Remember

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CAELI RIDGE: these numbers. The simulator assumes that this doesn't change every month. It's exactly the same for 4.7 years. How realistic is that?

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CAELI RIDGE: It's not

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CAELI RIDGE: so the flexibility you got to be looking at.

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CAELI RIDGE: What the investment over here is. What is it going to yield Versus what are you getting here? And you'll make those decisions. Remember, the math won't lie

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Larry Bailey: terrific. So at this point where we've, concluded the review of the results. If anybody has any questions, obviously ask them. If you want to take the dive and and let Chile go through some hypothetical numbers for you. Whether the real or not we will never know. But if you want to go ahead

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Larry Bailey: and either raise your hand on the platform, and I can take you off mute, or send me a note or plug in what variables you want, Shirley to put on screen. We can speak to them.

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Katie asked another question.

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Larry Bailey: And so you, Tom, so we'll get to 2 questions here. Jaylee, number one. What is the minimum you have to pay

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Larry Bailey: ends in the all in one mortgage each month. If the minimum on the All in one allows you to pay the same for each

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Larry Bailey: product, what's the difference. So I guess let's just take it easy. What is the minimum payment each month.

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CAELI RIDGE: So I was hoping that somebody was gonna I was waiting for someone to ask this question. This is where I got struck stuck initially to

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CAELI RIDGE: and bear with me. Okay.

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CAELI RIDGE: there is no minimum payment.

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CAELI RIDGE: Okay? And and why? I can say that is, is that let me give you an example. This is not how you would use the product, but I think that this illustrates the point.

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CAELI RIDGE: So if you have a line limit

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CAELI RIDGE: of 200,000 and you have a balance of 100,000,

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CAELI RIDGE: there is 0 deposit required. That is not how you want to use it. I that's not true. Some people would use it that way for their own purposes. I'm not going to get into all of that, but you could

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CAELI RIDGE: so no payment, no deposit whatsoever would be required. In that case, the only time

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CAELI RIDGE: a deposit is required is when the balance is about to exceed the limit.

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CAELI RIDGE: That's the only time a mandated deposit would be required, and that would be the amount of interest that was going to accrue for that month based on

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CAELI RIDGE: that balance every day for 30 days.

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CAELI RIDGE: Okay. So what is the payment? There's really no payment due Your depository incomes

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CAELI RIDGE: are being used as the payment.

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CAELI RIDGE: Does that make sense, Tom or Katie?

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CAELI RIDGE: Is there a second part to your question, or anything that came up as a result of that answer.

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Larry Bailey: So Yep. So Katie just added Katie, Excuse me, just added, if there is no minimum.

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Larry Bailey: How would you figure out the payoff timing forecast.

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Larry Bailey: So if we did want to satisfy any particular time, how does that work versus obviously a traditional mortgage which has the interest predetermined?

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CAELI RIDGE: It tells you here. So what you're going to need the the the math is going to be too complicated for me to give you an example because it's variable, and it's it's based on the specific numbers that you may have. And, Katie, if you want to unmute yourself, and we can have a dialogue, but it's going to depend on you. You've gone ahead and might have a chance to unmute your so, Kadia, if you want

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Kadia Lawrence: Hi.

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Kadia Lawrence: hi! Thank you for this. I'm still trying to my header on it, but it's definitely clearer than the last. And last time I was trying to thank you, I guess my question is, if you, since there's no minimum

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if you were to make the same payment on

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Kadia Lawrence: both products, so the same. I don't remember what how much you're paying on the mortgage. But whatever that value is, if you were to use that.

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Kadia Lawrence: what is it? 924 plus it? For? 81? Is that what it is. That's what that's what it's assuming it's being left in there. Yeah. So

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Kadia Lawrence: what there?

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Kadia Lawrence: So if you're effectively paying, if you're paying.

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Kadia Lawrence: if you choose to pay if you were to pay the same

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Kadia Lawrence: on the traditional mortgage?

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Kadia Lawrence: A, a and the the All in one, how would the numbers change? I guess that's ultimately. I I see what the question is, Jlie. So the the reality is, i'm going to answer, i'm going to. So what the question is, Charlie for you to answer is.

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Larry Bailey: if you were to pay the same amount, meaning that you were to pay $924 on the 30 or fixed, and you were to pay 924 on the on one. What would that look like?

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CAELI RIDGE: So I I thought I I mentioned that upfront. Maybe I didn't. You guys, this loan is not going to be for somebody that has 0 money left over at the end of the month, or that has 50 bucks.

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CAELI RIDGE: This residual income is what will drive the all in one, and greatly reduce that principle balance, and greatly reduce that interest and pay off sooner, so watch what happens when I leave that as 0, it's going to. Well just watch.

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CAELI RIDGE: We save 0.

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CAELI RIDGE: You pay off later.

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CAELI RIDGE: based on the rate assumptions and things that we have in here. Okay.

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CAELI RIDGE: so it it will not work. So the individual who this does not work for is the individual that has nothing left at the end of the month, generally speaking, depending on the numbers that we're comparing to or let's say you're comparing to a new loan. It's on all those variables. Generally speaking, we find that as long as the individual is saving

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CAELI RIDGE: 10% a month of their

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CAELI RIDGE: their monthly depository, it's typically the only one is typically going to fare better than a 30 or fixed

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CAELI RIDGE: Katie, Does that answer your question?

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Larry Bailey: I want to take that as a as a Yes, there's no but she's off mute. Her response was was noted. Yep.

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CAELI RIDGE: Okay.

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Larry Bailey: Was there another question from Tom about this? No, I think I think I think we've had all the questions answered for Ronnie Ron's status, if we'd be putting this recording up on the community for replay. So yes, if You're here, and you only, and you walked in late. Totally fine. Thank you for coming.

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Larry Bailey: We'll actually be posting this 3 port series up on the community that way you can drill into the part of the presentation that you wanted to catch up with.

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CAELI RIDGE: And, you guys, there's no dumb question. So really we've got maybe another minute or 2, if you want or longer, if you guys need. If If you have a question, don't feel shy or embarrassed. Okay, I promise you I was. I was

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Larry Bailey: every bit as much of a when I started this. Okay, there are you asking questions? Because because because for me this this kind of answers Nancy's question originally loan to value right? So what is what is it? Is it all one big bundle under value? Does it depend on occupancy on what we can.

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CAELI RIDGE: Let's just. I'll quickly run through qualifications. And then, before I forget, if any of you wants to do this one on one with your specific scenario. Please just get a hold of us info at Ridge Learning group. Larry gave you that stuff. And we'll we'll schedule some time. Okay.

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CAELI RIDGE: So qualifications non- our occupied investment properties cash out refinance, 70% loan to value

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CAELI RIDGE: is the max 100 $1,000 minimum initial draw. We can make exceptions to that. So if you're below that, let us know we'll look at it with you. If it's a purchase or rate and term refinance, 75 is allowed for a a non-owner-occupied investment. Property. A 1 million dollars is the maximum

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CAELI RIDGE: line amount on an investment. Property. 720 is the minimum credit score

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CAELI RIDGE: necessary for an investment property on the All in one debt to income ratio can go as high as 43 that is the Max.

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CAELI RIDGE: You know, Fanny Freddie lets us go to 50. So this is a little bit more scrutinized in the qualification piece.

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CAELI RIDGE: The reserve requirement is going to be 15% of the line limit. So if you have a limit of a $100,000, $15,000 is what we need to see in a reserve, a checking savings or or

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CAELI RIDGE: retirement account asset account of some sort. That's if you go all the way to 43 debt to income. If you're at 40 or less debt to income ratio. The reserve goes to 10. And, guys, this is all beautifully written out on a little cheat sheet that we'll put in the community as well. The Larry the the

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CAELI RIDGE: FAQ. For the All in one and the highlight guidelines. We can get that out there. Owner occupied

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CAELI RIDGE: 80% lend to value across the board. So cash out refire rate and memory. 5 purchase is 80. There's no difference.

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CAELI RIDGE: 700 is the minimum credit score. There 2 million is the maximum line limit on the owner occupied.

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CAELI RIDGE: and the rest of it is is applicable as well. The Lt. Or, excuse me. The Dti and reserve is the same, independent of the occupancy.

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Larry Bailey: We have one question come through, Joe, and so Byron asks, what if your goal is cash flow, and to leverage as much as possible.

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Larry Bailey: If interest rises. Sounds like you have to calculate how much you need to leave in, so you won't have to pay more interest than a traditional product in in case you want to purchase more properties down the road. And then, you know, plan on taking a withdrawal, how would you address that the interest that cost the cost for concern over interest rate rising.

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CAELI RIDGE: So I think that if you want to be hyper conservative, you can go whoops.

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CAELI RIDGE: You can go here.

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CAELI RIDGE: and you can go. Remain at the initial rate.

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CAELI RIDGE: You could even go, Max. Rate as calculated, based on your variables, if you wanted to, and that that assumes that it stays; that, like that, the entire time which is not possible, as is, remain at the initial rate. That's not possible, either. But you can. You can get your answer. It was it, Byron, I think? Sorry, Byron, by messing around in here on the right trend.

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Yeah.

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Larry Bailey: that's great question. Here, chile, can you do this loan if you have

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CAELI RIDGE: 10 or more financed properties?

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Larry Bailey: Awesome, awesome.

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And, Katie, we're going to take one more stab at at making sure you're clear, and, like Charlie said earlier jail, I think you said it took you, you know, a long time to really wrap your head around this.

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Larry Bailey: But the question, the the way Katie puts it is, I thought, this calculator compares doing an all in one versus doing a regular mortgage, but not both. So the question is

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Larry Bailey: in terms of understanding the calculator best.

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Larry Bailey: Maybe if you helped explain, chile, what helped you understand it best in terms of when you're looking at the comparison with what you're really seeing like earlier talked about comparing the the interest expenses. And maybe that helps other people understand why this loan might be helpful for them.

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CAELI RIDGE: So if i'm understanding the question, Kadia, this particular scenario that we're looking at here is comparing today's all in one

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CAELI RIDGE: with this scenario 30 or fixed, that somebody has an existing loan. The other thing that you can do with this is, compare it to a new loan

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CAELI RIDGE: right where you know that it either. It's a purchase right? You're buying another property, and you know what the terms of that that new mortgage is going to be, you can compare it to the on one. Or let's say that you know you're going to do a cash out refinance one way or another, so you're going to either do it as a 30 or fixed, or you're going to do as an on one. Then you would select in this dropdown a new loan.

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CAELI RIDGE: In our case we are comparing to the loan that you have now exactly the terms that this example has put forward. So this results. Page says this is what your 30 year fix looks like. This is a foregone conclusion. You know that this is what it's going to be if what I put here is accurate.

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CAELI RIDGE: That's what your 30 year fix is going to do.

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CAELI RIDGE: This is what you're all in. One will do based on these other variables that we we dumped in here. Is that is that what you're asking, Kadia?

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That?

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Larry Bailey: Yep. Oh, i'm sorry there's the sorry, Katie, if you have any more questions seriously like, you know, anytime you want to call over original any group call talk you through exactly what's happening to make sure you understand it, and Don't feel frustrated if you're not getting it now, or even the first few times it, it's a

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Larry Bailey: jail, and I have both been in banking for quite a long time, and this is not something you see, every day. So it does take time to understand it.

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Larry Bailey: and I'll also say it's for real, it really is. You know. I would have one on my house right now if I could have gotten a higher one to value. So that's that's why I brought the one to values. J.

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CAELI RIDGE: And Guys just do the simulator. If you, If you have the input right, it will tell you If this is not the loan for you, it'll be very, very clear in this page. You're going to Look here, you're going to Look here, and you're going to look here within these numbers, it'll be very clear whether or not you are a good candidate for this loan today.

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Larry Bailey: Perfect so for those that are left here. Chile: First of all, thank you very much. If I can speak to the community, your insight and information is always always welcome. So thank you for doing this and anybody else. We're going to have this recording up

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Larry Bailey: shortly on the community. If you want to go back and replay it in the meeting chat. If you scroll through that, you'll see the code for the scenario that the simulator rather that Shelley uses also there on screen that 5 Mt.

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Larry Bailey: And and last, but not least, we do. These calls every Tuesday live at 4, 30 Pm. Eastern, with all new topics. Thanks for coming, Kelly. You rock is always any last.

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I would just say, let's remember to get the FAQ and the highlights, the underwriting guideline highlight out for everyone in the community, too. So you guys will have access to that. There's some good information.

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Larry Bailey: Sounds like a. But

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CAELI RIDGE: okay, guys, thanks for being here.

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CAELI RIDGE: See you next week.