Business Guidelines / Philosophy

StoneTree Financial has built its business over the last 11 years based on the core principles of full transparency, high moral & ethical conduct, and the dedication to absolute preservation of investor capital while providing Borrowers with a viable resolution to their capital needs.

Third Party Professionals: StoneTree Financial uses third party professionals.

  • Attorneys: To prepare all loan documents (Note, Deeds of Trust, etc.) and insure all documents provide the maximum protections to investors under the current laws.
  • PLM Lender Services:  To facilitate all Lender/Borrower Disclosure Documentation required by CalBRE.
  • Appraisal Services: We retain the service of independent appraisers when necessary to establish an Estimated Fair Market Value of the real estate.
  • Accounting Services: We retain the services of an outside accounting firm to provide quarterly and annual audits of all accounting matters relating to loans funded by StoneTree. These accounting reports are also sent to the CalBRE for review for compliance.

Due Diligence:

  • Detailed Loan Summaries: Investors are provided with a detailed Loan Summary (LS) on all transactions. The LS provides all due diligence information such as sales comps, rental comps, rent rolls, income and expense data (etc.) used by StoneTree in underwriting the proposed loan. All detail supporting data contained in the LS is available for the investors review upon request.


  • Loan-To-Value (LTV): StoneTree specializes in funding loans secured by Deeds of Trust on income-producing commercial real estate. The LTV on any loan approved for funding by StoneTree Financial will be 65% or less. Investors are free to elect which loan(s) they choose to purchase based on their investment objectives.
  • Interest Rate: The objective of StoneTree is to provide our investors with a stable risk adjusted monthly/quarterly income stream that is consistent. The goal is to produce annualized net returns to the investor of 7.00% to 9.75% after deduction of costs such as Loan Servicing Fees, etc.
  • Loan Term: StoneTree offers loan term of 1 to 5 years. The majority (90%) of loans funded have a term of 5 years. The majority of loans provide for an Interest Guarantee of 6 to 12 months.