(1) What does LienIQ do?
LienIQ is a fin-tech firm focused on selecting, evaluating, purchasing, and working-out Non-Performing second Liens / Loans (NPL’s).
Our business model is to take principal positions in distressed liens and profit from the work-out resolution. In certain instances, we sell liens to qualified third parties at a mutually agreed upon price that provides us with a premium.
(2) What is the background of your management team?
Our management team includes team members with backgrounds in credit modeling, finance, real estate, and technology. We employ a proprietary quanta-mental approach to price liens at scale and then work them out in a scenario that is advantageous to both borrower and lender. In addition, we have an extensive network for sourcing liens and distributing them to qualified third parties.
(3) How large is the second lien market you target?
Of the over ~$675Bn of second liens outstanding, we conservatively estimate that ~2% (the current delinquency rate for similar assets) or ~$13.5Bn are distressed (90+ days delinquent).
(4) What is the typical return profile of a second lien on your platform?
Each lien’s pricing and resolution differ greatly. Therefore the variance on an individual lien’s expected payoff is high. Therefore we stress that each lien is idiosyncratic and the resolutions are highly dependent on the individual circumstances of the case. In some cases, liens resolve at zero and investors lose the total amount of their principal balance.
(5) How do I apply to sell liens to or buy liens from LienIQ?
To buy or sell liens to LienIQ or request our help in evaluating portfolios, please fill out our contact form completely and indicate in the message box what you are seeking. A member of our team will contact you afterwards with further instructions.
(6) If I represent a law firm / trustee / servicer / collections agent / member of the press looking to get in touch with your firm, then what do I do?
Please fill out our contact form completely and a member of our business development team will respond.