When I mention our track record—zero foreclosures since inception—I often see a raised eyebrow. Investors are skeptical of “perfect” records in finance, and rightly so. They know real estate has inherent risks and that borrowers sometimes fail.
They assume “zero foreclosures” is marketing fluff. It isn’t. But it requires a clear definition.
The Reality of Risk
It’s crucial to understand what this statistic means in practice. It does not mean every borrower has paid perfectly on time, every month, for years. It does not mean we’ve never faced a challenging loan situation.
“Zero foreclosures” simply means that since Fidelis began, we have successfully navigated every borrower issue without needing to seize the collateral to recoup investor capital. We have never had to take a property back to make our investors whole.
The Fidelis Approach: Rigorous Underwriting
We don’t fear foreclosures; we prepare for them before the loan is ever funded.
We assume that, eventually, a loan will go bad. Our safety net is rigorous, conservative underwriting based on Loan-to-Value (LTV). We lend where there is significant equity in the property above our loan amount.
If a borrower defaults, that equity cushion is our protection. It ensures that even in a forced sale scenario, the asset’s value should easily cover the principal balance, accrued interest, and legal costs. We rely on the tangible value of the real estate, not just the borrower’s promise to pay.
The Bottom Line
We aren’t betting on perfect borrower behavior. We are betting on tangible real estate value, secured by a first lien position (or strategic and opportune second position – see article). Our zero foreclosure record isn’t a promise that problems will never arise; it’s proof that our disciplined underwriting protects principal when they do.
Call to Action
If this still feels complex, give me a call. I believe the best partnerships start with a simple conversation—no pressure, just clarity. Reach me directly at 760-258-4486 or email jlloyd@fidelispf.com.
See Our Latest Performance Report
Fidelis Private Fund annualized yield paid to Limited Partners for the 4th Quarter 2025. Click here for a summary of Fidelis’s annualized yield since inception.
Fidelis 2028 Vivid Vision – Where are we going and how are we going to get there!
The Fidelis 2028 Vivid Vision document provides a comprehensive blueprint of the company’s strategic direction, core values, and operational principles, highlighting its commitment to capital preservation, growth, innovation, and client-centric services. Click to read the Fidelis vision.