Deer Park Road Announces Launch of Deer Park Home Opportunity Private Equity Fund

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Apr 20, 2022, 11:36 ET

Deer Park Home Opportunity Fund LP partners with Point for the Origination of Home Equity Investments

STEAMBOAT SPRINGS, Colo., April 20, 2022 /PRNewswire/ -- Deer Park Road Management Company ("Deer Park"), an alternative asset management firm, today announced the launch of pre-marketing for the Deer Park Home Opportunity Fund LP (the "Fund") in connection with Point's Home Equity Investment origination platform. The Fund will purchase select Home Equity Investments ("HEIs") originated by Point and offer private equity investors a rate of return based on home price appreciation of the underlying single-family, owner-occupied residential properties located throughout the U.S.

Point's HEI product enables homeowners to tap into their substantial home equity without increasing their monthly debt burden. Point is an innovative financial technology company and home equity platform based in Palo Alto, California and the largest originator of HEIs in the United States. The company built its proprietary technology platform and launched its HEI product in 2015 as an alternative to traditional debt-based financing for homeowners with substantial home equity. Point pays homeowners a lump sum in exchange for a portion of their future home price appreciation. There are no payments prior to final settlement, which typically occurs when the home is sold or refinanced. Most homeowners use the funds from Point to eliminate high-interest debt or fund home improvements to improve their financial health and property value. Point has originated over 5,000 HEIs to-date.

"Deer Park is thrilled to partner with Point to launch the Deer Park Home Opportunity Fund" said Scott Burg, Chief Investment Officer and Managing Partner of Deer Park. "Combining Deer Park's methodical, rigorous process used to analyze collateral in the RMBS and CMBS sectors with Point's innovative digital finance platform will enable the Fund to execute a differentiated approach to originating and investing in HEIs. In today's rising interest rate environment, Point's HEI product offers homeowners a compelling alternative to traditional home equity financings. For investors, the Fund offers a means to invest in the strength of the U.S. residential housing market, an asset category that has traditionally offered diversification and inflation-hedging benefits. The Fund provides investors a unique way to align their interests with homeowners, gain exposure to future residential home price appreciation and invest in an asset class that has historically proved difficult for institutional investors to access."

About Deer Park Road Management Company

Deer Park Road Management Company is an alternative asset management firm based in Steamboat Springs, Colorado with assets under management of approximately $4.8 billion as of March 31, 2022. Deer Park was founded by Michael Craig-Scheckman in 2003 with Scott Burg, Chief Investment Officer and Managing Partner, joining the Firm in 2010. Deer Park offers institutional and individual investors from around the globe a range of investment funds to meet their specific needs and objectives including its flagship hedge fund, a daily liquidity mutual fund and customized separately managed accounts. For more information visit www.deerparkrd.com

About Point

Point is a home equity platform that makes home wealth more valuable for everyone. With a Home Equity Investment (HEI) from Point, homeowners can unlock their home equity, enabling them to eliminate debt, get through periods of financial hardship, and diversify their wealth. For investors, Point provides access to a previously untapped asset class in the residential real estate space. Founded in 2015 by Eddie Lim, Eoin Matthews and Alex Rampell, Point is backed by top investors including Andreessen Horowitz, Ribbit Capital, Greylock Partners, Bloomberg Beta, and Prudential. The company is headquartered in Palo Alto, CA. For more information, please visit www.point.com.

SOURCE Deer Park Road Management Company