1. Private Mortgage Investments High Yield Investments Securedby Real Estate9/5/2012

2. Private Mortgage InvestmentsVincent Pitts President Pitts Enterprises Inc.9/5/2012 3. DisclaimerPlease carefully consider Pitts Enterprises Inc.investment objectives, risks, and associatedcosts or expenses before investing. Real estateinvestments are not guaranteed or insured and past performance is not a guarantee of futureperformance. Please ask questions and ask for more information before you consider anyinvestment.9/5/2012 4. WELCOME We are glad you could attend this presentation I really want you to understand what we have tooffer. I encourage questions Ill stick around after the presentation to answerindividual questions or we can schedule a one-on-one meeting at a later date.9/5/2012 5. AgendaPrivate Investor Program 1st Mortgage Program 2nd Mortgage ProgramCompany Overview History Dream teamQuestions9/5/2012 6. More millionaires have created their wealth through real estate than any other endeavor Andrew Carnegie9/5/2012 7. How does your bank make money today? They take in money on CDs and other securitiesoffering relatively low returns Current CD rates are about 4.3% for 1 year andabout 5.0% for 5 year They then loan the money out at a higher rate ofinterest to other people to buy houses in the formof mortgages Typical mortgage rates are 6.0% to 9.0%depending on the borrowers credit history9/5/2012 8. Private Investor Program Overview We buy & sell Single Family Residential Properties And Multi Unit Buildings. To typically buy houses, we prefer to borrow money from private individuals versus banks We pay private investors 9% for 1st mortgage money or 12% for 2nd mortgage money We typically use your money for 5 years but we can offer shorter terms in some cases It is really a very simple plan9/5/2012 9. Private Investor Program How it works We locate a property we want to buy We negotiate a price that is typically 30% to 48%below market At closing we borrow from you the private investorto purchase the property We have a formal closing and you get a mortgageand insurance on the home as security We make payments to you on the scheduled dates9/5/2012 10. Private Investor ProgramGuidelines - 1st Mortgage Program1st Mortgage Program 1. $25,000 minimum 2. Up to 75% LTV 3. 9% Interest 4. Numerous payment options (monthly,quarterly, etc.) 5. One Point (1%) upfront fee to you the investor 6. 5 years (we allow early withdrawal without anypenalties)9/5/2012 11. Private Investor ProgramPayments Options You get 9% simple interest on your invested capital(12% if you choose the 2nd Mortgage Program) We can pay you any of the following ways: Monthly (9.0% APR) Quarterly (9.1% APR) Semi-annually (9.2% APR) Annual (9.4% APR) No Payment Accrual Program (11.3% APR)9/5/2012 12. $100,000 Investment ExampleOne Year Yield 12 Month Return 3.7%$3,700 9.0%$9,000 This is a 240% increase in return to you the Private Investor9/5/2012 13. $100,000 Investment Example Five Year Yield 60 Month Return3.7% (monthly) $18,5009.0% (accruals for 5 years)$56,568 This is a 310% increase in return to you the Private Investor9/5/2012 14. Our Target Property Average Purchase Price $15,000 - $50,000 Chicgoland Cook County Repair Cost $8,000 $25,000 Typically 3 to 5 bedrooms and 1.5 baths Time to renovate less that 90 days House will sell between $30,000.00 and $150,000.00 Typical Loan is $40,000 or $750 per month Our profit is the spread between the rent and yourinterest Rent payment pays the 9% interest.9/5/2012 15. Questions ???9/5/2012 16. What if the Tenant doesnt Pay? We pay you out of our pocket. I will never defaulton a loan. We will collect from our tenants though carefulnegotiations or the courts, if needed. For our tenant/buyers we require a 3% to 10% non-refundable deposit upfront which dramaticallyreduces non-payment issues. For monthly rentals we require at least two monthssecurity to protect both you and us.9/5/2012 17. Three Documents SecuringYour Investment Promissory Note signed at time ofinvestment by Pitts Enterprises Inc. Recorded first or second mortgage Certificate of insurance naming you asadditional insured9/5/2012 18. Your BIGGEST ConcernProtection of Principle 1st Mortgage Program we never borrow more 75%Loan-to-Value We typically buy 30% to 48% below market We then build in equity by rehabbing the property($25,000 to $35,000) We find quality buyers who give us a $5,000.00 upfront deposits We guarantee your payments9/5/2012 19. Got IRA Money??? We can do IRA & Roth investments Our Third Party Administrator is Equity Trust Company Located in Elyria, Ohio Allow self directed investments in real estate from both an IRA or ROTH account9/5/2012 20. People Who Sell us Houses Foreclosures (40%) Banks HUD VA Freddie Fannie Private Individuals (35%) Increasing Quickly Realtors (25%)9/5/2012 21. People Who Rent then Buy our Houses We have Tenant/Buyers Many will become first-time home buyers They work with our mortgage brokers to eventuallypurchase our homes in 12 o 24 months Our goal is to get people off of the rent rolls andinto a home of their own9/5/2012 22. SEC Registration Issues These secured mortgage notes are exempt transactions pursuant to Section 203 (d) of the Pennsylvania code No registration is require as long as we stay below 25 investors and only deal with Pennsylvania residents9/5/2012 23. Pitts Enterprises Inc. We are a C-Corporation We or many members: We hold properties both short and long term 10 years of experience Manage Rentals Currently own Six properties with about $100K in asset value9/5/2012 24. Pitts Enterprises Inc. Who Is Vincent Pitts? 58 Years Old. One Adult Son. 30 Years as Management Consultant Pitts Enterprises Inc . 25 Years Real Estate Investor. 20 Mortgage Consultant Blake Consultants. 10 Years Project Manager . 20 Years general Contractor.9/5/2012 25. Company Story We started in 1985 with the purchase of a mixed usebuilding in Chicago Il,. Since that first purchase,we have become a serious real estate investmentfirm located in the Chicagoland/Cook Countyregion We have grown to hold over 6 properties worth over$100 ,000.00 thousand dollars. Our goal is to grow this company to buy and sell100 properties by providing affordable housing tobuyers and provide 1st time homeowners amortgage they can afford.9/5/2012 26. Company Story, continued The company is a private for-profit RealEstate Investing Company We acquire, rehab, and lease or sellresidential and, at times, commercial realestate9/5/2012 27. Competitive AdvantageOur competitive advantage is speed to purchase a property and knowledge of creative real estate techniquesThat speed comes from knowing we have private funds and the ability to pay cash and close quicklyWe are very focused in a small geographic area and know the values in our market much better than the sellers and, in most, cases than our competition9/5/2012 28. How to find us Mailing Address: 18221 Torrence Ave Suite2-C Lansing Illinois 60438 Web Site:www.blakepittshousingsolution.com www.pittsenterprise.wordpress.com E-Mail: e.pitts@comcast.net Cell Phone: 1-708-557-96679/5/2012 29. The Next Step ?By now you know how this program works and how you can earn 9% or 12% starting todaySign up today for a private meetingWe just want a chance to answer any questions you might have9/5/2012