Monday, September 29, 2008

Final #5

Alpine TLI Group, Inc.

Alpine TLI Group, Inc. (OTC: APGR), a full service tax lien and tax deed purchase, research, and property management company today announced expectations for a record year in 2008 as foreclosure rates and the mortgage fallout increases the amount of properties available nationally at tax lien and tax deed sales. The Company's unique research and analysis methods pinpoint participation in the most favorable of over 2,000 auctions held every year. Alpine is currently entering a very aggressive time of year as many states are promoting the largest tax lien sales in history. The company expects to place a substantial amount of capital at these sales resulting in a record year for 2008 financial results.
Alpine's corporate strategy and business activity focus around populating and maintaining a $6M fund, which is fully vested in property tax lien certificates. Marketing strategies include the identification of high return properties that have the potential of high yields through interest and penalty rates, which can exceed 24% per annum. In addition, Alpine has developed research technologies, which help identify properties that have a higher propensity of going to deed. Such properties are subsequently acquired for typically less than 10% of current market value and can be liquidated on the open market for a significant profit.
Alpine TLI Group, Inc. generates revenue from two primary sources: interest and penalty revenue from redeemed tax lien certificates and profits from liquidated properties that have gone to deed.
* Interest and penalty revenue is generated through redeemed tax lien certificates. When a tax lien is purchased, the local jurisdiction sets the interest rate as well as the assessed penalty for delinquent tax payment. These interest rates can range from 8% to over 24% per annum. In addition, penalty rates can range from 5% to 10% of the taxes owed. In many cases, jurisdictions will assess the full penalty the first day of the delinquency. As a result, a 5% penalty paid the first day will result in an annualized rate of return of more than 60% when added to the assessed interest rate on early redeemed liens.
* Liquidated Properties occur once the redemption period set by thejurisdiction has expired (ranging from 6 to 48 months), the liened property goes to deed. This means the lien holder now has the legal right to receive title to the property. After a legal process of quieting the title, the deed is conveyed free and clear of all previous encumbrances. In most cases, these properties have been acquired by simply paying the past due taxes. Typically, these taxes represent only 5% to 10% of the current property value. Alpine's financial model provides a strategy to liquidate such property at a discount and put the proceeds back to work through purchasing additional tax liens. The returns on such properties can exceed 5,000%.

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