Pike Real Estate Mortgage and Development

This company offers a variety of real estate investment related services. According to the company's website investors are promised an 18% return on promissory note investments within one year. The promise of above-market returns or returns that are higher than those of similar investments should raise questions. Your risk with promissory notes is that the issuing company will not be able to make principal and interest payments. Since risk and reward are intrinsically related it pays to remember that there is no such thing as a low-risk high-reward investment. We believe that offers of this nature would be considered securities investments in California. California law requires companies offering securities investments to register thier offer with the State or file an exemption. ~~Careful evaluation of all investment offers should be done prior to signing agreements. Rather than make an immediate decision insist that the caller confirm details of the offer and all verbal promises in writing. Limited Partnerships are required to register unless an exemption is filed with the state. General Partnerships however are not required to register. Those who invest in General Partnerships may also be accountable for the financial liabilities of the entire partnership.~~Offers claiming to be exempt from registration must meet specific requirements. Specifically they must be limited to no more than 35 investors who are: immediate relatives or friends; current investors in other offers made by the company; persons referred by current investors; and to those with the expertise to make a valid decision. Generally if an offer is sold via telephone it is an indication it would not be qualified for exemption under current law.