Strategic Mortgage Posts 6-Month Decline

Strategic Mortgage Investments, a real estate investment trust based in Glendale, said its second-quarter profit dropped 45% from a year earlier, to $1.74 million from $3.17 million.

For the first six months of 1989, Strategic Mortgage’s net income was off 42%, to $3.49 million from $6.03 million.

Strategic Mortgage mainly invests in long-term mortgage loans on residential properties. As a real estate investment trust, the company avoids having to pay federal taxes at the corporate level by paying out nearly all of its income to its stockholders.