Here is the Breakdown of this Opportunity through one of my partners. The 15 properties are 8 SFR and 7 Duplexes. The description of this deal is below. If this is something that you would like to pursue or to hear more about, please let me know asap.
We propose to sell $1.5 Million in appraised value houses to your investor for $750,000 and buy them back (actually, we’ll be selling them to new occupants and taking your investor out) at 65% of appraised value within 90 days. He’s making 15% on the appraised value. That’s a 30% return on his investment in 90 days! That’s a 120% per annum Return on Investment for your investor!
His investment is totally secured at 200% of value until we buy it back by selling each house under favorable terms to a new owner. We’ll make our profit from dealing with the new buyer and we’ll take any hits from additional discounts, re-po’s, etc., so your investor doesn’t have to worry about any of that. He remains totally collateralized until we buy all the properties back from him.
We do all the managing, repairs, selling, etc., and cover our expenses out of whatever we can sell them or individually finance them for. We have other properties that we can substitute to maintain the 2:1 collateral ratio while we move this along, but we really don’t expect your investor to be in the deal for more than 90 days, unless he wants to re-invest in a similar arrangement when he’s taken out of this one. That would be an entirely new deal, but probably a lot like this one. Of course, if he wanted to buy and hold, we could put a house under lease and then sell it to him as an occupied rental
