My company is located in Northeast Ohio, which (compared with most other areas of the nation) currently has very low property values. However, this is obviously a percentage game. With that said, although the local economy is fairly depressed, the simple fact is that when you have the opportunity to yield 50% or more on your investment dollar in real estate it forces you to pay attention.
Just one example: Locally, a house easily worth $100K (based on comps as well as my familiarity with the area market - comps actually support $110K) failed to sell at a local Sheriff’s sale for the $60K opening bid. This example in particular, judging from an exterior inspection, needs very little - possibly carpet and paint.
In any case, I’m seeking investors. Just “Bird Dogging” doesn’t quite take advantage of my particular skill set, I’ve been involved with many rental properties, contracting, etc. in the past so I’m fully capable of not only performing most work on a property but also managing a rehab of any magnitude. Additionally, I have no problem finding investment opportunities and I have resources to assist with selling properties quickly. Considering that I only lack the capital required to make this happen, it only makes sense to find an investor that may be unable, or is simply uninterested in handling the details of the investment.
I’m looking to accept $X in investment capital, on contract, to be used to purchase a particular property and make preset improvements or repairs. This contract would also obligate my company repay the investment capital upon the sale of the project property plus a negotiable percentage of the project yield. My company’s job would be to handle the acquisition, rehabilitation (if necessary), and liquidation of the project property.
Does this interest anyone here, or does anyone have any suggestions as to the best way to go about securing such an arrangement?
Thanks in advance,