Preconstruction In Florida

General Real Estate Investing
1

I recieved an email from a realtor in Florida thats selling preconstruction sf homes. The builder is asking for $350.00 down and they pay 3k for closing. There is no paymennt thuring construction. I can sell the house once it’s finish.

Does this sound right? Anyone with experience on these types of offers?

Thanks
auggflo

2

This sounds like a scam to me. Where in florida is this SF home being built. A few years ago you could get homes built with very little down but not any more. The lowest I have seen is 5% but that is very rare. It is usually 10 but mostly 20% down.

3
I recieved an email from a realtor in Florida thats selling preconstruction sf homes. The builder is asking for $350.00 down and they pay 3k for closing.
Why would they pay $3k out of their own pocket for closing and wait all that time to recoup it? What do they get out of the deal?
4

I too find that hard to believe that builders in Florida would court investors with $350 down.
maybe you misunderstood and its really 35k down.
i’ve paid 5k down, but that was about 8-9 months ago and I think its more like 5-10% now.

but otherwise it is possible. i’ve $500 down deals where the bldr paid $5k in closing costs.

5

Only $350. down and they will cover 3k in closing?

I’ve done investor loans like this, before so it’s not uncommon, what they are asking you to do is put $350.00 down for a down payment (Earnest Money) A Good Faith Deposit

The Seller is allowed to contribute 3% of the total loan amount , to help the buyer with closing cost. In this case your investor stated he will contribute $3,000

Which is then deducted out of his check at closing from the closing agent, or escrow officer.

I would still get the companies information and search the BBB to make sure there haven’t been any complaints filed.

I would also get the guys web page and do a little investigating yourself.

I hope this helps.

Good Luck.