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9 Replies Last post: Dec 26, 2008 1:25 AM by vikassah

LOW INCOME HOUSING has not been Effected Safe Haven 4 $$

Oct 22, 2008 5:24 PM

Click to view Renovate's profile Professional Renovate 3 posts since
Oct 9, 2008
  • Good Day, *
* I seek an investor to fund the Acquisition and Renovation and conversion of a Three (3) story Row house in Baltimore into a Three (3) Unit Apartment Building to be rented or sold to Section 8 tenants. The investor will hold a 1st mortgage on the subject property based on eighty (80%) percent of the appraised value of the subject property. The investor will earn 12% percent simple interest for the renovation period which will not exceed 1 calendar year at which time a new mortgage will be originated to take the investor out. *<br /<br />*In addition to the interest earned the investor will receive 45% of the gross profit. Should the investor wish to stay longer the return will only increase. Please see the example below. * <br /<br />*|*Description and Your Investment*|$100,000.00|
A.) Acquisition and Renovation Only
1.) After Repaired Value (Based on Independent Appraisal) $150,000.00
2.) Renovation Budget $105,000.00
3.) Gross Profit Before Taxes $ 45,000.00
A1.) Your Return
1.) 1 Years Interest Income ( 12% Simple) $ 12,000.00
2.) Your Portion of Gross Profit (45%) $ 20,250.00
3.) Return of Principal Investment $100,000.00
Before Tax Return $132,250.00
B.) Your Gross Return If Held 5 Years
1.) 5 Years Interest from New 1st Mortgage $ 26,389.62
2.) Appreciation in Value (5% per Year) $ 16,875.00
3.) Rental Income *(3 Units) Section 8 $ 76,950.00
4.) Return of Principal Investment $100,000.00

|*Combined Gross Return Before Taxes*|*$220,214.62*|*Time is of the essence please email or telephone for additional information or questions you may have at (443)-881-3139
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