Attention Investors!
Do you have cash to invest and are looking for a safe and secure way to earn a double-digit return on your money
We work with dozens of private investors and have raised millions of short-term private money to fund our fix and flip business
Here is our complete program outline:
Investment Model:
-Purchase distressed properties at a discount for cash
-Fully renovate the properties
-Sell them to local retail home buyers for a huge profit
Target Area:
-Royal Oak , Oakland County, MI
Target Market:
Home Buyers willing to pay a premium for a modern, furnished, updated, fully renovated homes.
Target Sales Price:
$250,000 – 325,000 After-Repair Sales Price
Target Turn-Around Time (per Property):
120-150 days start to finish
Return on Investment to Private Investor:
15% interest only payments
Example: $200,000 at 15% interest only is $30,000 annualized
Step-by Step Outline to do a Deal:
Step1:
Once we secure a property under contract to purchase, we present the private investor with the following:
Once the private investor agrees to go in on the deal, the following paperwork is drafted prior to the closing on the purchase:
Step 3:
At time of closing, private investor is given:
Step 4:
Immediately upon closing of purchase, renovations are started. Once at least $10,000 of renovation work is completed and paid for by us, a draw request is submitted to private investor: Draw requests include:
Step 5:
Each month we mail interest only payments to private investor based on pro-rated balance (purchase amount plus draws).
Step 6:
Once renovations are complete, buyer is secured, and a closing date set, private investor provides a payoff letter to the title company with the principal amount of loan and any outstanding pro-rated interest. The Title Company send proceeds directly to private investor.
Commonly Asked Questions and Answers:
Question:
How much is the mortgage amount?
Answer:
The mortgage is for the total capital amount (purchase plus rehab). Even though the rehab is given in draws, we allow the private investor to lien the entire capital amount up front. However, interest is only paid on the outstanding balance each month.
Question:
How is my money secured?
Answer:
The mortgage is in the full capital amount invested and is recorded with the county. This puts a first lien position on the property, which must be paid off when the property is sold. This means the private investor has collateral for the capital loaned. In addition, we are so confident in our model to fix and flip properties that we provide our private investors with a personal guarantee as additional security on each deal.
Question:
How do I make sure I have a strong equity position on my loan?
Answer:
We only buy property that is at 65% of after repair value (ARV) less repairs. In other words, if a property has an ARV of $300,000 and needs $100,000 in work, we will buy it for $80,000. Once repairs are made, we will be into the property for 65% of ARV. This allows us to make a high profit on the deal and gives our private investors a strong equity position. We provide to the private investor a list of comps on each deal that justify the ARV.
Question:
How much time do I have to fund a deal?
Answer:
Typically, when we get a deal under contract to purchase, the closing is scheduled 1-2 weeks later. The private investor must have funds available by closing.
Question:
Do you provide references?
Answer:
We provide references upon request to serious private investors only
If you are serious about earning a safe, secure, double-digit return on your money, call Michael Rivait at 248-670-2011
Michael Rivait, lives in Waterford, Michigan and has 3 children. Michael enjoys spending time with his family and is very active in his community. He enjoys playing hockey and golf in his free time.
Michael has been in the business world for over 26 years. He is a graduate of St. Clair College of Applied Arts and technology and has obtained a four year Advanced Journeyman's diploma. In 1982 he formed a custom framing company, and then started a general contracting company named Legacy Custom Homes, which proceeded to build over 100 custom homes and several large residential projects.
Michael has been a full time real estate investor since 1984 and is a licensed real estate agent. Just in the past 8 years, Michael has done over 50 fix and flip deals! Without even leaving his home market of Oakland County, MI., Michael and his team typically average 3-4 projects at a time and sell on average 5-10 homes per year!
Michael has created a full spectrum of quality real estate solutions that will create value and profitability, while not losing his primary focus on CUSTOMER SATISFACTION!
Do you have cash to invest and are looking for a safe and secure way to earn a double-digit return on your money
We work with dozens of private investors and have raised millions of short-term private money to fund our fix and flip business
Here is our complete program outline:
Investment Model:
-Purchase distressed properties at a discount for cash
-Fully renovate the properties
-Sell them to local retail home buyers for a huge profit
Target Area:
-Royal Oak , Oakland County, MI
Target Market:
Home Buyers willing to pay a premium for a modern, furnished, updated, fully renovated homes.
Target Sales Price:
$250,000 – 325,000 After-Repair Sales Price
Target Turn-Around Time (per Property):
120-150 days start to finish
Return on Investment to Private Investor:
15% interest only payments
Example: $200,000 at 15% interest only is $30,000 annualized
Step-by Step Outline to do a Deal:
Step1:
Once we secure a property under contract to purchase, we present the private investor with the following:
- Breakdown of numbers (purchase price, renovation cost, expected sales price, expected turn-around time)
- Comparable sold comps to justify expected sales price
- As-is before pics
- Estimated closing date
Once the private investor agrees to go in on the deal, the following paperwork is drafted prior to the closing on the purchase:
- Promissory note
- Mortgage
- Personal guarantee
- Business affidavit
- Agreement to change
Step 3:
At time of closing, private investor is given:
- Copy of closing statement
- Wiring instructions
- Insurance certificate (added as additionally insured).
Step 4:
Immediately upon closing of purchase, renovations are started. Once at least $10,000 of renovation work is completed and paid for by us, a draw request is submitted to private investor: Draw requests include:
- Breakdown of money spent
- Pictures of completed work
- Amount of draw requested
Step 5:
Each month we mail interest only payments to private investor based on pro-rated balance (purchase amount plus draws).
Step 6:
Once renovations are complete, buyer is secured, and a closing date set, private investor provides a payoff letter to the title company with the principal amount of loan and any outstanding pro-rated interest. The Title Company send proceeds directly to private investor.
Commonly Asked Questions and Answers:
Question:
How much is the mortgage amount?
Answer:
The mortgage is for the total capital amount (purchase plus rehab). Even though the rehab is given in draws, we allow the private investor to lien the entire capital amount up front. However, interest is only paid on the outstanding balance each month.
Question:
How is my money secured?
Answer:
The mortgage is in the full capital amount invested and is recorded with the county. This puts a first lien position on the property, which must be paid off when the property is sold. This means the private investor has collateral for the capital loaned. In addition, we are so confident in our model to fix and flip properties that we provide our private investors with a personal guarantee as additional security on each deal.
Question:
How do I make sure I have a strong equity position on my loan?
Answer:
We only buy property that is at 65% of after repair value (ARV) less repairs. In other words, if a property has an ARV of $300,000 and needs $100,000 in work, we will buy it for $80,000. Once repairs are made, we will be into the property for 65% of ARV. This allows us to make a high profit on the deal and gives our private investors a strong equity position. We provide to the private investor a list of comps on each deal that justify the ARV.
Question:
How much time do I have to fund a deal?
Answer:
Typically, when we get a deal under contract to purchase, the closing is scheduled 1-2 weeks later. The private investor must have funds available by closing.
Question:
Do you provide references?
Answer:
We provide references upon request to serious private investors only
If you are serious about earning a safe, secure, double-digit return on your money, call Michael Rivait at 248-670-2011
Michael Rivait, lives in Waterford, Michigan and has 3 children. Michael enjoys spending time with his family and is very active in his community. He enjoys playing hockey and golf in his free time.
Michael has been in the business world for over 26 years. He is a graduate of St. Clair College of Applied Arts and technology and has obtained a four year Advanced Journeyman's diploma. In 1982 he formed a custom framing company, and then started a general contracting company named Legacy Custom Homes, which proceeded to build over 100 custom homes and several large residential projects.
Michael has been a full time real estate investor since 1984 and is a licensed real estate agent. Just in the past 8 years, Michael has done over 50 fix and flip deals! Without even leaving his home market of Oakland County, MI., Michael and his team typically average 3-4 projects at a time and sell on average 5-10 homes per year!
Michael has created a full spectrum of quality real estate solutions that will create value and profitability, while not losing his primary focus on CUSTOMER SATISFACTION!
