Atlanta Cash Flows!

Since the days of “investing how we used to do it” are gone, I’ve been hunting for an opportunity that :
1) Generates cash flow from day one,
2) Has an exit strategy that produces capital gains,
3) Doesn’t take a fortune to participate, and
4) Takes advantage of the current foreclosure market.

Well, I’ve found one! How I found it is a long story that I’ll tell you later, but here’s what I have.
Just outside of Atlanta, a bank has repossessed a subdivision from a builder. The bank has decided to finish the subdivision and sell the homes for $164,700 to lease-purchasers who need to work on their credit in order to buy. Here’s where you come in. They will sell you this brand-new home for $149,500 with a lease-purchaser in place. You will receive $200 per month positive cash flow for the next 18 months while the purchaser repairs his credit. When the transaction closes, you make the difference between $149,500 and $164,700.

The bank is offering you a 95% loan to value, 3 year, 6.5% interest only commercial loan on your purchase. This is great for people like me who have more than 4 mortgages and can’t get any more Fannie or Freddie loans.

These homes are in a master-planned community with a swimming pool. The homes have brick skirting, granite countertops and 9 foot ceilings. I applaud the bank for creating a community of homeowners, another not another blighted “REO” neighborhood of dead grass and vacant properties. These homes are only available for lease purchase, no straight rentals.

The numbers look like this:
26% cash on cash return ($2400 annual return on your $9285 investment)
194% total return on investment ($15000 capital gains plus $200 monthly positive cash flow)

The community has 300 homes, and 30 of them were sold the first week this opportunity was made available. So if you’re interested, download the brochure and call me right away!