WREC – Our First Gathering

 

My premise for bringing ladies together has a two-fold purpose:

1. Create a group of ten women to form an LLC to purchase a residential property with the intent of up-styling it for placement back on the market at an increased value.

2. Educate this group of women of the steps taken to accomplish the purchase, financing, budget, cosmetic restoration, marketing and resale of the home.

Initially, WREC will consist of nine women investors, plus me, as an equal equity investor.

LTD, Unlimited, will be the entity that is the Project Manager (yes, that is also me).

I have placed certain dollar parameters and tolerances around the initial project home. I have done this with the intent of minimizing everyone’s exposure to a financial risk.

The first home will not exceed a purchase/construction loan dollar amount greater than $150,000. In order to receive 80 percent financing on a $150,000 loan, we will need to invest $30,000 (20 percent), into the equity of the purchase/construction of the property. Each lady’s equity “buy-in” will be $3,000.

A home will only be considered for purchase if the projected Return on Investment is twenty percent or greater. For example, if $3,000 is the equity buy-in, than upon sale of the property, each investor receives back their initial $3,000, plus at least $600.00. (As with all investments, nothing is guaranteed, but my commitment to the group is to work as hard as I can to make every decision that supports a 20 percent ROI.)

Strategies that I will employ to make our property a success:

1. Once I have targeted a home, a pro forma will be created that includes what the selling price will be when the home is placed back on the market. I will be confident that it is the right investment when I can support that the home is comparable to homes sold in the prior six months that have sold in the same price range, in the same community, and that we will get the 20 percent ROI.

2. The homes to be invested in fall into the category of “market rate affordable” homes. The anticipated selling price of these homes is anticipated to appeal to a niche market; i.e.,

First time homebuyers

Singles (men and women)

Newly or soon to be married

Divorced women (with one or two children)

“Active” adults looking to downsize

3. I will begin to cultivate real estate agents who work with client’s in this niche market.

4. I will also begin to cultivate a relationship with real estate agents for them to alert me of potential homes that are good candidates for investment.

5. IMAGE – Let’s take a look at some pics to see why someone may not even want to do a walk through.

l3d994d44-m2o

l3d994d44-m3o

l3d994d44-m5o

l6aa16944-m5o

l6aa16944-m6o

l6aa16944-m8o

l6aa16944-m17o

l6aa16944-m16o

l6aa16944-m18o

What’s my plan?

Look for the potential and work towards making it a reality.

The potential

The potential

Benjamin Moore Copley Gray - Image Source - Southern Shore Decorating Blog

Benjamin Moore Copley Gray – Image Source – Southern Shore Decorating Blog

Eat In Kitchen - Before

Eat In Kitchen – Before

Eat In Kitchen - After? Image Source - Decorpad.com

Eat In Kitchen – After?
Image Source – Decorpad.com

OK – I’m tired of writing, so you must be bored with reading. I have at least one or two more posts to do. In the next post, I will again share my thoughts on a “Bluefield Home.” Bluefield Homes form the basis of what I hope will really sell the homes that I will target for investment. My goal is always to see the end from the beginning – and with that in mind – who is going to buy the house and why?

So….because I am writing this on the 50th anniversary of the death of John Kennedy, it gives me the opportunity to tie our 35th President into design – I know….it is a bit shameless. Here is what is in my possession at Turner’s Corner – IMG_1593 (3)

Who knows what this country lost 50 years ago today.

8d47321ba7eac27bc7a1ba185205b0ea

Ask not what your country can do for you, ask what you can do for your country.

Best, Theresa

A 20th Century Girl Living in a Twenty First Century World

Advertisements

Leave a comment

Filed under Uncategorized

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s