Do you own a home that has seen better days? Can you see daylight through the ceiling, but never even installed a skylight? Have you been thinking you would like to sell that junker, but you just know you wouldn’t get anything but a bunch of low-ball offers?
How would you like to sell that thing for full pop, top dollar, full market value or above?
Ever hear of an Equity Split?
An equity split is a unique transaction wherein an investor (like me) literally becomes your partner to help you sell your home. He brings brings in enough cash to help you move out, cure any legal issues (like an impending foreclosure), and renovate your property to the exact specifications that make the home buyers in your area to go absolutely nuts.
Gorgeous rehabs create excitement. Both during and after the rehab, your investor partner uses unconventional marketing techniques to help create a frenzy of hungry buyers. When the time comes to sell, there is already a waiting list of people hoping to get an early in with your old (and formerly ugly) place.
So what does this look like to you?
Here is an example of how this could work. Let’s say you have an old 2 bedroom 2 bath Highland Park Bungalow that needs tons of work. If you put that property on the market today it would have a value of about $215,000. After all the costs of selling – we’ll use 8% – you would net about $197,000.
An Equity Split would look something like this:
The new all fixed-up sale price of your sweet new pad would be about $405,000. We’ll use the same 8% for cost of sale, leaving us with $372,600. The costs to fix up the property, help you move, cure foreclosure, etc. might be $110,000, leaving $262,000. You and the investor would split the difference between that number and the original $197,000 you would have gotten from selling the property before it was all fixed up.
In other words you would net over $230,000. That’s $30,000 more than you would have originally! So there you have it. Top dollar for a bottom of the line house.
Call me for more details