***NEED FUNDING*** FLIP DEAL in Northwest Suburbs of Chicago!

[Paul Z.]

****NEED FUNDING****

Market: Cook County, IL- Northwest Suburbs

Spec: 4/2 Split Level w/ finished basement, attached garage, 1092 sq ft., 51 yrs. old.

Sale Type: Bank owned web auction. Opening bid $60K; reserve unknown

Level of Renovation: Complete interior cosmetic + Cabinets/Vanities, Countertops, Doors, Appliances, Washer/Dryer, and Water Heater.

Demographic Analysis:
50% of listed non-distressed homes within subdivision have sold within 6 months.
4.25 months of total inventory
10.2% unemployment as of July 2013
"Major" corporations and employers within 5 mile radius
$59,623 median income

Disposition:
Property is situated in a well developed urban community with great schools and almost zero crime. Homes surrounding the property are all very well kept with mostly updated exteriors, clean lots, clear roads, and well developed landscaping. There's definitely pride of ownership amongst all the neighbors. Plenty of major retail shops, restaurants, and entertainment all within close distance.

Comp Analysis:
Personal Valuation w/ detailed systematic approach (Please inquire for methodology)- $176K-$232K w/ avg. being $201K

Agent Valuation- $200K-215K "conservatively." High-end $225K

Exit Strategies:
Flip
Refinance into rental. Rental rate conservatively for area is $1500-1700/mo.
Refinance and offer a lease/option to buyer with negotiated terms.

Financial Analysis:
*I prefer J Scott 's flipping formula:

Worst Case-
Sales Price (ARV): $200K
Fixed Costs: $28,425 (Purchase, Holding, Selling, Private Investor Interest Payments)
Rehab: $40K (high-end)
Profit: $25K

$200K-$28,425-$40,000-$25000= $106,575 MPP
Price Ratio- 53%
70% Rule?-Actual 73%

Best Case-
Sales Price (ARV): $200K
Fixed Costs: $27925 (Purchase, Holding, Selling, Private Investor Interest Payments)
Rehab: $30K (low-end)
Profit: $30K

$200K-$27,925-$30,000-$30,000= $112,075 MPP
Price Ratio- 56%
70% Rule?- Actual 71%

Timeframe for Rehab: 3 weeks (On market by 4th week)

Investment Proposal:
50/50 split or simple rate of return for investment of Purchase/Rehab cost and completely negotiable. This is an auction so the "safety-net" is the reserve price. If the reserve doesn't meet our MPP we don't buy, and then it's on to the next one. Simple.

Bidding starts in 1 day and ends on 1/25.

For a COMPLETE prospectus, sample sales package on this property, and long-term business plan/vision please contact me. Our team has already visited the property to inspect and estimate appropriate rehab costs. We have a system, process, contract, and team member in place for everything. Security and competence is our priority for anyone who partners with us, and we will prove it to you!

MISSION: Overcome Realty Group is a compassion driven real estate procurement company that bases its success solely on the amount of service, support, and benefit that we can provide for others. Through real estate investment strategies focused on the private homeowner or renter, we intend to be a provider of real solutions, creators of value, contributor to positive causes, and suppliers of revenue to not only ourselves as a company, but also most importantly the communities, home sellers, home buyers, industry professionals, and investors we work with every day.

If you're HUNGRY like we are to continually make goals and dreams a reality by acting upon them, contact me! [email protected] or 847-912-9733.