Thanks to BP for this opportunity.
We are looking for serious investors that want to invest in Quebec, Canada.
Investors proposition
Mission
Help 100 people acquire their financial independence through real estate, stock market investment before 2030.
Promises
-Acquire 3M in assets for January 1st 2020.
-Involve three investment partners that will double their money before January 1st 2024.
-Acquire 25M in assets for January 1st 2024.
Strategy
-Buying lands/lots and subdividing them for residential building construction.
-Buy/hold single-family homes.
-Approach and involve investors.
-100% invested
Structure
Investors can be partners in some of the deals
OR
Ask for a specific return for any kind of deals
Market chosen / Criteria /
+Single-family house
We are flexible and open to go remotely internationally but as a starter we are going to exploit Montreal, Qc suburban areas.
(Cities : Bromont, Granby, Longueuil, Beloeil, Brossard, Candiac, etc.)
Single-family home retailed in the range of 200-400K in those areas.
We buy them on sale 25-45% of their actual value and renovate them to increase their ARV to a 1.6x+ of the buying price.
Every project is different so the end result is the important number in our calculation.
We don’t fudge.
+Land/Lots
Same areas.
We buy, manage the subdivision, get the installations in place (sewage, electricity, water, roads), sell the lots in batch.
We buy 100K-300K lots at the moment and want to aim for bigger (1-20M).
Money is good when you aim for “in bulk”.
Return of 80-100% in a timeframe of 2-4 years.
Financing/Exit
The financing plan is to use investors’ money as a leverage.
For houses, most of our deals will be bought cash to have a hedge over other buyers.
As soon as the renovations are completed we are refinancing them if we want to hold them.
The refinancing will automatically get the money of the purchase and the cost of renovations out of the property to reimburse the investors plus interests.
For the lands/lots the same scenarios could be possible after the subdivisions are made.
The possibility to stay in the deal until the official selling of the prepared lots can also be possible for a higher return/profit.
Team
I’m a real estate agent and a mortgage broker in Quebec. I have access to a lot of pocket listing because of my colleagues and I can get financing easily when it comes to find something AAA.
We are doing businesses with an entrepreneur that is building houses since 1998.
He mandates all the professionals for preparing the lots (architect, surveyor, sewage expert, electrician, etc.). Obviously that’s the one we are using for renovating also.
We have an accountant and a tax expert onboard.
We are a team of three that are hungry to find deals. We can devote 100% of our time into new projects.
We have two good attorneys (notary) that work with us for backing all the legal documents of every deal.
Financials
The goal here is to have more people join our journey.
We usually put some money into every deal but that can be discussed if the investor wants a bigger return.
Backup plans
We buy on sale. Do you know Charlie Munger?
As stock investors we always buy a business at a margin of safety.
Same with real estate’s projects.
Buying with a margin of safety of 25-45% for a single-family home of its actual value, we understand that we always have room to exit without a lost.
Same for lands/lots. If the deal is no good, we don’t fudge numbers to “get” or buy something.
Every deal is sold with a real estate agent for better exposure and fast closing.
Example illustrated
Single-family home
This is an example of the type of transaction we make.
Selling for: 117 500$
Actual value: 142 000$
Purchase of offer: 90 000$
Cost of renovation including closing costs: 19 000$
ARC: 109 000$
ARV: 161 000$
Refinancing 80%: 128 800$
Money out of the deal minus the investor loan reimbursed = 19 800$
Equity still in the house: 32 200$
Other information
“How many houses/lots are we going to buy?”
Depending of the amount of money investors want to bring in we will adjust our strategy.
With more money invested we might aim for bigger lots/lands than just buying and holding single-family houses.
This is a brief resume of what we are looking for and how we can help each other.
If you know any investors that might interested by our proposition, please share this link to him/her.
Thank you so much BP community!!!!
